Living wages are paid

What you must do - law 3

Overtime - applies to all workers

General Employment Law

Overtime premiums do not have to be paid by law unless the terms and conditions with that employee say so.

Agricultural Wages Order

  • For a grade 1 worker, below school leaving age, minimum overtime pay is £4.14 per hour.
  • For a grade 1 worker, above school leaving age, minimum overtime pay is £8.91 per hour.
  • For night work, an additional £1.23 should be added to the basic rate.
  • Scotland Overtime (over 8 hours per day or 39 hours per week) should be paid at 150% of the normal wage.
  • Northern Ireland 150% of the normal hourly rate.
  • If a worker is paid a piece rate, the piece rate must be set to allow the workers to earn at least the minimum pay rates for normal and overtime hours.

Deductions - all workers

General Employment Law

  • The only deductions required by law are National Insurance (NI) and tax.
  • Workers pay tax on wages that they earn over £6,475 in the year. Income tax is ‘banded’ so workers pay a percentage based on their income:
    20% up to £37,400 per year.
  • 40% on earnings over £37,400 per year.
  • Any other deductions from a workers wage require the worker’s written permission.
  • Written consent should be separate to the contract of employment and workers have the choice over which service they wish to purchase.
  • Any extra charges must be optional and not in any way contractual. Any charges that do not meet these criteria will have to be offset e.g. Accommodation.

Image: accommodation

Click here to calculate accommodation offset. (Displayed in a popup window.)

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There are no additional requirements for deductions under the Agricultural Wages Order

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