Tipping has been in the UK headlines recently after Parliament introduced a new law which bans employers from pocketing staff tips – but should Jersey adopt a similar set of rules?
The government has told Express that there are “no plans” to alter the Employment Law to regulate tips and how these are doled out to staff due to other priorities.
Dominic Jones, chief executive of JPRestaurants, nonetheless said that "greater transparency" in tipping would be "beneficial" to the Island and expressed a preference for the French system rather than the UK's.
Meanwhile, the leaders of the Jersey Hospitality Association said that watching how the new law fares in the UK before Jersey makes its move to regulate the custom could be the wisest choice.
While cash tips have always belonged to staff, until 1 October companies could choose whether to keep tips made via card or pass them on to employees.
Introduced through a Private Members' Bill – meaning the issue was brought to the table by a backbencher – the Employment (Allocation of Tips) Act and the statutory Code of Practice on fair and transparent distribution of tips came into force last Tuesday.
Pictured: Parliament has introduced the new law.
These changes will require employers to pass all tips, gratuities, and service charges on to workers, without deductions.
Under the new regulations, staff will also be given the right to see their employers' tipping policies and a record of how many tips were given, with the move aimed at bringing in "transparency and fairness" around how tips are handed out.
If companies break the law and retain tips, staff will be able to bring claims to an employment tribunal.
It applies across industries, but is expected to benefit those working in restaurants, cafes, bars, pubs, hairdressers, or as taxi drivers the most.
The law has largely been welcomed in the UK, with millions of workers expected to take home a total of £200m more every year.
In response to Express's question about whether officers were looking at something similar for Jersey, the Government said they were "aware" of the Employment (Allocation of Tips) Act recently introduced in the UK, but not planning to implement something similar any time soon.
Pictured: the Government has said there no plans to amend the Island's employment laws to regulate these matters.
The statement from the Social Security department added: "Jersey has its own Employment Law, and due to other priorities, there are currently no plans to adjust it in relation to the payment of gratuities.
"Business owners in Jersey are reminded that the Government, and the tipping public, expects all tips to be allocated fairly to workers."
Dominic Jones oversees popular restaurants such as Banjo, Crab Shack and Oyster Box – and said that there is no Islandwide policy on tipping. Businesses can very much choose their own rules and there is no obligation to pass tips onto employees.
At the latter end of 2021, Mr Jones said his business chose to challenge the convention of tipping which is ingrained in British culture and sees most people accustomed to paying an additional 10% to 15% for services. Instead, JPRestaurants removed tips from all of their restaurants and cafés and instead opted to pay staff at least the Living Wage so that they have a stable income that takes into account the cost of living.
Pictured: Dominic Jones is the CEO of JPRestaurants.
Speaking to Express, Mr Jones did not throw his support behind the law, but said: "We believe greater transparency in tips would be beneficial in Jersey for those that work in hospitality and their employers and customers."
He said "anything which leads to greater transparency on tipping is a good thing for customers, employees and for the sector – especially the sector, because the uncertainty of tipping can act as a discouragement for people who want to join after leaving school, for example".
However, he expressed a preference for the system in France rather than the UK.
"In France tips are not expected, service by law is included in the price and employees earn a good basic wage that can help them budget in quieter periods, better helps them obtain finance for a car or a house and generally would we believe encourage more local school leavers to consider a career in hospitality," he said.
"The system in France of 'the price you see on the menu is what you pay' would also help visitors and locals compare prices more easily.
"Locally some include service in menu price such as JPRestaurants, others add 10% of sometimes more to the bill and others leave it to the customers discretion."
He added that he could not see a tipping law coming onto the list of priorities for the Jersey government.
The Jersey Hospitality Association (JHA) represents the industry, and its co-CEOs Ana and Marcus Calvani have said it would be "wise" for Jersey to watch what happens in the UK with this new law before considering a similar move here.
Their statement provided to Express also clarified that there are no specific laws or policies on tipping in Jersey and it is down to individual establishments to set their own policy on how tips are distributed among their staff.
Pictured: the co-CEOs represent the Island's hospitality industry.
They said: "We encourage our members to pay fair salaries to reward their staff appropriately. Tips are separate to pay and should never compensate for wages.
"We always advocate complete transparency, but it is up to businesses how they are distributed, and it should provide an additional financial boost to staff and show that customers appreciate the team who prepared their food and served them."
They added that the new UK law was "widely consulted on" which gave the industry in the UK time to plan and adapt.
"There will no doubt be areas that need further work, so it would be wise for Jersey to watch what happens in the UK before considering a similar move," they said.
"Our government is currently sifting through many archaic and obstructive laws to make it easier to run businesses, create jobs and grow the economy.
"The industry is also preparing for the higher Minimum Wage next April and it would make sense to wait for businesses to adjust to that before considering further legislation on wages."
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