Ontario bans employer clawbacks on tips

New law lauded by employers, employees alike
By Sabrina Nanji
|Canadian HR Reporter|Last Updated: 01/22/2016

Service industry workers in Ontario will no longer see their employers taking a cut of their tips after a new law was passed late last year. 

Bill 12, the Protecting Employees’ Tips Act, effectively prohibits employers from withholding employees’ tips or other gratuities for workers in the service industry, such as restaurant, spa and hotel employees.