Act Now Ahead Of New Payslip Changes

Did you know that there are just 6 months left before new legislation comes into force which changes the detail of payslips ...

All workers, whether permanent, casual or on a zero hours contract must be provided with a fully itemised payslip. These changes come after the Taylor Review into modern employment practices as well as a report from the Low Pay Commission which recommended all employees could clearly see which hours they were being paid for.

"From April 2019, payslips must detail payment calculations where rates of pay and hours are variable!"

If more relevant to the employee, then the new payslips must show the different types of work they were doing and how they were paid. These changes have been introduced to make it easier for all employees to understand their pay and to ensure they're being paid correctly. It also means they can challenge an employer when they feel a mistake has been made with their pay.

The Employment Rights Act 1996 Itemised Pay Statement Amendment Order 2018 changes the requirements of what information is shown on an itemised payslip and is designed to improve transparency when workers work various hours or various roles with different rates of pay.

Payslips will need to include earnings before and after deductions, the amount of tax and NI and an explanation of any deductions made, as well as the net wage. This will apply to all workers, not just employees of a business. Everyone must have itemised payslips.

If you feel inspired to find out more about anything I've said here, do call me on 0333 335 0453 or leave a comment below and I'll be in touch as soon as I can.