Service Charges Should Now be Shared by Covered Employees under R.A. 11360 and no Share to the Management
On August 7, 2019 Republic Act (R.A.) 11360 was enacted mandating that all service charges collected by hotels, restaurants and similar establishments be distributed completely and equally among the covered workers except managerial employees. This amends Article 96 of the Labor Code, as amended. See the PDF Version of R.A. 11360 Here The law does not include any share for the management. Previously, the distribution used to be 85% for the workers and 15% for the management. Draft and Formulate Your HR [...]