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Ontario tipping legislation comes into effect June 10


April 6, 2016
By Restaurants Canada

Toronto – Legislation governing tipping in Ontario restaurants will come into effect on June 10, 2016.

The Protecting Employees’ Tips Act, 2015, which amends the province’s Employment Standards Act, lays out rules for pooling tips between employees.

Restaurants Canada summarized the law on the association’s website:

  1. Employers may oversee and distribute tip-pooling agreements as long as they don’t receive a share of the tip pool.
  2. The only exception to #1: Employers may participate in tip pooling only when they do the same work as others in the tipping pool.
  3. The legislation doesn’t apply if a collective agreement exists that says otherwise.
  4. If tips are put on credit cards, the credit card fee can be deducted from the amount given to staff.

 For more information, read the Restaurants Canada briefing document.

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