Great Britain: controversy building over processing charges for customers’ tips after a pay sensitive summer

The battle for waiters and waitresses to receive their full tips has heated up over the summer. A host of restaurants (Angus Steak Houses, ASK Italian and Zizzi, Café Rouge, Prezzo, Strada, Pizza Express and Byron Burgers) deduct up to 10% of the tip for processing costs. They are now coming under pressure to end this practice. Other restaurants (such as Frankie & Benny’s, Chiquito and Garfunkels, Gourmet Burger Kitchen, Slug and Lettuce, Wagamama, YO! Sushi, TGI Fridays, Wahaca, Jamie’s Italian, Pizza Hut, Carluccio’s and Hard Rock Café) do not follow this practice.
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Processing charges inquiry. Recent months have witnessed several changes. Since the Unite union-led campaign began to end the charging for processing tips, Giraffe (owned by Tesco) has stopped charging its 10% fee. Business Secretary, Sajid Javid has told restaurants to pay tips in full to waiting staff, stating “… as far as I’m concerned, tips belong to the staff. I’m getting increasingly concerned about the practice of some restaurants, and will be taking a serious look into the issues raised

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