Restaurants may have to cross out the “20 per cent gratuity will be added to parties of six or more” line on their menus if a bill proposing the elimination of automatic tips gets passed at Queen’s Park. As Spacing points out, Bill 81 or the “Elimination of Automatic Tips Act, 2010” was brought forth by Liberal MPP David Caplan. A transcript of parliamentary proceedings had Caplan introducing the bill on May 20 (there’s also a YouTube video that had been viewed exactly nine times when we clicked on it).
Eliminating automatic tips, 2010, or EAT, prevents restaurant owners from charging automatic service charges in restaurants across Ontario.
The legislation has one exception. It excludes private functions and banquets. In this case, restaurant owners and operators would still be able to charge automatic service charges when dealing with private gatherings and banquets.
The bill is still in its early stages but no doubt it’s going to spur debates among patrons and those working in the hospitality industry. Should tips only be given out for exemplary service or are they a mandatory amount given to servers with a crappy job—even when they’re serving six people or more?