NMWM06175 - Specific occupations & special groups: limited liability partnerships
The legislation that applies to this page is as follows:
- National Minimum Wage Act 1998, section 54
The Limited Liability Partnerships Act 2000 came into force on 6 April 2001. This introduced a new form of legal entity known as a Limited Liability Partnership which could be set up under certain circumstances.
A Limited Liability Partnership shares many of the features of a normal partnership - but it also offers reduced personal responsibility for business debts. Unlike members of ordinary self employed partnerships, the Limited Liability Partnership itself is responsible for any debts that it runs up, not the individual partners.
Limited Liability Partnerships are commonly found in accountancy and law firms who have partners spread across the globe. However, the use of Limited Liability Partnerships is not restricted to large firms. There are also instances where Limited Liability Partnerships are used as agencies to supply labour (NMWM05110) and in these circumstances they can often be subject to the gangmaster legislation (NMWM06130).
As individual partners in Limited Liability Partnerships are self employed (NMWM05060) they are not entitled to the national minimum wage. However, workers who are employed by a Limited Liability Partnership will be entitled to the national minimum wage in the normal way.