One way of achieving this is through salary sacrifice schemes, well known schemes include childcare vouchers and cycle to work, there are also many other uses for salary sacrifice, in this article we cover some of the essential considerations when implementing an electric car leasing scheme. To implement a salary sacrifice scheme the employer needs to ensure the following: 

• Change the terms of the employee’s employment contract and employee needs to agree to this change. 

The changes should be clear and understandable. 

• The change in salary cannot be applied to the salary retrospectively 

• The changes should be shown on the employee’s payslip 

• Check with HMRC that the scheme has been implemented correctly and is approved 

• Consult with pension providers on the effect the salary sacrifice will have on pension contributions and 

particularly if the employee is near retirement 

• Ensure that participation in the scheme should not reduce an employee’s cash earnings (hourly rate) to 

below the National Minimum Wage 

• Clarify how other pay and benefit elements will be calculated e.g. overtime, pay rises, pensionable pay, 

ideally this should be notional pay (before the salary sacrifice came into effect) 

• Make it clear that the reduced salary level does have to be used for the calculations for an employee’s 

statutory payments (such as statutory maternity, paternity, shared parental, adoption and sick pay) 

. Despite this understanding employee learning is limited to compliance training only, with little or no commit to investing in employees beyond this. Usually this decision is due to limits in financial resources or lack of understanding of how learning can transform their businesses. With this in mind we have put together some practical advice on how businesses may overcome these limits and be more innovative about how they can translate learning into business results. 

 

Firstly, it is important to understand where it is suggested learning takes place using the 70:20:10 model: 

 

As shown, this particular model suggests that most learning takes place through practice and experience rather than through formal training courses. This is important as it enables any business to invest in their employees by providing them with continuous opportunities to learn at work. To achieve this continuous learning employers can adopt the following: 

The median basic pay award edged up to 2.8% at the end of the quarter, 0.3 percentage points higher than the average seen in every other rolling quarter in 2019. However, XpertHR warned that the increase should be viewed with caution as its analysis looked at pay settlements awarded between 1 August and 31 October, traditionally a period where few pay reviews are concluded, the underlying picture is of organisations increasing pay by 2.5% across 2019 as a whole. 

 

Employers are in the dark about the rates they would need to pay their employees on the national minimum wage and national living wage from April 2020, as the general election has delayed the national minimum wage announcement usually scheduled for this time of year.