A number of restaurant workers at The Ivy Collection claim bosses have slashed the percentage of service charge they receive.
Staff at the restaurant group, which has more than 40 restaurants across the UK and Ireland including The Ivy Spinningfields Manchester, alleged that their share was cut following the rise of the legal minimum wage in April, which saw the National Living Wage for those aged 23 and over rise from £9.50 to £10.42.
Ivy employees told the Guardian that their wages had ‘not appeared to have risen’ following the minimum wage increase. Troia (UK) Restaurants Limited, which is the parent company of The Ivy Collection, said all staff members are ‘guaranteed’ to be paid above the national minimum wage.
Try MEN Premium for FREE by clicking here for no ads, fun puzzles and brilliant new features
The publication reports that employees are paid an hourly ‘commission’ rate graded to their position and location. This rate does not change regardless of how much is collected from service charge, but it is believed to have been affected by the legal minimum wage increase.
Speaking to the Guardian, one worker claimed the Ivy Collection had not informed them that their share of the service charge would be cut. They alleged that they only realised what had happened after their pay failed to increase following the changes to the national minimum wage.
Another worker said ‘the prices on the menu have increased but staff are getting less’. Another member of staff detailed how their rent had increased by 50% whilst their wages remained the same.
One other worker said they felt that diners were less inclined to tip staff after already paying the restaurant’s service charge.
A spokesperson for Troia (UK) Restaurants Limited, said: "Every single member of our staff is guaranteed to be paid above the national minimum wage and all cash or credit card tips are kept directly by the member or members of the team who received the tip.”
