Employment and business

GMB’s fair tips and pay charter

GMB Soho equality project on workers rights, tips and service charges. Image: Clare Lynch

This week the GMB announce a new fair tips and pay charter for the restaurant, bar and leisure industry.

The charter developed by GMB Soho project worker Sarah Hurley asks employers to comply with eight pledges on pay, tips and workers rights.

The charter begins by asking for staff to receive 100% of all tips collected via cash and card.

This pledge is a change from the government’s 2009 Code of best practice on service charges, tips, gratuities and cover charges that suggested employers could rightfully retain up to 10% of tips.

LMMN spoke to Sarah Hurley about the distribution of tips and the complicated system known as tronc.

The charter’s following points asks employers pledge to pay all staff £10 per hour supported by a reduction to their business rates by the Mayor of London.

What’s missing are details on how local authorities will administer this support and what percentage of business rates will be used to raise hourly pay to £10.

Equally unusual in the hospitality trade are pledges that ask the employer to pay the living wage to employees who have had an accident at work where most employees currently receive statuary sick pay.

GMB London region have sent their charter to Sadiq Khan, Mayor of London and Amy Lame, London’s Night czar.

They are currently awaiting a response regarding their suggestion of business rates reductions in return for fair pay.

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