What is Tronc?
What is a tronc?
A tronc is a pay arrangement that enables businesses in the service industry, fairly share staff tips. From the 1920’s where “tronc des pauvres”, or collecting boxes, were used to accept donations for the poor.
With the new tipping bill passing through parliament and due to come into force April 2024, more businesses will look for ways to ensure they are compliant with the Employment (Allocation of Tips) Bill. With its focus of providing transparency for those working in the industry – we’ll go onto where grtfl’s platform comes in shortly…
What is a troncmaster?
A troncmaster is the person or business responsible for sharing tips to staff through a tronc scheme. The decision to appoint a troncmaster lies with the business looking to implement the system.
Due to an ever growing number of people working in the industry wanting and demanding more transparency, and fairness, the demand for independent troncmasters is increasing. This is a business such as grtfl who are not employees of the business in order to remove the admin of operating a tronc, ensure it remains compliant with HMRC, and that there is transparency and fairness for all involved.
What are the benefits of a tronc scheme?
Benefits of an independent TRONC are:
- The scheme is independent, free from employer interference, run for the benefit of staff
- Direct cost saving for the business due to tronc earnings not attracting NI.
- Employees earn more due to tronc earnings not attracting NI.
- Staff can get up to 100% ownership of their tipping and tronc income.
- Improve staff motivation and retention as employees feel valued and rewarded.
Grtfl TRONC, vs others:
- Completely bespoke– Creating a best-in-class solution so you can get the most out of your team and streamline operational overheads.
- No more waiting for payday – staff can get their tips quicker through our neo-bank platform.
- Retain great talent – give your team 100% transparency over their tips and TRONC earnings through the grtfl platform.
- Grtfl dashboard – management can easily see tipping trends throughout the group, per site along with other info to enhance data driven decisions.
How to set up a tronc scheme?
Grtfl supports a wide variety of fantastic businesses in the hospitality, and Hair & Beauty sector by acting as their 3rd party, impartial troncmaster. Our troncs are fully compliant with HMRC, and the new tipping bill (of what we know today) and provide 100% transparency on all eanrings for the team members. Working with the business, and the team to create a bespoke, and best in class solution – the best tronc for your business.
Are you considering setting up a tronc scheme? If so, get in touch and one of the team will be more that happy to help.