The Employment (Allocation of Tips) Act will take effect in the UK in October 2024 and will establish important guidelines for salon owners and protections for salon employees regarding tips.

According to research from Phorest, 93% of UK salon owners are still unaware of the legislation or have not yet planned for it. Part of the legislation requires salons and spas to maintain a written internal tipping policy that fully explains how tips and service charges are collected, allocated, and distributed to workers and states how the policy meets the terms of the legislation. 

The legislation also states that your staff must be informed of any changes to the tipping policy, but this isn’t just a legal necessity—it’s essential for keeping your salon running smoothly and maintaining a positive team culture.

If you’re looking for more background on the Act and the options you have for collecting tips and being compliant, you can find all that information on our dedicated website salontippingcompliance.co.uk.

To read the blog, click here.

Published on September 3, 2024 by Sorcha Mullis

Sign up here to access the FREE Salon Business Bites course and the downloadable content, and click here to get started with PhorestTips!