PART 2AMENDMENTS TO THE NATIONAL MINIMUM WAGE REGULATIONS 2015

CHAPTER 1SALARIED HOURS WORK

5

In regulation 21 (the meaning of salaried hours work)—

a

for paragraph (2) substitute—

2

The first condition is that the worker is entitled under their contract to be paid—

a

an annual salary; or

b

an annual salary and one or both of—

i

a performance bonus; and

ii

a salary premium.

b

in paragraph (3) after “bonus” insert “or salary premium (or all three)”;

c

for paragraph (4) substitute—

4

The third condition is that the worker is not entitled under their contract to a payment in respect of the basic hours other than—

a

an annual salary; or

b

an annual salary and one or both of—

i

a performance bonus; and

ii

a salary premium.

d

for paragraph (5) substitute—

5

The fourth condition is that the worker is entitled under their contract to be paid, where practicable and regardless of the number of hours actually worked in a particular week, month or other period, in instalments which—

a

are equal and occur not more often than weekly and not less often than monthly; or

b

occur monthly and vary but have the result that the worker is entitled to be paid an equal amount in each quarter.

e

in paragraph (6)—

i

after sub-paragraph (a) insert “(aa) a salary premium is paid”; and

ii

for sub-paragraph (d) substitute—

d

the employment starts or terminates during a week, month or other period provided for in paragraph (5)(a) with the result that the worker is paid a proportionate amount of their annual salary for that week, month or other period.

f

after paragraph (8) insert—

9

A “salary premium” is—

a

an amount of pay which is—

i

in addition to the annual salary; or

ii

an increase in the rate of pay for particular working hours;

b

in respect of the basic hours; and

c

attributable to working—

i

at a particular time of the day;

ii

on a particular day;

iii

at a particular location;

iv

in a particular working environment;

v

within a particular geographical area;

vi

on a particular task; or

vii

subject to a particular responsibility.