On garden leave. Can they just pay basic

stevio

Hi,

I'm on garden leave, Can they just pay my basic and not Commission over this period. The original terms of the contract (2007) were that if we are put on garden leave we will get paid basic wage.


But since then we have had a change in our holiday pay which was also that we got paid just the basic. We now get an average of the last 12 weeks which includes commission?



Many thanks,


stevio

getmore4less

If you are on garden leave for termination renumeration is probably covered by the pay during notice rules in the employment act.

http://www.legislation.gov.uk/ukpga/1996/18/part/IX

you might need to look up the weeks pay stuff elsewhere in the act.

Note the exception if the notice is more than statutory.

stevio

Hi thanks for getting back to me so soon. But I couldn't really see anything related to basic pay on that page.

Thanks

getmore4less

stevio wrote: »

Hi thanks for getting back to me so soon. But I couldn't really see anything related to basic pay on that page.

Thanks

section 88 references weeks pay which is defined

http://www.legislation.gov.uk/ukpga/1996/18/part/XIV/chapter/II

interpretation is the bit you will need help from one of the legals to see if it applies like the holidays so that the commission counts.

SarEl

It depends entirely on the terms of the commission scheme - it isn't legally determined.

getmore4less

SarEl wrote: »

It depends entirely on the terms of the commission scheme - it isn't legally determined.

Ok there are probably other relevent sections that make this irrelivent but if I read it correcly 221.4 say commission in the previous 12 weeks to the relevent date should be counted towards a weeks wage.

Current/future commission subject to terms of the scheme.

Jarndyce

getmore4less wrote: »

Ok there are probably other relevent sections that make this irrelivent but if I read it correcly 221.4 say commission in the previous 12 weeks to the relevent date should be counted towards a weeks wage.

Current/future commission subject to terms of the scheme.

I really don't think its very helpful for you to keep posting links to legislation and saying "wait for a 'legal' to tell you what it means".

I've studied law at Masters level and still can't always interpret an extract of an Act out of context and apply it to a situation without seeing the bigger picture.

SarEl

There is a difference between how commission might be used to calculate redundancy pay (because it may be included and it also may not) and whether it is due during garden leave (and the contract says it is not - so that is a powerful argument that it is a contractual term!). It really does depend on the terms of the commission scheme. For example, if comission is pooled and paid equally amongst relevant staff, it is more than likley forming a part of basic pay for your redundancy calculation - but if it is earned commission by the individual then they are not working and therefore cannot earn commission because they are selling nothing. So we really do need to know the terms of the commission scheme to give a meaningful answer.