The Minister wishes to amend the Terms of Employment (Information) Act 1994 to provide that employers must inform employees in writing of the policy in relation to the distribution of cash and electronic tips and gratuities in that business, where applicable. The information will be included in the written statement of terms of employment that must be provided to an employee not later than five days after the commencement of an employee’s employment.
The Employment (Miscellaneous Provisions) Act 2018 amended the Terms of Employment (Information) Act 1994 to provide that five core terms of employment must be provided by the employer within five days of the commencement of employment. This further proposed amendment would bring the core terms to six.
The practice of tipping and the imposition of service charges is understood to be limited to certain sectors. However, for workers in relevant sectors, this move will ensure that employees are made aware of the policy in that business at the outset of the employment relationship.
The five core terms of employment currently specified are:
1. the full names of the employer and the employee;
2. the address of the employer;
3. the expected duration of the contract, in the case of a temporary contract, or the end date if the contract is a fixed-term contract;
4. the rate or method of calculation of the employee’s pay;
5. the number of hours the employer reasonably expects the employee to work per normal working day and per normal working week.
The other terms of employment required to be given to the employee under the Terms of Employment (Information) Act 1994 must be given within two months.
I trust this clarifies matters for the Deputy.