National living wage - £7.20 from April 2016

NewShadow

DRiddle wrote: »

We are looking to employ a new shift leader. We'd rather not pay them hourly because of the latter example, instead we are proposing to pay a salary over 52 weeks based on a rough estimate of 28 hours a week (that would be the minimum amount expected) but what happens if their hours are consistently higher than 28 hours per week. By rights they could demand over time at £7.20 an hour or down tools once they hit the 28 hour limit.

IIRC, that's not correct.

As salaried worker, you could offer them time off in lieu, or offer paid overtime for the time worked - but the overtime only needs to be at a rate as such their pay for the hours worked does not drop below the minimum wage.

That could be over the shift, over the week, or over the month (normally in line with pay frequency I think).

ie - If you paid £80 per 10 hour shift (or £8 per hour), you could theoretically (legally) expect them to work an additional 1 hour at the end of the shift without extra pay (not that they might be happy about it, and keeping in mind working time directives).

That's because:
10 hours @ £8 = £80
10 hours @ £7.20 = £72
Difference = £8 = 1.1 hour's work.

If you wanted/needed them to spend 2 hours, then you'd have to pay them £7.20 for each additional hour beyond the first - regardless of them being salaried or not.