Hout Street restaurant’s ‘no tips’ policy causes a stir

Published May 23, 2023

Share

Cape Town -An upmarket restaurant in Hout Street has caused outrage on social media over their letter alerting staff members that if they accepted any cash or card tips from customers without prior permission from the general manager, it would be considered misconduct.

The letter from Zsa Zsa, in Hout Street, to staff members has drawn vast criticism.

The restaurant said the decision was made with the intention of ensuring “fair and equitable compensation for all employees”.

The letter read: “The company will implement a service charge on all orders and/or tables.

“This service charge will be retained by the company and will be distributed among the staff at the discretion of the employer/company.

“Therefore no staff member may accept any card and/or cash tips/gratuities/gifts from today, the 16th of May 2023 onwards until notified otherwise in writing.

“If any customers, clients, and/ or guests wish to add additional tips/ gratuity/gifts over their service fee on their bill, the employee will be obliged to notify their general manager who will address the situation at his own discretion.

“Please note, if any employee accepts cash and or card tips/gratuity/gifts from customers, clients,and/or guests without prior written permission and/or authorisation from the general manager, it will be seen as misconduct and the company will reserve its right to address this conduct in a disciplinary aspect.”

The Department of Employment and Labour in the province said they would be looking into the matter.

In a response on Monday, the restaurant said that by distributing the funds among staff, at the discretion of the employer or company, they were able to ensure that everyone was compensated and worked together as a team.

Tips are pooled and distributed between waiters, barmen, runners and kitchen staff.

“We believe that this approach will ultimately lead to happier, more motivated staff members who are better able to provide excellent service to our customers.

We understand that some customers may have reservations about this policy, but we believe that it is in the best interest of both our staff and our patrons.

We encourage anyone with questions or concerns to reach out to our management team, who are always available to discuss our policies and answer any questions that may arise,” they said.

Capetonians shared their views on the matter on social media.

The restaurant said it was aware of the criticism.

Cape Times

Related Topics:

Cape TownRestaurants