Distributing tips fairly

As reported in Labour Research, October 2024, page 19, the Employment (Allocation of Tips) Act 2023 is now in force, accompanied by a statutory Code of Practice.

To assist with understanding and enforcement of the new law, the government has issued Distributing tips fairly: non-statutory guidance for employers. Although aimed primarily at employers, it will be of use to union members and other individuals working in sectors where tipping is common too.

This informs employers of key responsibilities, including that they must take account of agency workers when distributing tips; clarifies that tips can’t be pooled across multiple sites or different branches; and confirms that failures to distribute tips and to provide tipping information can lead to Employment Tribunal claims.