From today (1 October), hospitality workers in Great Britain will be granted new legal protections to receive 100% of tips paid by customers, however the rights do not extend to Northern Ireland.
The rules state that employers must: allocate tips fairly and transparently; have a written policy on how tips are allocated to workers; and distribute 100% of tips to workers by the end of the month following which they were received.
No legislation has been introduced by the Northern Ireland Executive, meaning hospitality employees in Northern Ireland will be denied the same protections.
Sharon Graham, general secretary at Unite, said: “It is completely unacceptable that fair tips laws, which Unite has fought to win since 2007, have been introduced by Westminster but not by the Stormont executive.
“Hospitality workers in Northern Ireland should have the same rights and entitlement to receive fair tips as their colleagues in Great Britain. There can be no excuse for the failure to provide workers in Northern Ireland with the same rights.”
The consultation process for the UK’s legislation revealed that an estimated £200 million (US$263.6m) was being kept from staff.
Neil Moore, lead regional officer for hospitality in Northern Ireland, added: “Stormont’s failure to implement fair tips legislation has left bosses free to dip their hand in the tips when it suits them.
“This is made all the worse alongside endemic low pay in the sector, leaving many hospitality workers relying on their tips to get home safely or even to pay for basic essentials.
“There’s no reason why fair tips cannot be immediately delivered in Northern Ireland. Hospitality workers need these rights to be legally enforceable now.”
NTIA responds
Following the introduction of legislation in the UK, the Night Time Industries Association (NTIA) praised the move and urged businesses to follow the rules.
Michael Kill, NTIA CEO, said: “The new tipping legislation coming into effect on 1 October marks a significant shift for the UK’s hospitality and night-time economy. We welcome the move towards transparency and fairness, ensuring that staff rightfully receive the tips and service charges that are intended for them. This has been a long-standing issue, and we commend the government for addressing practices that have disadvantaged many workers.
“Many businesses have been preparing for this shift by adopting a code of best practices, supported by unions. However, some restaurants and venues, already grappling with rising wages and inflation, may be forced to take significant steps to stay afloat. It is a challenging time for our sector, but this legislation is a necessary step forward in protecting the livelihoods of workers who rely on tips.
“We encourage businesses to continue exploring all options to ensure staff and customers benefit while maintaining the quality of service that our sector is known for. The NTIA will remain focused on supporting businesses and workers as we adapt to this new landscape, ensuring a fair and sustainable approach for all.”
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