Oireachtas Joint and Select Committees

Thursday, 10 October 2019

Joint Oireachtas Committee on Social Protection

General Scheme of the Payment of Wages (Amendment) Bill 2019: Discussion

Ms Amy Sweetman:

If I may, I believe the legislation, as it defines service charges, does not dictate where the service charge should end up. As we stated previously, that would be at the discretion of the employer. We need to be very cautious in that we cannot dictate to any of our members under current competition law where any moneys entering the business are subsequently disbursed. However, we fall on the side of the argument that tips and gratuities are always to be disbursed in full to the employee. On service charges, it is our understanding that under current contract law and under the definition in this Bill, it is for the employer to determine where they go and we will have no influence over that decision.

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