Changing the frequency of which I pay my staff.

WantToBeSE

I currently pay my staff weekly, but want to change that to monthly.

Do i need to give them notice? Is there anything else i need to be aware of?

I have looked on the ACAS website and cant find anything, and cant get through on their phone lines.

Stevie_Palimo

Many years ago I was paid weekly by an employer who then switched to monthly and they just gave me notice of the intent that it would happen and it was down to me to budget for it, Yes people will moan but at the end of the day it is your Company and paying weekly is a pain as opposed to monthly. Let them get used to it and explain that is how it has to be.

InsideInsurance

Its a change of contract so read https://www.gov.uk/your-employment-contract-how-it-can-be-changed/getting-agreement and inevitably ACAS advice on the same

WantToBeSE

Thanks for the quick replies.

I think its only fair to give a months warning, so will tell them this week.

Suarez

I would make sure you tell them in writing rather than verbally too

WantToBeSE

Good idea, thanks Suarez

ni-james

If it's full time workers then I don't think a months notice is anywhere near enough time, it's a massive adjustment for most people. A month doesn't give them enough time to budget for the next months bills, especially if they're living hand to mouth as most working families are. How are they supposed to save enough money to cover 4 weeks bills in just a month.

My brothers company switched to monthly payments but gave staff 6 months notice and offered all sorts of financial help during the transition.

WantToBeSE

ni-james wrote: »

If it's full time workers then I don't think a months notice is anywhere near enough time, it's a massive adjustment for most people. A month doesn't give them enough time to budget for the next months bills, especially if they're living hand to mouth as most working families are. How are they supposed to save enough money to cover 4 weeks bills in just a month.

My brothers company switched to monthly payments but gave staff 6 months notice and offered all sorts of financial help during the transition.

No, its workes on a zero hours contract,working about 8-12 hours most weeks.

paddyrg

I would give as much notice as you can, and arrange to 'sub' wages to help the transition. I don't know what you pay your payroll company, but seeing as the savings are likely to be considerable if you pay (say) £15/head per payroll run. Maybe use some of the savings to offer a bonus (even if you just leak it that it'll double the Christmas bonus, or whatever) for anyone who helps the transition go smoothly and preempt some of the moaning by making it a good thing.

Out of the blue it'd be quite a significant change and may cause hardship - struggling employees don't make best workers and may become disloyal

pelirocco

We changed from weekly to monthly but subbed the ones who it needed over a period of 6 months gradually reducing the subbed amounts. It worked pretty well and I think they all found it quite painless. I think it would have been very unfair to make a sudden switch

dancing_star

If you 'sub' workers, under RTI legislation you are duty bound to submit a Full Payment Submission to inform HMRC that you have paid them.

Can be a bit of a nightmare.