The bill received Royal Assent on 2 May 2023 and it will likely come into force in May 2024, together with a statutory code of practice.
The Act sets out the following key obligations and requirements:
- Tips over which employers exercise control/significant influence must be fairly allocated to workers; and
- paid to workers in full;
- within one month of customers making payments.
- No deductions will be permitted other than those required by law.
- Where such tips are paid regularly (as opposed to exceptional payments), employers will also be required to:
- have a written policy explaining how the qualifying tips are dealt with;
- maintain a record of all qualifying tips and allocations for three years; and
- workers will be given the right to access such policies/information and records of the tips.
We can help with preparing for this new law with standard compliant policy documents and processes - get in touch at enquiries@bridgeehr.co.uk