CIPP Payroll: need to know 2018-2019

Also recommended is that the Government considers ways to specifically measure the scale of one-sided flexibility.

The Government responded to the LPC’s recommendations in its Good Work Plan, (published 17 December 2018). It said: “We welcome the Commission’s work and recommendations which are published alongside this document [Good Work Plan]. As set out in this Good Work Plan, the Government remains determined to tackle one- sided flexibility while retaining the flexibility that many people find so valuable. For example, we are taking action by introducing a right to request a more stable contract. The Commission had specific views on this policy, which we will consider as we develop legislation. Alongside this, we will consult on the Low Pay Commission’s other proposals.” The Low Pay Commission Response to the Government on 'one-sided flexibility' contains the LPC's response to the Government's request to make recommendations on 'one-sided flexibility', as identified in the Taylor Review of Modern Working Practices.

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NMW guidance on unpaid work trial periods 21 December 2018

A new section has been added to minimum wage guidance covering unpaid work trial periods which includes several example scenarios to assist employers.

The views of the Government set out in this guidance are not binding or determinative in any case but are intended to assist employers and individuals in identifying circumstances in which at least the National Minimum or National Living Wage (NMW / NLW) must be paid. It is for HMRC enforcement officers, and ultimately for tribunals and courts, to decide whether the NMW / NLW should be paid in any particular case. Employers who do not pay at least the NMW / NLW for work trials should consider seeking professional advice on whether this would breach NMW or other employment law. As part of a recruitment process, an individual may be asked by a prospective employer to carry out tasks, without payment, to help the employer to decide whether the individual has the skills and qualities required for the job. Often this will be a legitimate practice, but some employers may use unpaid trial work periods to obtain work or services for which at least the NMW / NLW should be paid. Current law does not define a “trial work period” or state precisely when at least the NMW / NLW must be paid. NMW legislation provides that an individual who is “working” for minimum wage purposes must be paid at least the NMW or NLW. Most workers in the UK who are over compulsory school age and who ordinarily work in the UK are entitled to be paid at least the NMW / NLW.

See pages 20 to 25 of the guide on NMW / NLW - Calculating the minimum wage to read the new section on unpaid work trial periods.

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Iceland to fight HMRC over minimum wage dispute 4 January 2019

Iceland is facing a £21m bill from HM Revenue & Customs, which alleges that the supermarket chain broke minimum wage rules with a Christmas savings scheme.

According to Economia, the Treasury Select Committee is to question HMRC over its threat to land Iceland with a £21m bill over a Christmas scheme which it runs for its employees. HMRC claims the Christmas Club is in breach of national minimum wage rules but the Committee wants to know why the department is investigating the Club when the

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Payroll: need to know

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