Minimum wage increase

worried123

Hello.   There is a new legal minimum wage coming into force on 1st April this year.  £11.44 an hour.   I work for one paricular company on a self employed basis doing my own tax assessments etc.   Is this company legally liable to pay us this new minimum wage rate when it comes into force although we are classed as self employed.  We currently get the current minimum wage..

Thank you.

Savvy_Sue

If you're self-employed, you agree the rate you're to be paid.

And you're selling yourself short if the rate agreed is only NMW: you have no holiday pay, no pension contributions, no sick pay. 

Are you confident it's not disguised employment?

worried123

This is not my only income and of course i know of the lack of benefits, it also has some benefits that suit me.  i would not of course do this if it were my only income however, i do not know whether they are legally liable to raise the pay rate in April  Of course i agreed a fee - we all do when we take on any job but I still would like an answer to my question anybody please

comeandgo

No, they don’t have to increase your payments to take into account NMW, they pay you what your contract states.

Marcon

worried123 said:

This is not my only income and of course i know of the lack of benefits, it also has some benefits that suit me.  i would not of course do this if it were my only income however, i do not know whether they are legally liable to raise the pay rate in April  Of course i agreed a fee - we all do when we take on any job but I still would like an answer to my question anybody please

What does your contract say (I trust you have one for your self employed services)? Unless there is a contractual commitment to pay you in line with minimum wage rates, it's for you to negotiate any increase.

worried123

Thank you for that.  i will look at the contract.

General_Grant

worried123 said:

Thank you for that.  i will look at the contract.

Who prepared the contract?  You or this quasi employer?

Savvy_Sue

General_Grant said:

worried123 said:

Thank you for that.  i will look at the contract.

Who prepared the contract?  You or this quasi employer?

Just what I was wondering myself. If it was the 'employer', then it's perhaps more likely that they will increase the rate to NMW without you asking, but the only way to find out is to ask. If it was you, then it's all down to you.