Guarantee Pay

Guarantee Pay and Short Time Working ~/

The rates below are the statutory rates applicable to an employee being laid off or placed on short time working. Guarantee pay is not payable for any days on which you do any work even if much less than normal.

Maximum = £31  (£30) per day.
Limit of 5 days pay in any 3 month rolling period i.e. a maximum of £155 (£150)
If your normal pay is less that £31 (£30) per day, you would be paid at your normal pay rate.

Conditions

  • You must have been employed continuously for at least one month;
  • Be willing to accept reasonable alternative work and remain available to work;
  • Your lay off or short time is not due to industrial action.

TIP – You should check your terms of employment for any clauses about a guarantee pay scheme as an employer may have his/her own guarantee pay scheme but the rate of pay must not be less than the statutory rate above.

Not paying guarantee pay counts as an unlawful deduction from your wages – you could make a claim to an employment tribunal if you are entitled to Guarantee Pay.