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Minimum Pay Rates

Your Influence database can help you manage and comply with Minimum Pay rates, and the UK National Living Wage (Minimum Wage). This article give an Overview


For More details about National Living Wage see the UK Government Web site
https://www.gov.uk/national-minimum-wage-rates


Each year it is likely that you may have to update or amend the minimum wage settings in your database to match the new regulations.

Contents  (Click to jump to the section)

- Age Bands

 -  Setup WARNING if Rate is Too Low

- Rate Change Process

- Changes to National Living Wage for 2021




Age Bands (Minimum Pay Rates)

Originally introduced in April 2016, the National Living Wage specified certain age bands which were applicable. Originally these age bands were

25+
Over 25
21-24
Between 21-24    (In Influence listed as 'Unspecified')
18-20
Under 21
18-
Under 18


If the bands change, then you can amend the Table in Influence to reflect the new UK age bands.

Since 2021 the upper age band changed from 25 & Over to 23 and Over. Please see the section about National Living Wage below for changes you need to make.
NATIONAL LIVING WAGE


In Influence, these are held in a code table.  

Go to:  Maintenance > Setup > Code Tables
Select code table [Min Pay Rates - 231] and tick Extra Info [  ]


In here you can use the 'Min Rate' column to set the minimum rate allowed for workers in that age band. Using the (Warn/Update) column you can control how that is applied.

Warn/Update Column
Explanation
1.00
The system will warn users if they try to make a booking for a worker that is below the minimum rate for that age-band.
2.00
 When making a booking the system will automatically update any booking that falls below minimum rate for that age-band, to become equal to the minimum rate.
3.00
The system will warn users if they try to make a booking for a worker that is below the minimum rate for that age-band and then update the booking to the minimum

 

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Rate Change Process

From time to time, the minimum pay rate (National Minimum Wage) will increase and you will want to update your Influence database to reflect this.

a) Update the 'Min Rate' held against each age band in the Min Pay Rates [231] Code table.

- Login as UserID 'ADM' (or any high priority user).

- Go to Maintenance > Setup > Code Tables, select system area as C - Contact Management, then choose the Min Pay Rates table.

- Tick the Extra Info [   ] box at the bottom, and then for each age band set the relevant Minimum pay rate.


b) (Optional) Find/Update any existing Rates that are below Minimum

You may have some RATE Cards setup within your system which are below the minimum wage, or some existing bookings (pre-booked) which will fall below the minimum wage. 

To help identify these, you may wish to install and run the two reports below:

Rates Below Minimum Wage   /   Bookings below Minimum Wage

Both these reports can be found on our support article (Click to view article)

https://influence-it.kayako.com/article/622-iq-report-below-minimum-wage


In the case of Rates below Minimum, you may wish to create a new Rate card, with an effective date and rates which are above the minimum at that point.

Example of a Rate card with an Effective Date


In the case of bookings below minimum you may wish to delete the bookings and then re-create them so that it will pick-up the the new minimum rates from the Rate card and/or the Min Pay Rates Table [231].


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Changes to National Living Wage for 2021-> Onwards

In April 2021 in the UK, the age at which National Living wage applies changes from 25 years old to 23 years old. So, for this year there are some EXTRA changes which are needed if you wish to apply National Minimum Wage checks.

i) You will require a software update to version 1.00.21.042 (or later)
[You can check the version of your existing software by clicking the HELP button at the bottom right of any influence screen]


ii) You will need to add a new entry to the Min Pay Rate [231] code table.(See below)
Add a new CODE as below

Code
Description
Effective From
Age
Min Rate
V
<HIDE> 23 or Over
2021-04-01=W
23.00
8.91

- This assumes that the previous 'Over 25' code was set as "W"



iii) On 1st April 2021 you will want to go back into Min Pay Rates [231] and amend the description of code "W" from '25 or Over' to '23 or Over'.



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  1. Graeme Orchard

  2. Posted
  3. Updated

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