Changing payroll from 25th to 10th of following month

LegacyUser

My employer is changing payroll from 25th of the month to 10th of the following month in an effort to minimise the financial impact to them of people going AWOL after payday.

They are planning to do this in February.
So, Christmas pay will be on December 19th (early because its Christmas)
Next payday will be February 10th, almost 8 weeks later.

I've searched and can't find any legal info on this, I know you can't answer questions here about the legality of issues, but I just wondered can they make this change, and if there is some legislation around being paid within a certain no. of days after doing a particular days work.
eg) I wont get paid for Jan 1st until Feb 10th.

seamus

I don't think there is any legislation which deals specifically with pay periods.

Payment is effectively an agreement between your employer and yourself that you will work X amount of days on a credit basis, at which point your employer will pay you.

Employers are required to put pay intervals into a contract of employment. However, they don't actually have to state the interval - they are permitted to refer to a handbook or policy document. This provides the kind of flexibility that allows them to change pay periods on a company-wide basis.
So if your pay period isn't explicitly stated in your employment contract, then yes they can change the period.

Sucks to be paid 10 days after the end of the month though.

Baldie

So that means you will not be paid for January at all?

Why don't they pay you on the 19th December, the 25th January and then the 10th February? You are still being paid each month. It's up to you then to manage your money and not go mad with practically two months wages in your pocket.

kayos

Baldie wrote: »

So that means you will not be paid for January at all?

Why don't they pay you on the 19th December, the 25th January and then the 10th February? You are still being paid each month.

To put it simply doing this would mean you are no longer being paid a month in arrears but a month in advance. This would leave the company in a worse situation than they are at at the moment that brought about this change.

It sucks ass when employers do this as most people will have DD's and Standing orders set to come out at the end of the month shortly after pay day. But as seamus said there aint much you can do about it unless they stated the payment date in the contract.

the_syco

Bo||ox. Gonna reread that memo tomorrow. Was pretty sure it said that we get paid on the 25th January, and again for the few days between 25th January & the 10th February.

Shelflife

Whats basically happening is that instead of being paid for Jan on the 25th you will be paid for jan on the 10th of feb. its a bit of a pain but not the end of the world and in fairness you are getting 4 mths notice.

leeroybrown

Unless you're in an company with an incredibly high staff turnover I can't see how the line about staff going AWOL at the end of the month makes sense. If I had to guess I'd say that they're moving the payroll to generate some cash flow for the business. Instead of paying almost a week early they're now getting almost two weeks credit from the employees.

Shelflife

If you take the average wage to be €400 p/w then to be stuck for €400 once or twice a year can make a dent in the profits.

LegacyUser

We are aware that January can be hard time financially for some people, so advances will be provided on the 25th of January for anyone who requires it. The process will be confirmed at a later date

Saw this. Ask for the money beforehand, and you may get it.

the_syco

OP: ask in advance, and they'll pay you on January 25th(this is official), as they know that after xmas, new years, etc, most people are fairly broke by the 25th.