National Minimum Wage and Using Own Vehicle
Discussion
Saw a vacancy for a dispensing pharmacy online that requires a delivery driver where the rate was £8.00 an hour but you must provide your own vehicle in good condition and appropriate business insurance cover.
would this breach national minimum wage as the insurance surely shouldnt be something an individual should cover from his wage or do they seriously expect you to cover the costs of providing a vehicle and the business cover for the £0.17 difference between the £8.00 they are paying and the NMW rate of £7.83?
I would rather get £7.83 hr and they provide the tools of the trade.
would this breach national minimum wage as the insurance surely shouldnt be something an individual should cover from his wage or do they seriously expect you to cover the costs of providing a vehicle and the business cover for the £0.17 difference between the £8.00 they are paying and the NMW rate of £7.83?
I would rather get £7.83 hr and they provide the tools of the trade.
Are you going to be a full time employee or a contractor. If full time you can claim mileage allowance of 45 per mile (1st 10k) if you supply the fuel. This should cover running cost of a car. I, d be asking for a car/van allowance on top to purchase a van though. If your a contractor then you will need an accountant to check what is tax deductible. P.s. I wouldn't work for that lot based on what you have said. Sound a right bunch of skinflints.
If you're interested in the job then ask to see the detail and nature of the contract.
If the position is freelance, then it is up to you to provide the tools you need to fulfil the contract and determine if the rate being offered meets your needs.
If it is an employed position, then the employer must either provide the tools you need or properly recompense you if you provide them. This means that your net pay must not fall below min wage regardless of any expenditure you incur. So whilst the 45p per mile may justifiably cover added business cover premium, if it doesn't and you can prove this to employer, they are legally required to cover the difference on top of the 45p to keep you above min wage.
If the contract is paid on hours worked, you should also clarify the 'permanent place of work'. If it's the pharmacy, then this is simple enough but if it's home based requiring the occasional trips to collect stock, then you are entitled to be paid from when you leave your home and return to.
Personally, on the basis of what you've described, it does seem they are either unaware of the regulations or unduly tight-fisted. We employ staff on a short term contracts and often ask some of them to use their own cars. We pay any premium added to their insurance for business cover and then the 45p per mile allowance on top.
If the position is freelance, then it is up to you to provide the tools you need to fulfil the contract and determine if the rate being offered meets your needs.
If it is an employed position, then the employer must either provide the tools you need or properly recompense you if you provide them. This means that your net pay must not fall below min wage regardless of any expenditure you incur. So whilst the 45p per mile may justifiably cover added business cover premium, if it doesn't and you can prove this to employer, they are legally required to cover the difference on top of the 45p to keep you above min wage.
If the contract is paid on hours worked, you should also clarify the 'permanent place of work'. If it's the pharmacy, then this is simple enough but if it's home based requiring the occasional trips to collect stock, then you are entitled to be paid from when you leave your home and return to.
Personally, on the basis of what you've described, it does seem they are either unaware of the regulations or unduly tight-fisted. We employ staff on a short term contracts and often ask some of them to use their own cars. We pay any premium added to their insurance for business cover and then the 45p per mile allowance on top.
StevieBee said:
If you're interested in the job then ask to see the detail and nature of the contract.
If the position is freelance, then it is up to you to provide the tools you need to fulfil the contract and determine if the rate being offered meets your needs.
If it is an employed position, then the employer must either provide the tools you need or properly recompense you if you provide them. This means that your net pay must not fall below min wage regardless of any expenditure you incur. So whilst the 45p per mile may justifiably cover added business cover premium, if it doesn't and you can prove this to employer, they are legally required to cover the difference on top of the 45p to keep you above min wage.
If the contract is paid on hours worked, you should also clarify the 'permanent place of work'. If it's the pharmacy, then this is simple enough but if it's home based requiring the occasional trips to collect stock, then you are entitled to be paid from when you leave your home and return to.
Personally, on the basis of what you've described, it does seem they are either unaware of the regulations or unduly tight-fisted. We employ staff on a short term contracts and often ask some of them to use their own cars. We pay any premium added to their insurance for business cover and then the 45p per mile allowance on top.
While true, that's not what people experience at the lower end of the jobs market.If the position is freelance, then it is up to you to provide the tools you need to fulfil the contract and determine if the rate being offered meets your needs.
If it is an employed position, then the employer must either provide the tools you need or properly recompense you if you provide them. This means that your net pay must not fall below min wage regardless of any expenditure you incur. So whilst the 45p per mile may justifiably cover added business cover premium, if it doesn't and you can prove this to employer, they are legally required to cover the difference on top of the 45p to keep you above min wage.
If the contract is paid on hours worked, you should also clarify the 'permanent place of work'. If it's the pharmacy, then this is simple enough but if it's home based requiring the occasional trips to collect stock, then you are entitled to be paid from when you leave your home and return to.
Personally, on the basis of what you've described, it does seem they are either unaware of the regulations or unduly tight-fisted. We employ staff on a short term contracts and often ask some of them to use their own cars. We pay any premium added to their insurance for business cover and then the 45p per mile allowance on top.
Until recently my wife worked in a nursery. They got paid minimum wage but there is a load of paperwork that has to be done on each child. That you do in your own time so extra hours for no pay.. any setting up or clearing up is also unpaid. Any courses you need to attend are unpaid..
Prior to that she worked as a care worker. That was massively worse. Minimum wage but....
You have to supply a car
You pay for parking
You pay for petrol and running costs (but could claim 10p per mile)
Travel between jobs was unpaid
I would estimate she worked for about half minimum wage, sometimes less. That's without taking into account running costs and depreciation on the car.
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