Business secretary John Hutton commends the plan

Waiters 'must get statutory pay'

31/07/2008 12:38:46

Government officials have announced regulations which will ensure tips can no longer count towards the national minimum wage (NMW) and promote fairness for these restaurant workers.

The new rules - expected to come into effect in 2009 – will mean the NMW of £5.73 per hour (applicable from October onwards) cannot include tips, suggesting good news for people in restaurant work and an end to unfair practice.

It will also increase the need for employers to let consumers know where their money is going, according to business secretary John Hutton.

He also said: "When people leave a tip … they expect it to go to service staff and as consumers, we've got a right to know if that actually happens."

The Independent reported on July 18th that restaurant group Tootsies and the Real Greek was neglecting to distribute all tips left for staff, revealing that employees were only receiving a "proportion" of the 12.5 per cent service charge added to bills.

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