Newsletter

The Newsletter Of Bolland Associates

Here we give you a flavour of the hot issues our free regular, postal newsletter carries

LATE PAYMENT OF DEBTS

From 1 November 1998 the late payment of business debts became subject to new laws:

	a business has a statutory right to claim interest if it is paid late by another business
	Suppliers are not forced to claim interest - they may decide not to

The rules are being phased in over 4 years:

	Years 1 and 2 small businesses can charge big business
	Year 3 small businesses can charge small and big businesses
	Year 4 onwards all businesses can charge all businesses

Frequently Asked Questions

	What rate of interest? .............................. Base rate plus 8%
	What method? ........................................ Simple interest (not compound)
	What's a small business? .......................... Less than 50 employees
	How to claim? ......................................... Advice your debtor in writing within 6 Years

Beware! If you falsely declare your size you could be guilty of fraud.

NATIONAL MINIMUM WAGE

Two million workers will gain from new regulations which started on 1 April 1999.

Enforcement is the hands of DTI and Inland Revenue and employers who flout the law will be committing a criminal offence with penalties up to Ł5,000.

Frequently Asked Questions

	What is the rate? ....................................... 18-21 year olds, Ł3 per hour ....................................... 21 years old plus, Ł3.60 per hour ....................................... Trainees, Ł3.20 per hour (6 month maximum)
	Are there exceptions? ............................. Basically, no.
	Are domestics, part timers and casual workers covered? ......... Yes.
	Are children (under 18) covered? ............. No, they can be paid less
	Can workers agree to opt out? ................. No

Beware! - Workers cannot be dismissed because they have become eligible- you will end up at Tribunal