Employer Hourly Rate Changing Every Week

Gracytrain04

Hi - I recently started work in an accountants doing the payroll for a number of companies. 
We have one client who sends us the hours that his employees work every week however when sending the hours he tells us how much the gross pay should be. 
This has resulted in me having to change the hourly rate of some employees to match the gross the employer wants. For example 2 weeks ago I was told to pay an employee 39hrs and the gross should be £465 (so £11.9230 p/h). Last week I was told to pay the same employee 31hrs and the gross should be £355 (11.4516 p/h). 
I have questions this internally but everyone is a bit unsure. 
Is this ok? I have always thought that there would need to be a new contract or at least an update of salary T&C's for an employees pay to change? I know that pay could change based on performance etc. but the business is a painting and decorating business so this may be unlikely? 
I am probably missing something stupid but is an employer allowed to do this every week? Could the hourly rate be based on the company revenue or anything? 
Apologies for the long post but ant help would be great

la531983

As long as they are being paid the minimum agreed in their contract then there would be no issue as far as I can see. 
Maybe some jobs are worth more to the company so they pay more to employees as a result. 

Penguin_

Yep, as long as they are paying above the NMW then it's ok. 

comeandgo

These employees are obviously not paid by hourly rate but by job but the only way that computerised wages can cope with this is by relating it to hourly wages, no such problem when you had to do things by brain and pen and cards.

Marcon

Gracytrain04 said:

Hi - I recently started work in an accountants doing the payroll for a number of companies. 
We have one client who sends us the hours that his employees work every week however when sending the hours he tells us how much the gross pay should be. 
This has resulted in me having to change the hourly rate of some employees to match the gross the employer wants. For example 2 weeks ago I was told to pay an employee 39hrs and the gross should be £465 (so £11.9230 p/h). Last week I was told to pay the same employee 31hrs and the gross should be £355 (11.4516 p/h). 
I have questions this internally but everyone is a bit unsure. 
Is this ok? I have always thought that there would need to be a new contract or at least an update of salary T&C's for an employees pay to change? I know that pay could change based on performance etc. but the business is a painting and decorating business so this may be unlikely? 
I am probably missing something stupid but is an employer allowed to do this every week? Could the hourly rate be based on the company revenue or anything? 
Apologies for the long post but ant help would be great

If nobody knows, why not ask the client if you actually need to show/calculate an hourly rate at all? There's no statutory requirement to do so.

amanda1024

Perhaps there's some sort of overtime too?