The guidance specifically relates to legislation that comes in to force from 6 April 2019 that requires employers to show on the payslip the number of hours worked by the employee for which they are being paid, but only in situations where the employee’s pay varies as a consequence of the time worked during the pay reference period.
The Employment Rights Act 1996 (Itemised Pay Statement) (Amendment) Order 2018 was laid before parliament on 8 February 2018 and comes into force on 6 April 2019.
Geographical extent – applies to Great Britain only
The minimal guidance runs to 7 pages and includes a small number of examples that aim to demonstrate the simplistic approach intended by this legislation.
Example 1: A salaried worker with no variable pay
Example 2: A salaried worker with additional variable pay
Example 3: A worker paid by the hour
Example 4: A worker paid by the hour with additional pay for unsociable hours
Example 5: Term time workers
Example 6: Day rate workers
Example 7: A salaried worker takes unpaid leave
Example 8: An hourly worker on statutory sick pay
CIPP comment We are disappointed that this guidance does not include more of the detailed, complex scenarios cited by stakeholders, and we fear this will lead to confusion amongst employers, however we continue to be in discussions with BEIS regarding the detail. As ever, we welcome any comments to policy via email.
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Paying employees in shares, commodities or other non-cash pay 24 December 2018
HMRC has updated its guidance to include some cryptoassets on operating PAYE if paying employees with assets that can be sold or cashed in.
Some cryptoassets are now classed as readily convertible assets.
Guidance on Paying employees in shares, commodities or other non-cash pay now includes:
• Valuing a readily convertible asset • What to report and pay • Recovering PAYE tax and NICs from the employee • Long service awards • Payments in kind that can be cashed in.
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The Chartered Institute of Payroll Professionals
Payroll: need to know
cipp.org.uk
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