The Government is continuing its work on strengthening the law on tipping. Following an earlier consultation, a further consultation has been launched on a revised statutory Code of Practice. Employers will be required to consult workers when developing or reviewing tipping policies.

Key points

• Employers must continue to ensure tips are distributed fairly and are transparent

• New consultation requirements will require workers to be involved when tipping policies are reviewed or introduced

• A revised statutory Code of Practice is currently under consultation

What this means for employers

Hospitality, leisure and other customer-facing businesses should expect increased scrutiny of tipping arrangements.

How to prepare

• Review existing tipping policies

• Ensure workers understand how tips are allocated and distributed

• Check that tips are allocated fairly and transparently

• Consider how workers will be consulted when a tipping policy is developed or revised

• Keep an appropriate record of the consultation process and the views received

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