Btec Business Level 3 Unit 13 M1

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Minimum Wage Act 1998 is a legal factor which affects Tesco UK because Tesco has to make sure that they are following these laws and are acting correctly in regards to the UK legislation. The minimum wage act states that employers are not allowed to pay employees below a certain amount. These fall into four different categories with each one having their own minimum wage rate, the first one being 21 and over, the second one being 18 to 20, the third one being under 18 and the last one being an apprentice. The minimum wage affects Tesco, as it means that they can’t pay employees below a certain rate. The minimum wage rate is rising each year and so this will have an impact on Tesco because majority of their workforce occupy roles which are paid low wages, meaning that Tesco’s operating profit will start to decrease to ensure that every employee in the business is satisfied with the amount that they are being paid for their labour. Tesco will need to utilise workers they have previously employed effectively and …show more content…
If someone was to get injured while working for Tesco then they would be able to claim if Tesco were liable for the injury, as it is Tesco’s responsibility to ensure that the working environment is suitable for any employee or customer who will be operating in the area. Providing a safe working environment also includes using the right equipment and machinery to carry out tasks, which down to Tesco to provide. Tesco must also provide a written health and safety statement which should contain all the information regarding health and safety procedures at work. If an employee was to get injured, this would cause trouble for Tesco, as they would have to pay damages which would lower their profits, especially in some serious cases where they might have to pay large amounts of