Distributing tips fairly: statutory code of practice
Guidance for employers and workers on the fair and transparent distribution of tips.
Applies to England, Scotland and Wales
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The Employment (Allocation of Tips) Act 2023 makes it mandatory for all tips to be passed on to workers without deductions.
This statutory code of practice provides guidance to employers and workers in tipping industries on the fair and transparent allocation and distribution of tips, gratuities and service charges.
Under the act, workers are able to enforce their rights through the employment tribunal system, where judges have a duty, where relevant, to take the code into account.
This comes into force on Tuesday 1 October 2024.
Additional non-statutory guidance will be issued in due course.