Pizza Delivery £3.33 p.h and has to pay own petrol!

SarEl

piggybankrupt wrote: »

I could go on!

I'm sure you could. How is he going to prove that he was working there if there was payment in cash and no records kept? He has no contract (in wriing), no payslips, he isn't "on the books".... And then there is the hoary problem of whether he was an employee at all. The NMW only applies to employees, and it could be argued that he was self-employed - as required hours, no obligation to work, provides own vehicle, and to cap it he was "standing in for a friend", which means that you can sub-contract the work rather than do it yourself.

Don't get me wrong - I think this is pretty awful, although like mcjordi, I doubt very unusual. But I doubt you will get much satisfaction because the whole thing is a murky shade of grey...

piggybankrupt

Thanks everyone - doesn't look promising then Does anyone know of a non delivery job for an 18 year old doing A Levels!?

Seriously though I won't let him do another delivery job - he could have been seriously injured or even injured someone else! We niavely assumed he was insured by the business.

What about the staff in the shop being paid the same rate - they are regulars?

SarEl

Oops sorry - I crossed posts to. But I agree. He's self-employed.

paddyrg

I would be more concerned that your son is driving around uninsured (as his bike is not insured for business use - unless he is paying an extra premium for it to be so).

Is he paid per delivery working out to around £3.33/hr (but with the potential to work out to more or less than that if he works faster/slower), or £3.33/hr flat rate (regardless of the number of deliveries)? The first case would suggest self-employed, the latter very much that he would be deemed employed by HMRC.

Lokolo

HappyMJ wrote: »

What law? It sounds like he is self employed providing his own materials (the bike) and is taking on the risk that there isn't enough work. As he is self employed then minimum wages do not apply.

Most delivery workers of take aways are taken on like this. It appears to be cash in hand but the delivery worker technically is responsible for registering as self employed with HMRC and paying the tax on the income and also for insuring the bike with business insurance. It's not worth it.

I'd report the business to the council for breaching fire safety regulations. They'll come out and do an inspection and give them warnings. If they don't fix them they can close the business down until they do so.

Domino's drivers aren't. They are paid MW + a little extra + petrol and everything goes through PAYE.

piggybankrupt

Flat rate - he was paid £40 per night regardless of deliveries for 11 hour shift 4pm-3am - if deliveries were quiet he was expected to help in the shop.

SarEl

Self-employed people can be paid hourly rates. On it's own an hourly rate doesn't p[rove anything - you have to apply the other tests too.

HappyMJ

Lokolo wrote: »

Domino's drivers aren't. They are paid MW + a little extra + petrol and everything goes through PAYE.

Domino's drivers sometimes get domino's branded cars or bikes and they are a big company charging a lot more for pizza. I think in this case it's just a local take-away.