The care sector and the Supreme Court sleep-in pay decision

Now that the Supreme Court has ruled in the Mencap sleep-in pay case, deciding that only hours spent awake for the purpose of working should be paid at NMW rates, care sector employers should now:

• Explain the outcome of the case to staff, including where there are ongoing discussions around rates of pay pending the Supreme Court decision.

• Consider how to address sleep in shift pay, particularly those providers who have adopted NMW rates for sleep in shifts.
• Examine the financial impact on your business, and whether this will lead to any changes in fees – both private and local authority rates.
• Await further guidance from HMRC on its stance on the ruling.

For those providers who have gone through or are going through a disposal or acquisition of their business, seek guidance from legal advisors as to how this affects your position.

If this affects your business and you would like further advice, please contact Stephenie Malone at [email protected] or on 07896 462 779.