Tips and Troncs Consultancy Service
Make sure your tipping policy and tronc is compliant and fair
The change in legislation requires all operators to review their Tips Policy
The October 2024 Tips Allocation Legislation has set legal compliance requirements for hospitality operators regarding how they distribute tips given by their customers.
The law is centred around a concept of fairness, with 100% of the tips going to staff.
It also requires a clear and transparent Tips Policy that is available and understood by all employees.
A fresh look at your tips policy and tronc scheme
You may have a tronc scheme in place and therefore feel you are compliant with the new legislation, but this is not necessarily the case.
There are changes in the new legislation that could affect a pre-existing tronc scheme. Here are a few things to think about;
- How are you dealing with Agency Workers who are now eligible for a share of the tips?
- Tips cannot be pooled across different sites. How can you manage this if some sites bring in higher or lower levels of tips?
- Tips cannot be withheld for distribution at a later date. This was often used to smooth out seasonality.
- Fees for administration or transaction fees can not be taken from the tronc pool.
If you are worried about the compliance of your tronc scheme, get in touch with ‘Tips and Troncs today.
Our tronc consultants can review and make recommendations to ensure compliance.
Employee consultation
Whether you operate a tronc scheme or not, employee consultation is key to demonstrating fairness. Employees should be consulted and also clearly communicated regarding the Tips Policy you operate.
Gone are the days when employees don’t know where the tips are going and how their share has been calculated. What do you have in place to engage with your employees?
- Regular surveys to gather opinion
- Part of your onboarding process
- Easy access to written Tips Policy
- Easy access to written Tips Policy Tronc scheme agreement/constitution
Our consultancy service can help you put in place processes tp engage your employees, gather their feedback and ensure they are consistently communicated to regarding your Tips Policy.