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Where do your tips go? A guide to how tipping works in restaurants | Where do your tips go? A guide to how tipping works in restaurants |
(2 days later) | |
New plans were announced by the government today to ban restaurants from keeping any tips from staff. | New plans were announced by the government today to ban restaurants from keeping any tips from staff. |
Most people assume serving staff get the full share of tips - but that's not always the case. | Most people assume serving staff get the full share of tips - but that's not always the case. |
A number of big chains have been criticised in recent years for taking a percentage of tips to cover administrative fees. | A number of big chains have been criticised in recent years for taking a percentage of tips to cover administrative fees. |
Here, we break down what employees are entitled to and where your money goes when you tip. | Here, we break down what employees are entitled to and where your money goes when you tip. |
Tipping is not automatically expected in the UK in the way it is in America, for example. | Tipping is not automatically expected in the UK in the way it is in America, for example. |
Employers are expected to pay the National Minimum Wage, but some waiting staff say that's not always enough to live on. | Employers are expected to pay the National Minimum Wage, but some waiting staff say that's not always enough to live on. |
So, it's considered the polite thing to do at the end of a meal in many places. | So, it's considered the polite thing to do at the end of a meal in many places. |
So where does this money go? | So where does this money go? |
Well, this depends on a few things. | Well, this depends on a few things. |
A lot of people think it is. | A lot of people think it is. |
But actually, that 10-15% extra added to your bill isn't the same as a tip and is generally optional. | But actually, that 10-15% extra added to your bill isn't the same as a tip and is generally optional. |
In fact, there's no guarantee your waiter will see a penny of that service charge. It's often added to cover things like breakages and people doing a runner. | In fact, there's no guarantee your waiter will see a penny of that service charge. It's often added to cover things like breakages and people doing a runner. |
A few big restaurant chains have been criticised for taking the bulk of the service charge to pay for administrative costs. | A few big restaurant chains have been criticised for taking the bulk of the service charge to pay for administrative costs. |
Customers can say they won't pay a service charge and leave a cash tip instead. They can also request for the charge to be taken off if they are unhappy with the service. | Customers can say they won't pay a service charge and leave a cash tip instead. They can also request for the charge to be taken off if they are unhappy with the service. |
With the rise of contactless, adding a little extra while paying on card can seem like the easiest way to tip. | With the rise of contactless, adding a little extra while paying on card can seem like the easiest way to tip. |
Some places pool these tips and share them out in a system called a "tronc". | Some places pool these tips and share them out in a system called a "tronc". |
The person who shares them out - known as the "troncmaster" - is not usually a member of management. | The person who shares them out - known as the "troncmaster" - is not usually a member of management. |
But some restaurants have been accused of taking tips paid on card, or charging employees a fee for tips paid on card. | But some restaurants have been accused of taking tips paid on card, or charging employees a fee for tips paid on card. |
In 2015, Pizza Express stopped deducting an 8% administration fee from staff tips paid on card after a public outcry. | In 2015, Pizza Express stopped deducting an 8% administration fee from staff tips paid on card after a public outcry. |
Legally, employees have to tell the taxman exactly how much they make in tips so they pay tax on it. | Legally, employees have to tell the taxman exactly how much they make in tips so they pay tax on it. |
They should keep a record of how much they make and declare it at the end of the tax year. | They should keep a record of how much they make and declare it at the end of the tax year. |
Currently, restaurants follow a voluntary code when it comes to tipping. | Currently, restaurants follow a voluntary code when it comes to tipping. |
But they don't have any legal obligation to pass on all tips to workers. | But they don't have any legal obligation to pass on all tips to workers. |
The plans, announced by the Prime Minister Theresa May, would force high street chains to pass all tips to workers. | |
So that means no more deductions from tips paid on card. | So that means no more deductions from tips paid on card. |
But as this is a Conservative party conference announcement there's no guarantee this law will come in to force. | But as this is a Conservative party conference announcement there's no guarantee this law will come in to force. |
Labour says the government's proposal copied another of its policies, which the party announced in June. | |
Jeremy Corbyn had said then that a Labour government would legislate to ensure workers keep 100% of their tips. | |
Follow Newsbeat on Instagram, Facebook and Twitter. | Follow Newsbeat on Instagram, Facebook and Twitter. |
Listen to Newsbeat live at 12:45 and 17:45 every weekday on BBC Radio 1 and 1Xtra - if you miss us you can listen back here. | Listen to Newsbeat live at 12:45 and 17:45 every weekday on BBC Radio 1 and 1Xtra - if you miss us you can listen back here. |
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