Post by "nightjar" .uk.com> Post by Evan
I would like to clarify what "wages paid one week in arrears" means.
It's one of the stipulations on my contract.
I take this to mean that I must work a full week (let's say Monday to
Friday) and payment for this is to follow at some point in the
immediately proceeding week.
Some of my friends have suggested in means working a week without pay
so that at the end of my employ there will be an extra week owing to
Anyone in the know?
As your friends suggest, it means that you would not be paid at the end of
your first week at work, but at the end of the second week and that money
would relate to your work in week one. When you leave, you would get paid
for your last week one week after you left.
It is a common system where hours are flexible, overtime is worked or there
are production bonuses. It gives the wages department time to work out the
amount to be paid, which may need to be advised to the bank up to three
working days in advance. For people who are paid a fixed salary, it is more
usual to pay at the end of the period worked, but, if the bulk of the
employees have variable payments, all may be paid one week in arrears.
Sometimes, only the variable elements of the wage are paid in arrears.
Colin is perfectly correct: this pay method is also known as 'a week
lying-on' - in days gone by, in the steel industry for example, payday
was always a Thursday but for hours worked and output produced over the
previous full, 7-day working week. So new starters had to work their
first week and to wait for their pay [all in cash, in a sealed envelope
- this took ages and a small army of pay clerks to make up, for
thousands of employees on hundreds of different pay/bonus systems]]
until the following Thursday but those who left employment on a Friday
still were paid the following Thursday in respect of their last full
pay week. No doubt it's still common pay practice where pay is weekly
and/or varies with overtime and/or production bonuses. Monthly-paid
workers can be on a similar regime - have known for example monthly pay
made mid-month in respect of the previous full calendar month.