Plans to Stop Tips Being Used to Top Up Wages
16th August 2008
Categories: Business Support
Government Announces Plans for Minimum Wage for All
The government has announced plans to amend the legislation that currently allows employers to make up wages by using tips and gratuities. The aim is to ensure that all employers pay staff at least the minimum wage - which will rise to £5.73 on the first of October.
The revisions are also geared towards making it clearer to customers where their tips will go - businesses will be encouraged to place clear signs that show how tips will be distributed.
The Federation of Small Businesses says the proposals will be welcomed, it estimates that 85% of businesses are in favour of the changes which represent fairer conditions for staff, particularly those in the hospitality and leisure sector.
For more on this story, visit this article at BERR website.
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