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Overtime Payments


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OK, here goes. This might seem complicated but I'll try and make it simpler by using an example.

 

AN INTRO...

The company I've worked for for several years now has taken the decision to "cut" overtime payments.

 

The company is an English company, trading in both Scotland and England.

 

Persons may be required to work either dayshift or nightshifts, and also weekends where required. A Saturday dayshift/nightshift, or a Sunday dayshift/nightshift have always been overtime.

 

Our contracts do not specifically state which hours we are required to work - they merely say "office hours". This could be interpreted in a number of ways.

 

Persons are paid by salary, and not hourly, daily, or weekly. It's a flat payment, plus any overtime.

 

THE PROBLEM

Prior to the company implementing this, the old system would work as follows:

 

Mr Smith works 5 nights a week, Sunday night to Thursday night. He's on £30k a year. His monthly salary is £2500 + overtime (4 x sunday nightshifts). Each Sunday nightshift would get Mr Smith £150. So this month, he's been paid £3100

 

 

The new system has changed in that the company have decided that the salary should now be based on a minimum of 5 shifts per week. Thus, the Sunday night becomes part of that 5 shifts. But the company concedes that this is unsociable, and now describes this as an "enhanced payment". So under the new system:

 

Mr Smith works the same hours as previous. His monthly salary is £2500 + enhanced payments. Enhanced payments are calculated at (the old sunday rate MINUS what you get per day). Therefore Mr Smith gets £35.11 for each sunday nightshift. So the next month, Mr Smith is paid £2640.44

 

 

So what's the legalities of this? Has the company set a precedent by paying what they pay for the overtime shift? Should they have consulted employees firstly? Is this a change change to our terms?

 

Any help appreciated. And if I've missed any important details, please let me know.

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They should have consulted before making the change but that would really just delay it.

 

What does your union rep say?

Never assume anyone on the internet is who they say they are. Only rely on advice from insured professionals you have paid for!

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If there was a union you were all in they'd really have to recognise it :)

 

ah well, without that back up it's really down to your own negotiation skills.

Never assume anyone on the internet is who they say they are. Only rely on advice from insured professionals you have paid for!

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