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15 / Apr / 2024
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What’s the story?
In July 2024 the UK Government will enforce a new law that impacts the entire hospitality industry. Specifically this will impact how businesses collect, process and distribute staff tips.
The Employment (Allocation of Tips) Act 2023 has a number of key impacts on businesses;
Does this sound familiar?
A jar or tin with loose change collected over time, distributed by a manger every now and then when it looks relatively full.
The option on your card machine to leave a tip by card, with the tip having the card fees & processing fees deducted, before being split out from revenue and added onto the payroll or dished out another way.
The penalties for the above scenarios which are not compliant with the new legislation could be up to £5000 per claim!
What should you do about it?
There are some key changes that must be made before July 2024 in order to ensure business remain the right side of the law.
If you are collecting tips in cash;
If you are a cashless business and do not take any cash tips then you should look to implement a digital tipping solution to ensure you are compliant.
Read about the new regulations for yourself here
An industry solution – RWRD TipBox
TipBox has been handling tips within the coffee industry since 2022, closely following the recent law changes.
TipBox offer a simple solution to ensure your shop is fully compliant with all regulations, and your team are collecting maximum tips.
What does TipBox Offer:
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