Explains Position Re Christmas Bonuses, Wages

Northern Advocate, 19 December 1942, Page 4

Explains Position Re Christmas Bonuses, Wages

(P.A.) WELLINGTON, This Day. The Economic Stabilisation Regulations have caused many employers and employees to inquire anxiously as to the effect they may have on payment of Christmas bonuses.

The Minister for Supply (Mr. Sullivan) explained: “In the first place a ceiling has been placed on rates of remuneration for any work or position. The ceiling is fixed at the rate of remuneration that is being paid at the date of the regulations, and it applies, not to the individual filling a position or holding a job. but to the position or job itself.

“Remuneration under the regulations includes time and piece wages, overtime. bonuses or other special payments, and these must be taken into account in fixing the basic rate of remuneration which is the ceiling. “Where an employer in the past has been in the habit of paying a yearly or similar bonus, then the ceiling up to which payment can be made is salary or wages plus the rate of bonus. A new employbe, filling a job previously occupied by someone else, can receive up to the amount, including bonus, that was paid to a previous employee.

"Where, however, no bonus was paid previously, and a bonus payment would bring the total remuneration for the particular job above the rate of that ruling at the date of the regulations, then a bonus cannot be paid except with the approval of the Conciliation Commissioner. He may approve an increase in rate only on two grounds: (1) That the employee is engaged by the same employer in an additional position, duties or work, or in work involving additional risk to life or health, or (2) that the increase is necessary for removal of anomalies. On Rate of Remuneration

“It should be noted," concluded Mr. Sullivan, “that ceiling is on the rate of remuneration, that is, the amount payable per hour, per day, per week, or per year, as the case may be. A worker's pay cheque may be higher one week than another if he works longer hours, just as a farmer’s cheques may be higher if he produces more butterfat at the same rate per pound.”