Download Tips & Gratuities Policy
From 1 December 2022, the Payment of Wages (Amendment) (Tips and Gratuities) Act 2022 introduces new rules as to how employers will have to distribute tips, gratuities and service charges amongst employees.
Employers will be required to clearly display their policy on how tips, gratuities and services chargers are distributed.
Under the Act, employers are required to:
· Ensure all electronic tips are distributed fairly and in a transparent way.
· Keep records of how tips and gratuities are distributed in the event of a complaint/Workplace Relations Commission inspection.
· It will also be illegal for employers to use tips or service chargers to form part of the basic wages.
The new rules apply to employers in the following service areas:
Restaurants, cafes and bars
Hotels, guesthouses, hostels, bed and breakfast, self-catering accommodation facilities or any similar accommodation facilities.
Providing guided tours.
Cosmetic skin or nail care.
Tattoo or piercing services.