THE RIGHT TO RECEIVE A WRITTEN ITEMISED PAY SLIP

On 6^th April 2019 changes to what has to be included in an itemised pay statement and who is entitled to receive one come into effect.

From that date both employees and the broader category of ‘workers’ will be entitled to a written statement which itemises what they are being paid.

The payslip will still have to be ‘given’ in a ‘written’ format and as now can be delivered on-line provided it is easily accessible and understandable by the employee or worker in that format or it can be given in paper form.

The payslip must still be given at or before the wages are paid.

It must, as now, contain the following information

• the gross amount of wages being paid before any deductions are made;
• the amounts of any variable or fixed deductions and the purpose for which they have been made;
• the net amount of wages after all deductions have been made;
• where different parts of the net amount are paid in different ways, the amount and method of payment of each part (for example, different rates of pay may apply to different types of work carried out by the same employee or worker).

From April 6^th the following information must also be provided in cases where the employee’s or worker’s pay varies by reference to the time he or she works. In such cases the pay statement must show the total number of hours worked for which the wages or salary is payable. The number of hours can be shown either as a single aggregate figure or separate figures for different types of work or different rates of pay.

Employers who fail to comply with this legal obligation will run the risk of aggrieved employees and workers making a reference to an employment tribunal and asking for a declaration as to what the statement ought to have contained. In some cases, if unnotified deductions have been made, a tribunal may make an award of compensation.  

Dismissal of an employee, even where he or she has fewer than 2 years’ continuous service, for having referred the matter to an employment tribunal or for alleging, in good faith, that their right to an itemised pay statement has been infringed is likely to be an unfair dismissal.