Workers at several prestigious London restaurants are contemplating legal action against their employers over cover charges added to customers’ bills, which they claim do not benefit staff. The new legislation, implemented in October, mandates that all tips and service charges be given directly to employees, but restaurants have introduced additional cover charges that are not passed on to workers.

Staff from the Savoy Grill, the Ivy, the Wolseley, and Harrods are among those seeking to address the issue. At Harrods, employees have even gone on strike, demanding that the £1 cover charge be allocated to staff rather than the company. United Voices of the World (UVW), representing Harrods workers, is supporting an employment tribunal to challenge the levy.

Alice Howick, a Harrods staff member, argued that the cover charge should be considered a service charge and should be passed on to employees. Bryan Simpson from the Unite union also criticized the use of cover charges, stating they are essentially tips and should be given to workers. He warned that using cover charges to boost profit margins rather than support staff could be immoral or even illegal.

Several restaurants, including The Wolseley and The Ivy, defend the charges, stating they have been in place since their openings. However, the ongoing legal discussions highlight concerns over the enforcement of the new rules, which carry penalties of up to £5,000 per person for breaches.