Should my wages change with the exchange rate?

quinnie123ie

Hi,I work for an English company, but am based in Ireland. I am contracting as a sole trader at the minute. My wages are payed into my irish bank account by an english payroll company. I started nearly a year ago, and since then my wages have dropped considerabley since the fall of the stg pound. could anyone please let me know where i stand on this? Any links to legal proof documents would be great too please?ThanksK

the_syco

Depends if your salary is stated in your contract as euros or sterling: I don't think your pay would be cut if the sterling went up?

quinnie123ie

Sorry, we agreed a STG rate when i started... it has started to come back up now, but shouldn't the rate you started on freeze for the duration of your employment?

Nody

quinnie123ie wrote: »

Sorry, we agreed a STG rate when i started... it has started to come back up now, but shouldn't the rate you started on freeze for the duration of your employment?

It has, they pay you exactly the same amount in STG, where you want that paid and what you do after that is your choice and problem.

seamus

You agreed to be paid in sterling, therefore you take the hit on the exchange rate. Since you're working as a sole trader, what you've done is priced your goods at a STG rate.

You have two options here:

1. Increase your prices to match.
2. Ask them to pay you in euros.

However, If you have signed a contract which says that they will pay you X amount per month in sterling, then you are stuck with that contract until it expires. You are not an employee so employment law doesn't come into play.

Bluetonic

Of course you have another option in that you could hedge considering you are being paid in a different currency than your base currency.

quinnie123ie

thanks all .. much apreciated...