Editorial for Newsletter #376

Monday, May 18th, 2009

Anyone involved in any way with the employment of temporary agency workers should look carefully at the Government’s proposals to implement the European Directive. The Directive requires equal treatment with the permanent employees of the hirer after not less than 12 weeks. The initial proposals have been published but we are probably less than year away from the introduction of the new rules.

The National Minimum Wage features strongly this week, with the Low Pay Commission’s proposals for modest increases in October being accepted by the Government. The Government has given way to the LPC’s annual demand for the adult NMW rate to apply to 21-year-old workers, but this change is delayed until October 2010. The issue of the NMW and tips is also in the news, with the Government confirming that tips will no longer count towards the NMW from October, and confirmation from the Court of Appeal that HMRC’s interpretation of the troncmaster rules is correct.

Our FAQ section this week reproduces the answers to a new series of questions that HMRC has compiled on PAYE procedures for pension payers.

The UK Payroll News is sponsored by HRD & Payroll Solutions

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