Frequently Asked Questions

Pay

 

 

 



Q Is my employer allowed to make deductions from my pay?

A No deduction may be made from your wages unless either:

  • It is allowed by your contract

  • You have agreed in writing to the deduction

If a deduction is made from your wages:

  • The term of your contract allowing the deduction must have been shown to you

  • If your contract is not in writing, you must have been notified in writing about the deduction before it is made. Sums wrongfully deducted from your wages must be repaid by your employer.

Your ‘wages’ includes bonuses, commission, holiday pay, statutory sick pay or statutory maternity pay.

But “wages” do not include payments under loan agreements, expenses, benefits in kind, pay in lieu of notice or payments related to redundancy.

However, an employer can make deductions without your consent:

  • To reimburse themselves for having overpaid your wages  See more here

  • To deduct wages where you take part in industrial action

  • To deduct taxes, national insurance, employer loans, enforced court fines

Overpayments:

Your employer can generally recover overpayments made to you by mistake of fact (such as a clerical error) provided the overpayment was one you should have noticed; and provided you have not, in good faith, incurred expenditure you otherwise would not have incurred.

However, your employer cannot recover an overpayment made to you by mistake of law such as a mistake as to the meaning of your contract, the correct tax deduction or NI payment.

This area is very difficult and you should always consult your representative, who has access to specialist advice. See more here
 



Q Am I entitled to a pay slip?

A Before or at the time of each payment of wages or salary, every employee is entitled to a written and itemised pay statement.

This pay slip must state:

  • The gross pay

  • The net pay

  • The amount of any variable or fixed deduction

  • The reason for any variable or fixed deduction where parts of net pay are paid in different ways

  • The method of payment of each part and its amount

The pay slip can give the total amount of fixed deductions (rather than the amount of each one), provided the employer has already given you a “standing statement of fixed deductions”. This standing statement is valid for a maximum of one year, and must give the amount of each fixed deduction the reason for it the interval at which the deduction will be made.
If your employer does not give you a pay slip, or if the pay slip does not contain the required information, you can complain to an Employment Tribunal not later than three months after your employment ends.

 

Q Am I entitled to be paid while off sick from work?

A The law sets minimum standards through Statutory Sick Pay (SSP) and your employer should pay you SSP when your off sick.

You are entitled to SSP after three qualifying days of absence for up to 28 weeks, provided:

  • You are absent for four or more (not necessarily working) consecutive days. This forms a Period of Incapacity for Work (PIW). Two PIWs can be ‘linked’ and treated as a single PIW if 8 weeks or less separates them

  • Your absence also has to fall in a “period of entitlement”. The period of entitlement begins with the PIW. The employer’s liability to pay SSP ends if

you are no longer sick:

  • you reach the maximum entitlement of 28 weeks, or three years have elapsed since you began your PIW

  • your contract ends, unless your employer is trying to avoid paying SSP

  • you are detained in legal custody

  • you become entitled to SMP or Maternity Allowance and are within the maternity pay period

You are not entitled to SSP if on the first day of incapacity:

  • you are under 16 and over 65

  • you are on a fixed term contract of 3 months or less and you have worked less than 13 weeks

  • you are on a series of contracts and no more than eight weeks separates these you can link them together for this purpose

  • your average earnings are less than the lower earnings limit (£77 a week)

  • in the previous 57 days you were entitled to SDA or incapacity benefit

  • you have done no work at all under the contract. If you had worked for an employer under a previous contract which ended not less than eight weeks before, you are not excluded

  • there is a trade dispute in which you have a direct interest

  • you have exhausted the 28 weeks with a former employer and there is a gap of 56 days or less since you last received SSP

  • you are or have been pregnant and within the maternity pay period

  • you are a ‘Welfare to Work’ beneficiary with a 52 week linking period; or you are detained in legal custody, or you are not in the European Union

If you are excluded or have exhausted your entitlement, you may transfer to incapacity benefit (IB). Entitlement to IB depends on your national insurance record. Otherwise you may be able to claim income support (IS), a means tested benefit.




Q How much sick pay am I entitled to?

A This depends on whether you are eligible for Statutory Sick Pay (SSP) or Incapacity Benefit (IB) or your employer’s own scheme. Many employers improve upon the basic State scheme and provide full pay or half pay. Usually, the more service you have with the employer, the better the entitlement. Check your rights under your written particulars of your employment contract or any collective agreements.

SSP is paid at a weekly flat rate of £64.35. IB is paid at 3 weekly rates (higher rates for people over pension age). The rate you get depends on the length of time you have been entitled to IB. You may also get an age addition or dependants increase.

Generally, IB is payable after four consecutive days of incapacity. The first three days are waiting days but if you fall sick again within 8 weeks, the two spells are added together. You do not have to wait another three days.

 

Q What is the NHS Injury Benefit Scheme or Temporary Injury Allowance?

A It is a benefit paid for loss of earnings caused by your employment in the NHS. This usually means that an accident, illness or nervous breakdown has resulted in you taking sick leave which leads to loss or reduction in your pay. Depending on the circumstances you may get Temporary Injury Allowance, Permanent Injury Allowance or in the case of death from a work-related condition, benefit for your family.
Those covered include:

full-timers;
part-timers;
people on fixed term contracts;
NHS Bank staff;
and any of the above while they're:

on call including from home;
making a home visit;
travelling between two work premises on duty;
helping at an accident or incident even if the person is off duty at the time.
Who's not covered?

nursing students who are not seconded as employees or working in the NHS during their studies;
agency staff working in the NHS but employed by non-NHS agencies;
self-employed people;
people working in contracted out services although they should have access to a similar benefit scheme (under TUPE) from their new employer.
What's covered?

All accidents, diseases or conditions arising as a result of your NHS employment; including those on the employers premises when you're arriving and leaving work.

What else do I need to know?

What counts is how many years of service, so if you're working part-time as a care assistant while studying you have two years of service as far as IB is concerned.
All the periods of service are added together even if they're short periods with large gaps - for instance three years nurse training followed by a career break.
You do not have to belong to the NHS Pension Scheme to get IB - this is a common misconception among many employers and can lead to you being denied benefit or getting less than you should.
It doesn't matter if the accident was your fault or not - you're still eligible.

Temporary/permanent Injury Allowance PDF booklet

 

Q What is the National Minimum Wage hourly rate?

A The National Minimum Wage from 1 October 2007

The minimum wage is a legal right which covers almost all workers above compulsory school leaving age. There are different minimum wage rates for different groups of workers as follows:
The main rate for workers aged 22 and over is currently set at £5.52 an hour.
The development rate for 18-21 year olds is currently set at £4.60 an hour.
The development rate for 16-17 years olds. This rate is £3.40 an hour.
The rate of the accommodation offset is £29.05 per week (£4.15 per day).
Meanwhile, the annual leave entitlement will increase from 20 to 24 days a year for
full-time workers and will increase again to 28 days from April 2009.
It is important to note that these new rates only apply to pay reference periods beginning on or after the date they came into law.
 

 

Q What are the NHS rates of pay?

A See our page for NHS pay rates including Agenda for Change