Employers cannot take their employees' tips unless there is a law or court order that allows them to do so.

• An employer is permitted to collect and redistribute tips to their employees.

• The employer cannot keep any of the tips

  • unless they regularly perform the same work as the employees who share in the redistribution, or

  • if they are in the same industry as other employers who commonly receive or share tips.

An employer can collect and redistribute tips among their employees, but they cannot keep the tips for themselves or deduct them from an employee's tips.

An employer cannot redistribute tips to certain prescribed employees, and neither an employer nor any director or shareholder can share in tips unless:

• they regularly perform work similar to the employees receiving the tips or other gratuities, and

• if they are a sole proprietor or partner in the business, or

• if they are in the same industry as employees who commonly receive or share tips.

ONT ESA Pt.V.1 s.14.2-14.4