Monthly pay and minimum wage

[UKSBD]

I will be taking someone on soon just to work 12 hours a week Monday/Tuesday

With other employees (Wife and myself) I just simplify things by multiplying hours by 52.3 then dividing by 12 and paying a monthly wage.

Is this acceptable with a new employee?
In most months they would working 8 days, but if the 1st of month fell on a Monday they could work 10 days that month and fall below minimum wage.

Are we allowed to do this or do we have to actually pay for the days worked in each period?

 

[Newchodge]

You can do that, as long as you calculate the number of working hours in the annual period and make sure that NMW is paid for every hour.

It was one of the things covered in this thread

https://www.ukbusinessforums.co.uk/threads/employment-law-or-health-safety-questions.373293/

 

[UKSBD]

thanks,

So if they leave half way through the year you have to calculate what they were paid to ensure they received minimum wage, and top it up if they haven't?

 

[Newchodge]

thanks,

So if they leave half way through the year you have to calculate what they were paid to ensure they received minimum wage, and top it up if they haven't?

Effectively, yes. Or pay them 4-weekly.

 

[DontAsk]

Millions of people are paid a fixed monthly amount, despite months of varying length.

 

[Mr D]

Millions of people are paid a fixed monthly amount, despite months of varying length.

And based on annual salary rather than hourly rate.

I am annual salary, wife is hourly rate. So my wage stays the same every month while hers varies month to month.

 

[Newchodge]

Millions of people are paid a fixed monthly amount, despite months of varying length.

And it is only a potential issue if they are paid at minimum wage.