The waiters get the full tip

100 euros tip replacement for hairdressers and waiters: employers on the brakes

It was something of a little extra treat for employees who have to work short-time because of the lockdown. Shortly before the start of the second hard lockdown in mid-November, employees and employers agreed to reimburse employees in blocked industries for part of the tips they lost.

The union had pushed for more, in the end they agreed on 100 euros. This tip replacement should be given to waiters, but also hairdressers, masseurs, podiatrists and beauticians. 100 euros does not sound like a lot of money for some, but the starting salary of a trained hairdresser is 1,500 euros according to the collective agreement for full-time employees, so the hundred makes a difference.

But the disbursement of the money is now becoming a problem. Specifically, employers are on the brakes. The representatives of the hairdressers, masseurs, beauticians and podiatrists are currently rejecting the signing of an additional collective agreement with the union regarding the 100s. The dispute revolves around the question of how much employers will get replaced by the Public Employment Service (AMS) if they pay out the 100 euros.

Who bears the costs?

The industry representatives from the Chamber of Commerce fear that some of the companies will be left with the costs for the whole action. The agreement between the social partners actually stipulated that employers would pay out the 100, but could then get this money back from the AMS. This was agreed in the form of a rough puncture. How the billing should work in detail was not clarified.

And here it is now. Put simply, the problem can be summarized in such a way that the AMS EDV is not specially programmed for this special case of tips and therefore in some cases the full 100 euros cannot be replaced.

When accounting for short-time work, employers must state how much the employee earns. The short-time work allowance that the entrepreneurs receive is then calculated on this basis. In the event of a 100 percent failure, the entire costs including social contributions will be reimbursed. If the loss is only 50 percent of the working time, then less is replaced by the AMS.

In November the lockdown started on the 17th, so there are only two weeks together. If entrepreneurs pay out a tip of 100 euros, the AMS does not give them back the full 100 euros. The second problem only applies to some employees. Depending on the level of earnings, the amount of short-time allowance varies somewhat. In some borderline cases, only a few euros decide which groups an employee falls into. The tip 100 does not change anything for employees, but is not always fully replaced because of this variation. An example: If a hairdresser earns 1,699 euros and is fully absent for a month, the employer would receive 2,338.32 euros from AMS. At 100 euros more, however, the replacement rate would only increase by around 30 euros.

The EDP billing for short-time work at the AMS affects hundreds of thousands of people month after month. Reprogramming here because of the tip dispute is considered tedious and expensive.

Much ado about little money or justified worries?

And what do the social partners say? Anna Daimler from the service union Vida criticizes the employers: "100 euro tip replacement for a month means that the employees get 3.40 euro a day. The fanfare that the employers make for this amount is dispensable. That is the least thing Employees in difficult times like these. " The union is willing to negotiate about a partial payment of the tip 100 because the lockdown was shorter.

Is it really just hoopla about a few euros? Reinhard Kainz, Managing Director of the Federal Department of Commerce and Crafts, sees it differently: "We have member companies in this area with more than 1,000 employees. These are no longer small sums of money that are at stake here. In times like these, that can be decisive. " The employers are ready to conclude an additional collective agreement and also pay out the 100, but only if costs are fully reimbursed as agreed.

The same discussions are also taking place in the catering industry. There the 100 was already paid out in November, but the problem was discovered in the course of the accounting. A second tip payment was agreed for December. But because of the points of contention described, there has not yet been any agreement between the social partners.

Around 20,000 hairdressers and another 9,500 people work as podiatrists, beauticians or masseurs in Austria. (AndrĂ¡s Szigetvari, December 10th, 2020)