1. 12/05/2019
CHAPTER 26
Employers
This is the Title Slide
R. DELANEY

2. Employers + their rights
R. Delaney
Employers + their rights
An employer is anybody who pays somebody else to do work.
Rights of Employers
To decide the objectives of the business
To set the conditions of employment for all employees
To organise the
business in any manner
they want (legally)
To dismiss employees who have not honoured the terms of employment
To expect a fair day’s
work from each of their
employees in return for a
fair wage
To expect loyalty, and respect for the firm’s property, from the employees

3. Employers + responsibilities
R. Delaney
Employers + responsibilities
Responsibilities of Employers
To give each employee, within one month of commencement of employment, a written statement of his/her terms of employment
To abide by all employment laws
Not to discriminate against employees on grounds of gender, race or religion
To provide a safe and healthy work place
To provide each employee with
a written statement of pay (a
payslip)
To deduct all statutory deductions from all employees’ wages and to pass them on to Collector General of Taxes

4. Procedure for Employing Staff
R. Delaney
Procedure for Employing Staff
Draw up a job description
Advertise the job
Arrange interviews
Select the best candidate
Induction, i.e. introduction to company policy and to staff members
Give the new employee written terms of employment.

5. R. Delaney
Wages and Salaries
A salary is a payment made to an employee that is not dependent on the number of hours worked or the amount of goods produced or sold by the employee in a given period.
A wage is a payment made to an employee that is dependent on the number of hours worked or the amount of goods produced or sold by the employee in a given period.

6. Wage Calculation Q6 Workbook Page 126
R. Delaney
Wage Calculation Q6 Workbook Page 126
David Dunne
No Wage Slip
May 2011
PAY: DEDUCTIONS
Basic PAYE
€950
€260
PRSI (USC)
€81
Overtime
€120
Gross pay = Basic + overtime
Total deductions = PAYE + PRSI (USC)
GROSS PAY TOTAL DEDUCTIONS
€1,070
€341
NET PAY
Net pay = Gross pay minus Total Deductions
€729

7. Wage Calculation Q12(a) and (b) Workbook Pages 127 / 128
R. Delaney
Wage Calculation Q12(a) and (b) Workbook Pages 127 / 128
Gross Pay:
Standard pay per hour = €15, therefore overtime per hour = €15 X 1.5 = €22.50
Therefore gross wage = 38 hours X €15 (€570.00) + 10 hours X €22.50 (€225.00) = €795.00
PAYE:
standard rate of 20% = €100.00
+ 42% = €123.90
Gross PAYE = €223.90
Less tax credit = €90.00
Tax payable = €133.90

8. Wage Calculation Q12(c) Workbook Pages 127 / 128
R. Delaney
Wage Calculation Q12(c) Workbook Pages 127 / 128
Agnes Delaney
No Wage Slip
Week 21
PAY: DEDUCTIONS
Basic PAYE
€570
€133.90
PRSI (USC)
€59.63
Overtime
€225
Gross pay = Basic + overtime
Pension
€70.00
GROSS PAY
€795
€150.00
Savings
Total deductions = PAYE + PRSI + Pension+ Savings
Total Deductions
€413.53
NET PAY
Net pay = Gross pay minus Total Deductions
€381.47

9. Wages Cash Analysis Statement: Q16, Workbook, Page 129
R. Delaney
Wages Cash Analysis Statement: Q16, Workbook, Page 129
Employee
Net
€100
€50
€20
€10 €5 €2 €1
50c
20c
10c 5c 2c 1c
F. Flynn
€550.50 5 1 1
H. Hughes
€753.43 7 1 1 1 2 1 1
B Lohan
€846.97 8 2 1 1 1 2 1 1
Total
€2,150.90 20 2 2 1 1 2 2 4 1 2 1

10. Wages Cash Analysis Statement: Q16, Workbook, Page 129 (cont)
R. Delaney
Wages Cash Analysis Statement: Q16, Workbook, Page 129 (cont)
€100 X =
€50 X
€20 X
€10 X
€5 X
€2 X
€1 X
50c X
20c X
10c X
5c X
2c X
1c X
Total 20
€2,000 2
€100 2
€40 €0 1 €5 1 €2 2 €2 €1 2 4
€0. 80
€0. 00 2
€0. 10
€0. 04 2 1
€0. 01
€2,150.95

11. R. Delaney
Paypath
Paypath is an electronic means of transferring an employee’s wages from the employer’s bank account to an employee’s bank account.

12. Advantages of Paypath Advantages of Paypath
R. Delaney
Advantages of Paypath
Advantages of Paypath
It eliminates all the problems associated with payment by cash.
The employer does not have to make out cheques for each individual employee.
The employees do not run the risk of losing their cash or cheques.
The employees do not have to go to a bank to lodge or cash their cheques.
The wages are lodged instantly to the employees’ bank accounts, which could earn interest for them or reduce overdraft charges.
Employees can access the amount of cash they require at any ATM at any time.