National Minimum Wage Act, 2000


Reckonable and Non-Reckonable Pay Components in Calculating Average Hourly Rate of Pay

Section 19 .


1.  Basic salary.

2.  Shift premium.

3.  Piece and incentive rates, commission and bonuses, which are productivity related.

4.  The monetary value of board with lodgings or board only or lodgings only, not exceeding the amount, if any, prescribed for the purposes of this item.

5.  The amount of any service charge distributed to the employee through the payroll.

6.  Any payments under section 18 of the Organisation of Working Time Act, 1997 (zero hour protection).

7.  Any amount in respect of any of the above items advanced in a previous pay reference period that relates to the specific pay reference period.

8.  Any amount in respect of any of the above items earned in the specific pay reference period and paid in the next pay reference period or, where section 9 (1)(b) applies, paid in the pay reference period in which the record of working hours is received or due to be received by the employer or the pay reference period immediately after that.


1.  Overtime premium.

2.  Call-out premium.

3.  Service pay.

4.  Unsocial hours premium.

5.  Any amount distributed to the employee of tips or gratuities paid into a central fund managed by the employer and paid through the payroll.

6.  Public holiday premium, Saturday premium and Sunday premium, where any such holidays or days are worked.

7.  Allowances for special or additional duties including those of a post of responsibility.

8.  Any payment of expenses incurred by the employee in carrying out his or her employment, including travel allowance, subsistence allowance, tool allowance and clothing allowance.

9.  On-call or standby allowance.

10. Any payments for or in relation to a period of absence of the employee from the workplace, such as sick pay, holiday pay, payment for health and safety leave under the Maternity Protection Act, 1994 , or pay in lieu of notice, but not including a payment under section 18 of the Organisation of Working Time Act, 1997 (zero hour protection).

11. Any payment by way of an allowance or gratuity in connection with the retirement or resignation of the employee or as compensation for loss of office.

12. Pension contributions paid by the employer on behalf of the employee.

13. Any payment referable to the employee's redundancy.

14. Any advance of a payment referred to in Part 1 of this Schedule in the specific pay reference period relating to a subsequent pay reference period.

15. Any payment-in-kind or benefit-in-kind, except board with lodgings, lodgings only or board only.

16. Any payment to the employee otherwise than in his or her capacity as an employee.

17. Any payment representing compensation for the employee, such as for injury or loss of tools and equipment.

18. An amount of any award under a staff suggestion scheme.

19. Any loan by the employer to the employee, other than an advance payment referred to in paragraph 7 in Part 1 of this Schedule.