Seanad debates

Tuesday, 1 February 2022

Payment of Wages (Amendment) (Tips and Gratuities) Bill 2022: Second Stage

 

2:30 pm

Photo of Lynn BoylanLynn Boylan (Sinn Fein) | Oireachtas source

I welcome the opportunity to participate in the debate. I commend Senator Gavan who really drove this issue in the previous session. Through his work and the work of the trade unions, focus was brought to bear on the hospitality sector, particularly those rogue employers who were withholding tips from employees. There is a need for a broader conversation about what needs to happen and how we have arrived at a point where employees are reliant on tips due to low pay and conditions in the hospitality sector. As others have said, there was a time when tips were a bonus and a way to acknowledge staff who went above and beyond. Unfortunately, in Ireland now, tips are becoming an essential part of workers' salaries. The fluctuation from week to week and month to month is only adding to the precarious nature of the sector and to the stress of the workers. This sector is especially characterised by its young workforce, predominantly female and with a significant number of migrant workers.

It is fair to say we all know there are many excellent employers in the hospitality sector. I worked for one myself on and off in a café on George's Street for years and it put me through college. It was also there for me to fall back on when the crash happened and I lost my job that I had studied for in college. There, the staff had full control over tips. The only role the owner of the business had was at the end of the month to change all the coins that were collected into notes for the staff. I compare that to the more recent experience of somebody who works in my office, which was very different. Their wages were stopped for breakages. They had repeatedly to request the money that was owed to them when they finished working there. Luckily, they kept all the evidence in writing.

We have seen that the restaurants and hospitality lobby has been very vocal. It is very strong and forthright in saying what it wants and it was given lots of airtime, particularly during the pandemic. Too often it is the workers' voices that are not heard. There is some imbalance in this Bill. Maybe that is because we need to hear more from the employees and less so from the employers. That is not to discount the very welcome provisions of the Bill as outlined by others here. There are improvements that need to be made and I hope we can do that through amendments.

One particular concern is the difference in treatment of cash and card payments. I hope that can be resolved. Initially, payment by card was seen as the higher risk for people who working in the sector. Certainly as someone who has worked in it, when paying by card I always ask if the staff get the tip if it is put on the card or if it goes to the employer. We cannot now have a situation where, if they are getting a cash tip, they are going to lose the protection. That needs to be fixed.

I welcome that the Bill will make it compulsory for customers to be notified of the policy of the establishment. It is important that the public vote with their feet when we hear about people who do not treat their workers right. I commend the campaign by the trade unions and the USI that highlighted the practices in the Ivy. It is concerning that mandatory service charges can still be imposed and used as an income by the employer. Not only does that lead to confusion for customers about what they are paying, it also reduces the amount of money they have available to leave a tip so that the workers more than likely will lose out.

I welcome the introduction of the Bill. I commend Senator Gavan on getting the ball rolling on this. The present Bill is a welcome next step. I hope the Minister and the Government will work with the Opposition on amendments to achieve what we have heard everybody flagging. There are genuine concerns but most people welcome the fact the Bill is coming forward. Once we get that right we can move on to the more important work of ensuring those in the hospitality sector earn a living wage and have secure working conditions so they can see the sector as a rewarding career choice. The best way to address staff shortages in the sector is to make it a viable career choice for people. We will only do that when we have respect for those who work in hospitality and pay them a living wage.

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