Weekly to Monthly pay for my staff
Discussion
I need some advice. I want to move my staff from weekly paid to monthly. Their contract says they will be paid weekly.
I've broached it with a few (there are only 10 altogether) and they are not fussed one way or another. But I suspect one is going to prove difficult.
I guess what I'm asking is can I force the change? I'm not averse to introducing it gently, because cash flow can be tricky to readjust to. Like go from weekly to fortnightly to monthly over a couple months.
For me it makes a lot more sense because we are paid monthly, it would cost less, only one bank transfer instead of four or five per employee, and less man hours processing the pay.
I'm due to give the staff a pay rise, and am thinking I could enhance this as a sweetener.
I've broached it with a few (there are only 10 altogether) and they are not fussed one way or another. But I suspect one is going to prove difficult.
I guess what I'm asking is can I force the change? I'm not averse to introducing it gently, because cash flow can be tricky to readjust to. Like go from weekly to fortnightly to monthly over a couple months.
For me it makes a lot more sense because we are paid monthly, it would cost less, only one bank transfer instead of four or five per employee, and less man hours processing the pay.
I'm due to give the staff a pay rise, and am thinking I could enhance this as a sweetener.
Can't help, but is there any benefit to paying weekly? Or even four weekly rather than monthly?
My current job is paid four weekly and its a right pain for direct debits etc. Sometimes they come out the day after pay day...others its the day before.
Just curious from a company point of view
.
My current job is paid four weekly and its a right pain for direct debits etc. Sometimes they come out the day after pay day...others its the day before.
Just curious from a company point of view
. Best practice would be to have a one month consultation window to hear any concerns. Hopefully this will gain agreeement. Worth checking employment regs because companies of 10 or fewer staff can have more freedom to act.
Worst case scenario, if you don’t gain full agreement and still want to move to monthly pay, would be to dismiss and re-engage staff on a new contract which states monthly pay.
Worst case scenario, if you don’t gain full agreement and still want to move to monthly pay, would be to dismiss and re-engage staff on a new contract which states monthly pay.
Just beware a lot of folk being paid weekly are living hand to mouth , it might put some in a very tight financial position.
The last thing you want to do is cause your staff to have problems at home .
I’d explain the reasons why you want to do it , ask for their agreement and crack on , if one wants to be paid weekly it’s not ideal but hardly the end of the world.
FYI, we have both weekly and monthly paid at work .
The last thing you want to do is cause your staff to have problems at home .
I’d explain the reasons why you want to do it , ask for their agreement and crack on , if one wants to be paid weekly it’s not ideal but hardly the end of the world.
FYI, we have both weekly and monthly paid at work .
Edited by Buster73 on Thursday 2nd May 07:08
We went through the same thing.
Legally, there is nothing stopping you making this change. You are obliged to give employees the due notice that (should) be stated in their contract.
Morally, you do need to take into account the impact this may have on the individual employees. Personally, I wouldn't enter into any consultation but as mentioned above, offering loans to pay for travel to and from work and such like is not a bad idea. You might also want to consider a phased introduction; moving initially to bi-weekly before monthly.
Legally, there is nothing stopping you making this change. You are obliged to give employees the due notice that (should) be stated in their contract.
Morally, you do need to take into account the impact this may have on the individual employees. Personally, I wouldn't enter into any consultation but as mentioned above, offering loans to pay for travel to and from work and such like is not a bad idea. You might also want to consider a phased introduction; moving initially to bi-weekly before monthly.
Tyre Smoke said:
I think I will give notice, and for any vehemently against it, I'll offer the fortnightly adjustment.
Good compromise, in the short term. Maybe also consider a staggered shift over an agreed period of time (6 months or so) where they'll move to monthly pay. This not only lets them see that you've understood their situation and compromised with them but also gives them time to adjust to the new way they're paid, helps with the change curve and also gets all employees to monthly pay in a relatively short space of time.
Communication is key if you want engagement in change.
Tyre Smoke said:
Six months seems a long time. I'd be looking to do it in two or three at the most, with financial assistance if required in the form of a loan.
Aye fair play. 6 was an maximum for the 'twisty' type people that you get but you could quite easily do it sooner Good luck and let us know how you get on.
Tricky one. We tried it but our lads weren't happy as they are very much Friday to Friday people. Bit of an issue with blue collar which I'm assuming you employ? In the end some went to fortnightly but only 3 of 10. I know we could have forced it but we didn't see the point. People are set in their ways. I know a couple of our lads have the routine. Give the Mrs £100 for the weekly shop, take £50 for themselves for baccy and a few pints and leave the rest in the bank for the bills. It was ever thus.
Edited by Trophy Husband on Thursday 2nd May 15:46
just a thought on this - if the move from weekly to monthly raises cash flow concerns for your staff, could you look at introducing a payroll advance solution such as salary finance (https://www.salaryfinance.com/uk/). There are plenty of other providers of this type of service (it happens salary finance are in the same building as me!).
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