27DHow tips etc must be dealt with

1

An employer must ensure that the total amount of the qualifying tips, gratuities and service charges paid at, or otherwise attributable to, a place of business of the employer is allocated fairly between workers of the employer at that place of business.

2

Where a worker is allocated an amount of employer-received tips in accordance with subsection (1), that amount is payable to the worker by the employer.

3

In determining what would be a fair allocation of qualifying tips, gratuities and service charges under this section or section 27E (non-public places of business), regard must be had to the relevant provisions of any code of practice issued under this Part.

4

See also sections 27E (non-public places of business) and 27F (independent troncs).

27ENon-public places of business

1

This section applies where—

a

qualifying tips, gratuities and service charges are paid at, or are otherwise attributable to, a non-public place of business of an employer (the “non-public tips”), and

b

the employer also has one or more public places of business.

2

The employer may comply with the requirement in section 27D(1) to ensure that the total amount of the non-public tips is allocated fairly between workers of the employer at the non-public place of business by instead ensuring that the total amount of the non-public tips is allocated fairly between both—

a

workers of the employer at the non-public place of business, and

b

workers of the employer at one or more public places of business of the employer.

3

In this section—

• “non-public place of business” means a place of business that is not a public place of business;

• “public place of business” means a place of business where interaction between—

  1. a

     customers of the employer, and

  2. b

     workers of the employer,

  occurs wholly or mainly face-to-face.