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normal working hours

If an employee's pay for working normal working hours does not vary with the amount of work he or she does in that period, then the employee's week's pay is the amount the employee is paid for working normal working hours in a week.

If the employee's pay does vary with the amount of work done, then a week's pay is the amount the employee is paid for normal working hours in the week, calculated at the employee's average hourly rate of pay over the 12 weeks prior to the calculation date (the calculation date). This means, for example, that employees who earn commission are entitled to have that taken into account when working out their average hourly rate of pay.

There is a slightly different calculation if the employee works his or her normal hours on different days of the week, or at different times of day, and gets paid different amounts as a result. The employee's week's pay is then what he or she is paid for the average number of weekly normal working hours at the average hourly rate of remuneration, both calculated over the 12-week period prior to the calculation date (the calculation date).

It is important to note that, when calculating an average hourly rate of pay, only hours when the employee was working, and what he or she was paid for those hours, should be taken into account. Further, the premium element of any voluntary overtime payment should be discounted.

related links
BERR: continuous employment and a week's pay
The EEF Employment Guide is intended to provide general guidance only. It does not purport to be comprehensive or to give legal advice. Users should always seek specific legal advice before taking or refraining from any action. Information and documents on this website are prepared in accordance with the laws of England, Wales and Scotland. Users accessing from Northern Ireland should be aware that different laws and interpretations may be applicable to Northern Ireland.