Should Tips be included in a Minimum Wage Package ?
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Should Tips be included in a Minimum Wage...Expand / Collapse
Should Tips be included in a Minimum Wage...
Poll ResultsVotes
Yes
 
57.14%
4
No
 
42.86%
3
Member Votes: 7, Anonymous Votes: 0. You don't have permission to vote within this poll.
Author
Message
Posted 05 November 2007
 

Group: Administrators
Last Login: 24 September 2008
Posts: 127, Visits: 118
With a minimum wage just around the corner (not sure which corner yet) and unaware of the amount to be set, do you think that a Tips should be included in a minimum wage ruling?

It seems that the UK thinks they should be apart from the revenue department (no suprise there then) but what do you think.

It seems that if you pay your tips through your wage system and the correct records and TAX is paid, then they can be counted.

It is important to get your feelings on this, no feedback either way means makes life difficult when making representation to the states 

Post #642
Posted 05 November 2007
 

Group: Administrators
Last Login: 24 September 2008
Posts: 127, Visits: 118
Comment from a non industry source

Dear Chris,

My thoughts are that tips should not be included, they are bonus and should be treated as such, some people I know, quite a few actually (!!) do not feel obliged to tip when dining out in Guernsey, as opposed to the US for example where its common place.

Just my 10 pence worth anyway!

Regards,

Post #645
Posted 05 November 2007
 

Group: Forum Members
Last Login: 17 January 2008
Posts: 7, Visits: 8
I think that some who are not in the industry may belive that all the tips that they give are shared between the staff, well maybe not.

If the tips are paid through a payroll system then at least we would know that some of the money is going to the right people even if they would have to pay tax on it.

Post #647
Posted 05 November 2007
 

Group: Administrators
Last Login: 15 September 2008
Posts: 81, Visits: 309
Dear Chris

RE: Minimum Wage

Thank you for your email. Please do not include tips into the criteria as this will only open a can of worms.

Kind Regards

K H Wegerer



Regards
 
Administration Team
www.guernseychamber.com
 
 

 

Post #654
Posted 05 November 2007
 

Group: Forum Members
Last Login: 11 January 2008
Posts: 8, Visits: 14

I guess it depends on how much of a percentage the public want their meal cost to increase by. Include tips in the MW calculation for a lesser amount, exclude them for a greater amount. As far as I am concerned, include them, and make the tip amount clear in terms of taxable income. The only unfortunate issue is that tips cannot be guaranteed, and so there is a danger that the restaurant is going to "top up" where there is a downfall.
Post #656
Posted 05 November 2007
 

Group: Administrators
Last Login: 24 September 2008
Posts: 127, Visits: 118
A comment from a local deputy

"Chris, a difficult one, I think of tips as an appreciation of good service, I think of service charge as an excuse to hitch the price up!!" 

Post #659
Posted 05 November 2007
 

Group: Administrators
Last Login: 24 September 2008
Posts: 127, Visits: 118
Chris Sharp (05/11/2007)
A comment from a local deputy

"Chris, a difficult one, I think of tips as an appreciation of good service, I think of service charge as an excuse to hitch the price up!!" 

I can understand the sentiments of this but would the states be in a position to fight not including it when you see whats happened in the UK. Do you also think its fair then that the states take 20% TAX from a tip that you give to a member of staff ?? in good faith

 
Now thats a question and a half
 
I am not saying I am in favour of tips inclusion and I am sure the decision would not be ours to make anyway but rumours are that if tips are included in the minimum wage then you would see service charges appearing somewhere.
 
Interestingly, I dont think its waiting staff who will be affected by a minimum wage, its got more chance of affecting chambermaids or Kitchen porters who dont have the skills set of front of house staff (generalisation sorry). Historically though, these staff tend not to get tips.
 
 
Post #660
Posted 05 November 2007
 

Group: Forum Members
Last Login: 10 January 2008
Posts: 11, Visits: 9
I dont think it makes any difference if tips are included - the minimum rate will only be the going rate even if it is £6 per hour once you take into account food and board. But if it is - then it should be based on whats paid through the wages so bosses can't just come up with a figure and make the member of staff responsible for paying there own tax as that never happens !!!
Post #662
Posted 06 November 2007
 

Group: Administrators
Last Login: 24 September 2008
Posts: 127, Visits: 118
More feedback

Having had the minimum wage on my manifesto in the bye-election in 2005, I am more that pleased that at last something is being proposed for those who may be being exploited in this prosperous Island. I am interested in your comments re tips, which I see as a means of employers not paying proper wages. Very rarely do I tip, I resent the fact that those giving a good service are not being rewarded reasonably by their employers for the work they do. Having worked all my life in a profession where there were no perks and many brickbats, I find it awful that individuals have to rely on others' generosity to make a living wage. To add tips to the wage system makes it even worse in my eyes!

Post #663
Posted 06 November 2007