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Renewable contract

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archeraddict | 15:21 Thu 26th May 2011 | Jobs & Education
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I work part time at an independent school as the only trained nurse. When I satrted I negotiated a salary of £16k pa. It is annualised, and so I get paid as normal through the hoildays, which I am happy with.
However, the contract ends at the end of term (June 28th) and I will be issued with another one to start in September. This means I will be loosing 2 months pay and effectively being paid just over £13k pa instead. I have worked at an independent school before and my salary was paid irrespective of hoildyas - the amount paid already takes into account the time actually worked.
Is there anything I can do, other than walk away!
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Try to negotiate a permanent contract.

Failing that, try to get them to renew from June 28th rather than September, i.e. make the next contract a year contract, starting immediately the current one ends.

Failing that, try to negotiate a £1600 per month salary for your next contract, which will pay you £16K over 10 months.

Failing that, you're...
22:16 Thu 26th May 2011
When did you start? What was the length of your initial contract?
If you haven't been paid what's due you need to ask at work.
Question Author
I started in September and realised that the contract ends in June. However, I had assumed that this was just their safeguarding against not having to keep someone who wasn't suitable. I thought that, if they wanted to keep me, my new contract would then start when my original ended.

They don't owe me any money at the moment, it just seems an easy way for them to pay me 2 months less pay, when I will technically not be employed.

I realise that it's really just my choice whether to sign the new contract and go back or to tell them what I think and walk away, but it seems a very shoddy way to treat employees and a few tips about how best to tell them that would be nice!
So will they have paid you £16000 by the end of June?
Or will they have paid you almost 10/12ths of that, which is circa £13300?
I was going to query figures, same as factor. Have they just pro-rata'd the £16k over the months of Sept to June?

This might help with the figures if you're not sure:

http://www.thesalarycalculator.co.uk/
Question Author
No they will pay me pro-rata because they won't actually employ me for two months. I have been getting 1/12th of £16k since September, but will then not get any pay for two months and so I will only be paid 10/12th of £16k. That's why I feel so annoyed!
Even that seems to be what you negotiated. You seem to have negotiated £1333.33 a month (equivalent to a rate of £16000 pa) and the contactual period is 10 months
Question Author
But if I go back in September, I would have been unemployed for 2 months and so my annual salary will be £13,330.00 not £16K.
Does that make sense?
Did you specify in your negotiations? If your contract was Sept to June it looks like they have looked at an annual salary of £16k pro rata'd to the months you worked only - like people who work part time have a pro-rata'd annual salary based on the hours they actually work.

Have you checked the wording of your contract and anything else you received in writing about salary? Have you queried it with the school as yet?
What's the exact wording on your contract for

a) how much you will be paid?
b) how long the contract lasts?

I am guessing you have read "annualised salary" to mean "annual salary" - they mean very different things.

annualise - To express (a quantity such as an interest rate, profit, expenditure etc.) as if it applied or were measured over one year.
-- answer removed --
Question Author
Sorry, but I do understand about how schools work and term time only contracts etc, as I worked in a school for 4 1/2 years before and it was a permanent contract, with my salary devided into 12 and paid monthly.
When I satrted this job, there was no suggestion that they would not gve me a new contract once the original one ended - they did not say that there would be a 2 month gap! That means that the agreed £16k is not that, in real terms.
If I go back, I will not be paid for 2 months and so will not get the £16k that was agreed - the only reason for that is that I will be unemployed for 2 months. That has nothing to do with pro rata or anything else. I'm not sure people are understanding my 'gripe'.
I understand your gripe and I'd speak to them about it if I were you. Explain tht you had expected to recieve £16k and to have the contract renewed after June. Tell them you thought that was a trial contract leading to a permanent one, not a regular run of short term contracts each year. Not only have you lost 2 months money, but you have no security either as they are obliged to renew each year. I wouldn't walk away, but negociate £16k for next year over the 10 months if they won't give you a year long renewal.
sorry - meant to say "not obliged"
Question Author
Thanks Maidup. That's absolutely right. I've just found out about them not renewing until September so wondered what others thought about it and then got a bit stuck in terminology etc.
I feel very annoyed with the school and, talking with others, this is fairly standard practice for them - most staff are effectively unemployed for 2 months every year and what ever annual salary they thought they had negotiated is actually just 10/12ths of that.
I'll see how I get on when I speak with them but I'm not hopeful that they will change the way they do things.
-- answer removed --
I forgot to ask if you've had any holiday pay during the 10 months? You are entilted to 10/12ths of 4 weeks (what ever your working week is) by law. If you haven't had that you're due it at the end of the term.
.."I'm not sure people are understanding my 'gripe'. "

My reading of the replies is that we do understand it. We think you have agreed to a 10 month contract at a monthly rate equivalent to £16000 pa. You thought you had agreed to £16000 in total.
The key is to clarify with your employer what was agreed.
Question Author
I thought I was agreeing to a pay of £16k per year and that my contract would initially end at the end of the academic year and then a new one would start at straight away.
I understand that, when working with in a school as a support worker, most of the holidays are unpaid but, so that people know where they stand, the agreed annual salary is divided into 12. (If I was being paid for all the holidays, on the hours I work per week, I would be on about £28k pa).
i am annoyed that at no time during the initial negotiations did they say 'yes we'll pay you £16k pa but you will actually be unemployed for 2 months and so you will really only get £13,330 - oh and you'd better put some money away to get you through July and August!'.
If my new contract started at the end of my old one, then even though I wouldn't be working for 2 months, I should still be paid because it evens itself out over the 12 months.
I think you need to dig out the original job advert and your offer letter, that should clarify it for you.
But it was a temporary contract for 10 months There is no guarantee that it would be renewed.
Anyway, all you can do is ask about this year. Looking ahead, next time you will be able to make sure you ask for something that''s more acceptable to you. Good luck

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