Description
Solution
The statutory rights to employees in areas of pay has been improved to include 1 day in line with the 2020 Act after commencing their employment. The considerations include payment above the national minimum wage and an itemised payslip from the first day. The different legislations such as Equal Pay Act 1970, Equality Act 1970 have all been repealed with Equality Act 2010 consolidating all the legislations. The payslip should involve Basic salary, Dearness Allowance, Housing rent allowances, Professional taxes, special allowances, leave travel allowances, medical allowances, conveyance allowances, tax deducted at source and EPFs (Employee’s provident funds). Legislation.Go.UK (2021a) which identify the National Minimum Wage 1998 which note the minimum pay per hour majority of workers of under 23 years are entitled to by law. Also, the National Living Wage 2022 (GOV.UK, 2021b) which identify the minimum wage rates as increasing on 1stApril where the pay per hour of employees of age 23 years is set by law.For instance, in April 2022, the minimum wage was set to include £4.81 which is a 4.1% increase for 16-17 year olds, £6.83 representing 4.1% increase for 18-20 years old and £9.18 representing 9.8% increase for employees aged 21-22 years.
Right of itemized pay slip starting from their first day– In the UK, employees should be given a payslip to employees from the first day of their employment. This is considerable for all employment contracts except casual ones. According to Section 8 of the Employment Rights Act 1996, at the start of employment, employers have to give payment of wages or salary as the itemized pay statement (payslip) (Legislation.gov.uk, 1996).
In UK, the payslip legislation is as addressed by the Payment of Wages Act 1991. This law was further amended in February 2018 to be incorporated in the Employment Rights Act 1996 (itemised pay statement (amendment). In this amendment, it was stated that employers are required to offer insights on the amount of wages or salary varying by referencing on time worked, the total number of hours worked in respect of variable amount of wages or salary as a single aggregate figure or a separate figures for different types of work or different rates of pay. As evidenced in ACAS (2022), the employees leverage on the right to a payslip and entail what need to be included in the payslip. More critically, the payslip is a written statement from the employer evidencing what is earned before taxation and other deductions.
Statutory maternity pay (SMP), Statutory Adoption Pay (SAP), Statutory Paternity Pay (SSP), Statutory shared parental pay (ShPP), Statutory Parental Bereavement Pay (SSBP) and the Statutory Sick Pay (SSP)- As evidenced in Gov.UK (2013), these are reviewed every April of a year. As evidenced in April 2022 release, these would be increased from £151.97 to £156.66 or 90% of the employees every week earnings when the amount is less than a statutory rate. Further, for the MA, this would increase from £151.97 to £156.66.
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- In summary, this assignment has focused on evaluating the source of power and risk of an organisation contractual terms. This has been conducted through the focus of SSMC organisation which is currently being engaged in procurement of first aid materials.
- Through a series of analysis, the power and risk distribution has been evidenced as varying in different phenomenon to SSMC and their engaged suppliers. The rationale of this is that for the success of a contract, the legal provisions are critical among the involved parties with clearly set requirements to be adhered to or abstained.
- By using different tools including supplier preferencing matrix, Porter’s 5 forces and Turn-key model have been adopted for this research.
- It has been established that in most instances, SSMC has the power with majority of the risks being held by the supplier. An evaluation of the different components of the contract has been conducted with the clauses of interest including costs, quality level, time for delivery and ethics which influence the power and risk of the suppliers.
- From the analysis of stakeholders by use of the Mendelow stakeholder’s matrix and SWOT analysis, the various issues and risks represent the noted issues in procurement of the fast aid and safety measures in today COVID-19 pandemic.
- As evidenced in the Kraljic analysis, various contract terms are of strategic relevance to SSMC which affirm on its approach of holistically leveraging on contractual risk and power.
- Where the SSMC lacks a holistic balance on the risks and power, a warrant or insurance is granted for guaranteeing their safety.