Probably the most fundamental issue in an employment relationship is the concept of wages or pay. In return for work under their contract of employment a worker is entitled to payment of wages (subject to discrete exceptions).
The contract of employment will usually govern the rights and duties in relation to wages. The term ‘wages’ includes entitlements to notice pay, basic pay, bonuses, commission, overtime, holiday pay and sick pay. Many workers entitlements are provided for in other documents such as collective agreements or handbooks.
In addition, to the contract of employment wages and pay are governed by a range of statutes such as the National Minimum Wage Act 1998; the Working Time Regulations 1998 SI 1998/1833 and the Employment Rights Act 1996 (ERA).
Employees may bring a claim for an unlawful deduction of wages or breach of contract in relation to the above. Such claims can be backdated and therefore high value.
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