New payslip requirements are set to come into force to include all workers, not just employees, and involve itemised calculations for variable rates of pay and hours worked.
Two amendments to the 1996 Employment Rights Act will become law on April 6 2019. From that date, employees and workers, including those under casual or zero hours contracts, must receive correctly detailed written, printed or electronic payslips.
The greater transparency is designed to help employees understand their pay and check that it is correct. It is also hoped that it will make it easier to identify if employers are meeting their obligations under the National Minimum Wage, National Living Wage and that holiday entitlements are correctly applied.
But while the change itself is straightforward, new payroll procedures and alternative software may be needed to satisfy the new requirements. There is also the more complex question for some companies as to whether someone is an employee, a worker or a self-employed contractor.
Many organisations do not recognise that even where someone is not an employee, they may still be categorised as a ‘worker’ and be entitled to certain rights such as the national living wage, paid holiday and sick leave. An employee may also be classified as a ‘worker’, but with extra employment rights and responsibilities.
The boundaries as to who is a worker and who is self-employed are increasingly difficult to pin down following high-profile cases involving Uber and other ‘gig economy’ companies, with individuals winning the right to be treated as a worker rather than a self-employed contractor.
“Many employers are not meeting legal minimum requirements because they do not understand their employment law obligations when it comes to workers. It’s hoped that this new process will be one step towards improved awareness,” explained employment law expert Sue Ball of Verisona Law.
“The distinctions between an employee, a worker and a self-employed contractor may not be clear cut for some organisations, so it’s important to keep abreast of what’s going on in employment law and what legislative changes are coming up. That way, you can keep ahead of the deadlines and make sure you’re facing up to issues that may otherwise pose difficulties later.”
What needs to be included in the written statement of wages
- the amount of gross wages or salary
- for any part that varies according to time worked, the total number of hours worked and the rate of pay, either as a single aggregate figure or separately for each type of work or rate of pay
- the amounts of any deductions and what they relate to
- the net amount of wages or salary payable
- if paid in parts, the amount and payment method for each part
Here are the types of cases we handle:
- Contracts of Employment
- Employer Staff Handbooks
- Redundancy Process
- Breach of Contract
- Breach of Restrictive Covenants
- Tribunal Claims
- Settlement Agreements
- Consultancy Agreements
Sports and Football Law
- Contracts of Employment
- Service Agreements
- Contractual Issues
- Executive Departures
"Over the years, I have developed a great trust in my working relationship with Mike Dyer, Head of Commercial Law at Verisona. One of the things I value most is that he is always at the end of a phone. On the rare occasions he is unavailable, his secretary is always well informed and very helpful. Through Mike, I have met many other members of Verisona and, just like in the recruitment industry, they understand the importance of being treated like an individual. They make me feel valued and important to both them and their business. At Verisona, you always deal with real people who you know and are in a position to help. Most importantly, Verisona delivers. We recently had an urgent situation regarding the restrictive covenants of new members of staff. Employment specialist Susan Ball came in on a day off to listen to us, dissect and analyse the situation, and translate what we wanted to achieve into the best possible legal language and solution. This is just one example of the calm, efficient professionalism I have come to value from Verisona over the years. Verisona has a refreshing approach to the law. They are there when we need them, always easy to talk to, go out of their way to make sure that we understand what they are doing for us and why, and always get the best results".
Legally enforcing the tribunal award
To enforce the Tribunal award we applied to the Defendant’s local County Court for it to be registered and for permission to enforce the award.
The Court granted the application and on the Register of Judgments, Orders and Fines. As a result the Tribunal award would appear as a County Court Judgment which would likely affect the Defendant’s credit rating.
Time limits for enforcing Tribunal awards
It is worth noting that there is no time restriction for registering or enforcing a Tribunal award. You can enforce one even if it is several years old. In addition, it is usually possible to claim interest on the amount until you receive payment.
A commercial business
"Thanks for all your help on this - you've been so helpful to me in guiding and explaining everything, so just to say thank you for obviously helping represent my case but also allowing me to understand the process and giving me greater awareness of what I need to be mindful of when signing future contracts".
Former employee of professional football club
Sue was easy to deal with and offered all options available. Jane was in contact beforehand to tell me what information was needed and Sue was prepared for our meeting. I cannot praise Sue and Jane enough and would have absolutely no hesitation in reommending Sue and her team.