CIPP Payroll: need to know 2021-2022

The Chartered Institute of Payroll Professionals

News On Line

Guidance confirms that the temporary changes to right to work checks implemented due to coronavirus are due to end, and that, from 17 May 2021, an applicant’s original documents need to be reviewed, or the applicant’s rig ht to work must be checked online if they have provided a share code. In the period from 30 March 2020 and 16 May 2021, the checks were made virtual due to the outbreak of COVID-19. Checks were able to be performed via video call, and job applicants and existing workers were able to send scanned documents or photos of identification documents by using email or mobile apps, without the need to provide originals. The advice given is that there is no requirement to carry out retrospective checks on individuals who had a coronavirus-adjusted check between the periods of 30 March 2020 and 16 May 2021.

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Addison Lee drivers classed as ‘workers’ 27 April 2021

A ruling has confirmed that drivers working for the private hire and cab and courier service, Addison Lee, should be classified as ‘workers’, and will subs equently be entitled to the rights that workers receive.

This follows on from the outcome of a Supreme Court case in February 2021, which found that Uber workers should also be classed as workers. The latest decision means that Addison Lee may need to pay large sums out to its drivers, with estimates being made that each impacted worker will be entitled to an average of £10,000 in compensation. This relates to underpayments to those who have not received the National Living Wage (NLW) or National Minimum Wage (NMW), and also to payments not received in connection with annual leave. The Court of Appeal refused Addison Lee’s request to appeal a 2017 Emplo yment Tribunal (ET) decision that asserted that its drivers were workers. The original ET highlighted an overarching contract between Addison Lee and its drivers, as even though drivers could select which jobs to take on, the “commercial reality” was that those drivers were agreeing to carry out work from the moment they logged on to their work devices. The decision made means that, as in the Uber case, Addison Lee drivers are deemed as working from the moment they log in to the relevant work devices, and not just for the period of time in which they have accepted jobs. In addition to this, contracts require drivers to display company branding on their vehicles, even when they are not carrying out work, and they are required to pay a regular, fixed amount for vehicle hire.

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Planning BACS payments around bank holidays 27 May 2021

As 31 May 2021 is a bank holiday, companies need to ensure that they are aware of the processes and procedures that need to be followed for their BACS payment file submissions.

There are payment non-processing times relating to the bank holiday and it is essential for businesses to prepare for non-processing days in order to guarantee that payments are received on time.

Payments that are scheduled to debit or credit on the first working day after the bank holiday on 31 May 2021 must be submitted by no later than 27 May 2021.

Businesses are reminded that it is good practice to check that payment files have been successful of the day of each submission, and reports are available on the Payment Services Website or on any BACS approved software. They can confirm whether payment files have been successfully submitted, and alert businesses to any errors.

The Chartered Institute of Payroll Professionals

Payroll: need to know

cipp.org.uk

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