New Law Will Satisfy Appetite For Fairness

Restaurants to be banned from using service charges to "top up" staff pay

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Waiters and waitresses across the country have today (Thursday 31st July) won the battle for pay fairness following the announcement by the Government that it will take action to close the legal loophole which allows companies to use tips and service charges to top up salaries to the minimum wage.
The long running campaign by unions, MPs and top chefs has secured justice for workers in the hospitality industry in their fight for fair tips.

Derek Simpson, Unite Joint General Secretary said, "Waiters and waitresses across the country have been hungry for the tips loophole to be closed and the announcement today will satisfy their appetites.

“It is great news that unscrupulous employers will no longer be able to use the tips left for staff to subsidise low wages. Workers in restaurants, hotels and bars across the country have waited a long time for their just desserts.

"Staff will now get a fair deal on their wages. Our tips charter will give customers tipping confidence when they dine out. They will be able to identify those establishments where staff keep all the tips that they have earned. Customers should look out for the fair tips logo."

The ‘Unite Fair Tips’ campaign will continue in order to bring transparency to the tipping system in bars, restaurants and hotels. The Fair Tips logo will be on display in establishments across the country as a symbol that they pay their staff at least the minimum wage with 100 per cent of tips on top.

July 31, 2008