What to consider when employing your first member of staff

24th January 2020 Business advice CHW Accounting

There are 7 important things you need to consider when employing staff for the first time.

Firstly, you need to decide how much to pay someone – you must pay your employee at least the National Minimum Wage which depends on their age and if they’re an apprentice. It does not matter how small an employer is, they still have to pay the correct minimum wage and the rates can be found on HMRC website.

Secondly, check if the person has the legal right to work in the UK. You may have to do other employment checks as well.

Thirdly, check if you need to apply for a DBS check (formerly a CRB check) if you work in a field that requires one, for example, with vulnerable people or in security.

Fourthly, get insurance – you need employers’ liability insurance as soon as you become an employer.

Fifthly, send details of the job, including terms and conditions, in writing to your employee. You need to give your employee a written statement of employment if you’re employing someone for more than 1 month. This isn’t an employment contract but will include the main conditions of employment.

Sixthly, tell HMRC by registering as an employer – you can do this up to 4 weeks before you pay your new staff.  You must register even if you’re only employing yourself, for example, as the only director of a limited company.

Lastly, check if you need to automatically enrol your staff into a workplace pension scheme.

For more advice regarding employing staff get in touch.

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