Nice to see this still goes on Nice to see this still goes on
Posts 1 to 10 of 10
  1. #1

    My post count is Majestic

    vetran has reached the peak. Play again?

    vetran's Avatar
    Join Date
    Jul 2005
    Location
    Come Friendly Bombs
    Posts
    34,140

    Default Nice to see this still goes on

    Michel Roux Jr admits he keeps all the tips at his £212-a-head restaurant | Daily Mail Online

    I keep all the tips at my £212-a-head restaurant, admits Michel Roux Jr - days after revelations staff made less than the minimum wage
    It comes days after he apologised for his chefs not making the minimum wage
    He justified this by saying they share in the 13% discretionary service charge
    But he has now u-turned saying it is 'revenue' and that he keeps all of it
    Customers pay £212 each for the fixed price menu at La Gavroche in Mayfair
    yesterday you were having a go at Rio Ferdinand because he only donated £0.5M this bloke steals off his staff.
    "If you didn't do anything that wasn't good for you it would be a very dull life. What are you gonna do? Everything that is pleasant in life is dangerous."

    I want to see the hand of history on his collar.

  2. #2

    Super poster

    Scruff - scorchio!

    Scruff's Avatar
    Join Date
    Mar 2013
    Location
    Leafy Surrey (Lahndahn Tahn)
    Posts
    3,341

    Default

    I ate at Heston's "Perfectionist's Café" in October. I queried where the added service charge that was automatically added to the bill, went to. I was informed by the Waitress, that it went to the restaurant. They shared a portion of it out...

    I asked to have it removed and I paid her the equivalent, in cash.

    Greedy bastards

    PS - the food was very good, as an aside.
    Last edited by Scruff; 16th December 2016 at 10:07. Reason: PS
    I was an IPSE Consultative Council Member, until the BoD abolished it. I am not an IPSE Member, since they have no longer have any relevance to me, as an IT Contractor. Read my lips...I recommend QDOS for ALL your Insurance requirements (Contact me for a referral code).

  3. #3

    Lord of the Vectras

    VectraMan - scorchio!

    VectraMan's Avatar
    Join Date
    Dec 2005
    Location
    European Union (Yorkshire)
    Posts
    11,442

    Default

    I asked* my client if in addition to the agreed rate I could have a share of the revenue they got from their customers, but they said no ;-(.

    Seems to me tips are just a way for the business to justify underpaying the staff, as indeed is the case here.

    *Not really.
    Will work inside IR35. Or for food.

  4. #4

    Respect my authoritah!

    NotAllThere is always on top

    NotAllThere's Avatar
    Join Date
    Aug 2007
    Location
    Far away from HMRC
    Posts
    22,986

    Default

    I knew a mohel who got a lot of tips.
    Down with racism. Long live miscegenation!

  5. #5

    My post count is Majestic

    vetran has reached the peak. Play again?

    vetran's Avatar
    Join Date
    Jul 2005
    Location
    Come Friendly Bombs
    Posts
    34,140

    Default

    Quote Originally Posted by Scruff View Post
    I ate at Heston's "Perfectionist's Café" in October. I queried where the added service charge that was automatically added to the bill, went to. I was informed by the Waitress, that it went to the restaurant. They shared a portion of it out...

    I asked to have it removed and I paid her the equivalent, in cash.

    Greedy bastards

    PS - the food was very good, as an aside.
    Indeed when it first came in I questioned it, realised it was a revenue scam & I always cross through it.

    If anyone asks - "didn't you have good service / aren't we worth it" after I cross through I normally say either "If you don't pay your staff enough that is your problem, tell me does that service charge all go to to the staff?" or "No you need to invest in them" if they are any good I pay a cash tip.
    "If you didn't do anything that wasn't good for you it would be a very dull life. What are you gonna do? Everything that is pleasant in life is dangerous."

    I want to see the hand of history on his collar.

  6. #6

    My post count is Majestic

    d000hg - scorchio!

    d000hg's Avatar
    Join Date
    Dec 2007
    Location
    My house
    Posts
    32,778

    Default

    Quote Originally Posted by VectraMan View Post
    Seems to me tips are just a way for the business to justify underpaying the staff, as indeed is the case here.
    Or a way to reward performance, like employers paying sales bonuses but more direct as the customer chooses directly.

    I didn't know restaurants were allowed to keep the tips, I thought the law required them to distribute them.
    I can see the logic of accounting for the tips because otherwise it's un-taxed income.

    It's interesting how tipping culture varies around the world. Obviously the US is one extreme and I suppose the UK is somewhere in the middle, in Finland it's apparently a bit of a faux pas to leave a tip.
    Quote Originally Posted by MaryPoppins View Post
    I'd still not breastfeed a nazi
    Quote Originally Posted by vetran View Post
    Urine is quite nourishing

  7. #7

    My post count is Majestic

    vetran has reached the peak. Play again?

    vetran's Avatar
    Join Date
    Jul 2005
    Location
    Come Friendly Bombs
    Posts
    34,140

    Default

    Cash ones don't attract NI - learnt something!

    https://www.gov.uk/tips-at-work/tips-and-tax

    If you get cash tips directly from a customer, you have to pay tax on them but not National Insurance.

    If you fill in a Self Assessment tax return, you have to include the tips on it.

    If you don’t fill out a tax return then HM Revenue and Customs (HMRC) will estimate your tips based on information from you or your employer. HMRC will give your employer a tax code so they can collect tax through Pay As You Earn (PAYE). This is where tax is taken from your wages before you get them.
    and there is a code of Practice Mr Poux is ignoring.

    Discretionary Tips & Service Changes - Code of Practice - British Hospitality Association



    What deductions may be made from discretionary service charge or noncash tips paid to the restaurant before they are made available for allocation to employees?
    There is no legal requirement for the restaurant to allocate a particular proportion of the service charge or tip income to employees. However, a deduction for costs incurred in handling these sums would cover credit card and banking charges, payroll processing costs, and the average costs of credit card fraud. The level of costs deducted will vary, depending on the nature of the business. Any deductions made by the restaurant over and above those for these costs should be disclosed to customers as part of the disclosure process (see below).
    How should discretionary service charge and non-cash tips be paid out?
    Where discretionary service charge and non-cash tips are paid to employees by the restaurant, they are most commonly paid from the restaurant’s bank account, with Income Tax deducted under PAYE. The broad process for distribution of these amounts should be disclosed to customers as part of the disclosure process (see below).
    What disclosure should be made?
    Restaurants should disclose to customers how they deal with discretionary service charge and non-cash tips, at least by a written note available for inspection at each restaurant and on the restaurant’s website, if there is one.
    The disclosure should cover:
    i) Whether an amount is deducted for handling costs (and how much);
    ii) How the remainder is shared between the restaurant and the
    employees;
    iii) The broad process for distribution, for example, that they are shared
    between the employees in the restaurant through a system controlled
    by a representative of the employees.
    Le Gavroche - British Hospitality Association


    Doesn't seem to be on his website.
    "If you didn't do anything that wasn't good for you it would be a very dull life. What are you gonna do? Everything that is pleasant in life is dangerous."

    I want to see the hand of history on his collar.

  8. #8

    My post count is Majestic

    vetran has reached the peak. Play again?

    vetran's Avatar
    Join Date
    Jul 2005
    Location
    Come Friendly Bombs
    Posts
    34,140

    Default

    Quote Originally Posted by NotAllThere View Post
    I knew a mohel who got a lot of tips.
    So does NLYUK!
    "If you didn't do anything that wasn't good for you it would be a very dull life. What are you gonna do? Everything that is pleasant in life is dangerous."

    I want to see the hand of history on his collar.

  9. #9

    Some things in Moderation

    cojak is always on top

    cojak's Avatar
    Join Date
    Jul 2005
    Location
    Look to your right...
    Posts
    20,471

    Default

    Quote Originally Posted by Scruff View Post
    I ate at Heston's "Perfectionist's Café" in October. I queried where the added service charge that was automatically added to the bill, went to. I was informed by the Waitress, that it went to the restaurant. They shared a portion of it out...

    I asked to have it removed and I paid her the equivalent, in cash.

    Greedy bastards

    PS - the food was very good, as an aside.
    AA Gill alerted me to this and used to do exactly the same as you. He made quite a fuss about it, so I wasn't surprised that he wasn't very popular with restauranteurs.

    I do the same thing these days, I always make sure that I have cash in my pocket for tips when I go to restaurants.
    "I can put any old tat in my sig, put quotes around it and attribute to someone of whom I've heard, to make it sound true."
    - Voltaire/Benjamin Franklin/Anne Frank...

  10. #10

    My post count is Majestic

    vetran has reached the peak. Play again?

    vetran's Avatar
    Join Date
    Jul 2005
    Location
    Come Friendly Bombs
    Posts
    34,140

    Default

    Quote Originally Posted by cojak View Post
    AA Gill alerted me to this and used to do exactly the same as you. He made quite a fuss about it, so I wasn't surprised that he wasn't very popular with restauranteurs.

    I do the same thing these days, I always make sure that I have cash in my pocket for tips when I go to restaurants.
    and you get to shaft HMRC on the NI!
    "If you didn't do anything that wasn't good for you it would be a very dull life. What are you gonna do? Everything that is pleasant in life is dangerous."

    I want to see the hand of history on his collar.

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •