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Guernsey: Labour Regulation

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Guernsey Regulatory Environment

Guernsey has an Employment and Discrimination Tribunal which is made up of independent lay people appointed under the law to hear and determine claims of:

  • Discrimination on the grounds of gender, married status or gender reassignment;
  • Victimisation; (for having brought a claim or having given evidence in someone else’s claim under the Sex Discrimination (Employment) (Guernsey) (Ordinance), 2005);
  • Having suffered a detriment for refusing, or proposing to refuse, to work (in a shop) on a Sunday;
  • Unfair Dismissal; and
  • Failure to be provided with a written statement of the reason(s) for dismissal or where reasons are provided, where the Applicant believes these reasons to be inadequate or untrue.

There are currently two part-time Secretaries to the Tribunal who provide administrative support for the Tribunal Panel members and for the process.

Information booklets are available on a wide range of industrial relations topics such as good practice in terminating employment, dealing with disciplinary matters, conducting staff ballots, unfair dismissal and conciliation.

The Commerce and Employment Department is recommending that the States approve proposed Minimum Wage Rates and the date on which the Minimum Wage Law should come into effect. In the Billet D'état published for debate at the States Meeting on 26th May, 2010, Commerce and Employment is recommending that the following Minimum Wage rates should come into effect on 1st October 2010: An Adult Rate (for those aged 19 and over) £6.00 per hour; and A Young Persons Rate (for those aged over 16 but under 19) £4.25 per hour

The Minister for Commerce and Employment, Deputy Carla McNulty Bauer said:

"The proposed Minimum Wage Rates are set at a level which meets the objectives of the States Resolution of October 2007 that the Minimum Wage should set a base line, below which no employees or workers in Guernsey should fall. In arriving at the proposed rates, the Department considered a fair rate of pay for employees and workers in lower paid jobs and the effects on employers and their business and concluded that the proposed rates would be fair."

"Asking the States to approve the rates in May, for implementation on 1st October, provides a window of opportunity for employers to reorganise their payroll arrangements, look at their costs and charges and to decide on how best to manage any implications the Minimum Wage might have on a minority of businesses, who currently pay less than the proposed minimum wage rates."

The Department is also introducing, by Regulation, a statutory amount for Accommodation, or Accommodation and Food which sets (in Law) a maximum figure which can be 'offset' against any calculation to determine whether or not an employee or worker has been paid the minimum wage.

The offsets are as follows:

  • Where Accommodation only is provided - £60 per week or £8.57 per day; and
  • Where Accommodation and Food is provided - £85 per week or £12.14 per day.


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Guernsey Social Security

Guernsey operates a compulsory social insurance scheme under the Social Insurance (Guernsey) Law 1978, as amended, with a range of benefits roughly equivalent to that available in the UK. Contributions for 2010 are as follows:

 
Class 1: Employed persons
Class 2: Self-employed persons
Class 3: Non-employed persons
Full Rate: Employer
6.5%
   

Full Rate:
Employee

6%
10.5%
9.9%
Lower earnings limit
GBP494.00 (monthly)
GBP5,928 (annual)
GBP14,820 (annual)
Upper earnings limit
GBP6,656 (employees, monthly)
GBP79,872 (annual)
GBP79,872 (annual)

 

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