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Reducing Hourly Rate Urgent

Only for UK Tier 1 (Entrepreneur) points system. This route is now closed to new applicants.

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ishfaqsangra
- thin ice -
Posts: 866
Joined: Wed Aug 14, 2013 10:10 pm
Pakistan

Reducing Hourly Rate Urgent

Post by ishfaqsangra » Tue Apr 15, 2014 11:55 am

I want to reduce hourly rate of an employee from 9.5 to 6.5 pounds /hour.She was on zero-contract for 1st 6 months and rate included milage allowance.
I want to give her one year fixed contract(I got a year long contract for company) but I am very very confused with the rate I should offer I can afford till 6.5 but no more than this.
Can I defend the rate reduction?Please guide me I am very confused right now.

entrepreneur123
Senior Member
Posts: 640
Joined: Wed Jan 09, 2013 11:12 am

Re: Reducing Hourly Rate Urgent

Post by entrepreneur123 » Tue Apr 15, 2014 12:47 pm

It does not matter as long as u pay minimum wage. Also u cannot count contractors(fix time contracts) as employement according to guidance policy, so they need to be on paye of ur company.


ishfaqsangra wrote:I want to reduce hourly rate of an employee from 9.5 to 6.5 pounds /hour.She was on zero-contract for 1st 6 months and rate included milage allowance.
I want to give her one year fixed contract(I got a year long contract for company) but I am very very confused with the rate I should offer I can afford till 6.5 but no more than this.
Can I defend the rate reduction?Please guide me I am very confused right now.

rehan01
Diamond Member
Posts: 1635
Joined: Fri Aug 10, 2012 6:05 am
Location: London

Re: Reducing Hourly Rate Urgent

Post by rehan01 » Tue Apr 15, 2014 2:48 pm

yes u can do that as long as you are paying more than minimum wage its all good.


regards
ishfaqsangra wrote:I want to reduce hourly rate of an employee from 9.5 to 6.5 pounds /hour.She was on zero-contract for 1st 6 months and rate included milage allowance.
I want to give her one year fixed contract(I got a year long contract for company) but I am very very confused with the rate I should offer I can afford till 6.5 but no more than this.
Can I defend the rate reduction?Please guide me I am very confused right now.
ILR Applied: 11-04-2014
Biometric Done: 01-05-2014
Approval Received: 20-08-2014 (Letter Dated: 18-08-2014)
BRP Received: 21-08-2014 (Valid from: 18-08-2014)

Alhamdulillah now enjoying my FREEDOM

Got British Passport December 2015

ishfaqsangra
- thin ice -
Posts: 866
Joined: Wed Aug 14, 2013 10:10 pm
Pakistan

Re: Reducing Hourly Rate Urgent

Post by ishfaqsangra » Tue Apr 15, 2014 3:33 pm

Thanks for all opinions but say for example if they raise a question on rate reduction from 9.5 to 6.5 Can I suggest any reason whatever comes in your mind.
From mine:
1-I was working on two contracts and one is completed(I can stop payment on company name for couple of months although it is very difficult)
2-I have changed her from zero contract to 30h /week
3-Milage allowance will be paid(it was included in higher rate first)
4-?Anything about (Statutary sick pay)
5?

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