Quebec government proposes new legislation to change the way tips are calculated
The Quebec government has recently proposed a new legislation that would require tips to be calculated before taxes. This change would affect all workers who receive tips, including restaurant servers, hairdressers, and taxi drivers.
The current practice in Quebec is to calculate tips based on the total amount of the bill, including taxes. This means that workers end up paying taxes on their tips, reducing their overall income. The proposed legislation aims to address this issue and ensure that workers receive the full amount of their tips.
According to Labour Minister Jean Boulet, this change would benefit workers by increasing their take-home pay. He stated, “Tips are a form of income for workers, and they should not be taxed. This change will ensure that workers receive the full amount of their tips, which they rightfully deserve.”
The proposed legislation has received support from various worker advocacy groups, who believe that it will help improve the financial stability of workers who rely on tips as a significant portion of their income. However, some business owners have expressed concerns about the potential impact on their bottom line.
The Quebec Restaurant Association has stated that while they support the idea of workers receiving their full tips, they are worried about the added administrative burden and potential increase in labor costs for businesses. They have suggested alternative solutions, such as implementing a tip-sharing system among all employees.
The proposed legislation is still in its early stages and will need to go through the legislative process before it can be implemented. If passed, it would make Quebec the first province in Canada to require tips to be calculated before taxes.
In the meantime, the government is encouraging workers and business owners to share their thoughts and concerns about the proposed change. The goal is to find a solution that benefits both workers and businesses while ensuring fair compensation for workers who rely on tips.
This proposed legislation is a significant step towards improving the financial well-being of workers in Quebec. It will be interesting to see how it progresses and the potential impact it will have on the province’s workforce.