Club Steward

Stewards Contract

Steward’s / Bar Manager’s Contract

A properly drafted contract of employment is a key document for any club operating a bar, whether the role is described as steward or bar manager. The contract defines the employee’s rights and obligations and sets out the contractual arrangements between the club and the employee, particularly in relation to stock control, cash handling and the treatment of deficits.

In practice, we increasingly encounter contracts that are poorly drafted or based on outdated templates, with key clauses omitted. Where this occurs, reclaiming cash or stock deficits from the employee can be difficult and, in some cases, legally unenforceable.

When appointing a new steward or bar manager, or when renegotiating an existing contract, clubs are strongly advised to obtain specialist employment law advice or guidance from their governing or federal body. While ACAS is a useful general source of employment law information, it is not an appropriate source for drafting or reviewing steward or bar manager contracts.

Set out below are examples of clauses that clubs may wish to consider when drafting a contract.

Stocktakes and Deficits

The contract should make clear that:

  • The steward has charge and control of all bar and cellar stock.
  • Stocktakes will be carried out at the commencement and termination of the contract, during periods of holiday, and at such other times as the club reasonably requires.
  • The steward or bar manager shall attend stocktakes and confirm or agree the accuracy of the stock count.
  • There are clear procedures for checking, querying and appealing against the accuracy of stock reports.
  • Subject to reasonable notice and due process, the steward or bar manager shall repay to the club any deficiency of cash or stock and shall compensate the club for any loss arising from their act or default.
  • In accordance with well-established case law, any stock surpluses shall remain the property of the club.

The contract may also include specific provisions relating to the supply of products, approved suppliers, and compliance with the Licensing Act and licensing conditions.

Accommodation

Where the steward or bar manager occupies a club house or flat, this should be clearly documented in the contract.

The provision of rent-free accommodation required for the better performance of the employee’s duties remains one of the few tax-free benefits recognised by HM Revenue & Customs. As a general rule, no rent should be charged. Charging rent not only risks creating a tenancy but can also give rise to tax liabilities for both the club and the employee.

The principal exception relates to charges for gas, electricity and other services provided by the club. These should be recovered from the employee as a contribution towards accommodation expenses, rather than rent, to avoid unintended tax and legal consequences.

Deposit Bond

Where the steward or bar manager provides a cash deposit or bond, the contract should clearly state:

  • Where the funds are held.
  • Whether interest is payable, and at what rate.
  • That any deficiencies of cash or stock may be deducted from the bond, subject to due process.

On termination of employment, and following receipt of a satisfactory final stock report, the contract should set out the procedure and timescale for repayment of the deposit and any accrued interest.

Club Membership

The steward or bar manager should not be a member of the club. Where the individual is already a member, the contract should require that membership be suspended for the duration of the employment.

Final observations

Experience consistently shows that it is unwise for clubs to draft their own employment contracts. Templates found online or adapted informally often fail to reflect the realities of club operations and expose the club to unnecessary legal risk. Advice should always be obtained from the club’s governing body or from an employment law firm familiar with steward and bar manager arrangements in members’ clubs.