Employment Lawyers Can Answer Your Employment Law Questions
Hello let me check the rules and i will reply later today
I have looked into your query in more detail but unfortunately it is not something I can assist with. I will therefore ‘opt out’ and a colleague better placed to deal with the nature of your query should hopefully pick this up soon. Please do not reply in the meantime as that will just assign the question back to me and you will experience a delay. Thank you
Hi the answer to your question depends on the status of the student. Just because there is an exemption from paying the national minimum wage , it does not mean you cannot pay them. If the student qualifies for exemption because this is work experience the student is required to undertake as part of their course then the exemption applies and you can pay them some allowance below the minimum wage. If on the other hand this is just voluntary work experience and you are relying on them being a volunteer then no you cannot pay them - This is to avoid employers exploit in this as a loophole.
Let me know if I can clarify more
Yes you are ok to pay them a flat allowance of £700 per month. This sum is over the minimum threshold for National insurance and all employees even if they are under the tax allowance limit should be dealt with through your payroll. You are required to register all employees.
Thanks. I have read their guidance and by and large I agree with it. If you read it it makes it clear that if the work is a requirement of the course then the Minimum Wage does not apply. In the other note however it does say - as I said - that if this is a UK student then you "may" have to pay tax( see para 5 f the Guidance on NMW If they are in fact not doing that then they are acting in a way that is inconsistent with their own guidance. You can try treating the student as self employed and just pay them gross. IF you do that the risk is that HMRC may challenge you for not deducting PAYE and NI. If this is a short term arrangement then you may be happy to take that risk. Although the student is exempt from NMW it does not mean they are not an employee. There is an expres exemption for this type of employment.
There are many industries where lots of people are treated as self employed although that treatment is undoubtedly subject to challenge.
No problem let me know if you need any further assistance