Out of the Limelight – Key Statutory Employment changes
Author: Kelly Games, CODE Total HR Advisor
With the current global crisis of COVID-19, the annual statutory pay increases haven’t been a hot topic in the approach to April. The government has however released statutory pay increases and they will still be enforced, despite the circumstances most of the UK’s employers are currently facing with paying their employees.
Along with these increases, the Good Work Plan also comes into effect on 6th April and introduces 51 changes to employment law legislation. Employers will be expected to comply with the changes as of Monday 6th which, amongst the chaos, can be daunting.
The CODE Total HR Team has run three free webinars covering each of the key aspects of the Good Work Plan and you can see all of these webinars by visiting our webinar page here.
Keeping you in the know
Here at CODE, we’re dedicated to keeping you up to date with employment law and statutory changes and we’ve put together a brief summary of the changes that you will be expected to adhere to.
From April 2020, the new rates are:
● The National Living Wage for ages 25 and above – up 6.2% to £8.72
● The National Minimum Wage for 21 to 24-year-olds – up 6.5% to £8.20
● For 18 to 20-year-olds – up 4.9% to £6.45
● For under-18s – up 4.6% to £4.55
● For apprentices – up 6.4% to £4.15
The rates of statutory maternity, paternity, adoption and shared parental pay have risen from £148.68 to £151.20 or 90% of the average weekly earnings if this is less than £151.20. The rates normally increase in line with the consumer price index (CPI).
The rate of Statutory Sick Pay has increased from £94.25 to £95.85. This will apply to employees that are currently claiming SSP due to the Coronavirus outbreak.
Due to advances in technology and wider societal trends, the way in which we work in the UK is changing. To ensure the UK market is successful and competitive, updates have been introduced to employment law to embrace the benefits of these changes.
Employment status testing will have the biggest impact on the dental industry, with more checks being carried out with regards to contracts for services. There is an online tool that both associates and business owners can use to establish whether the engagement should be classed as employed or self-employed for tax purposes.
Employees and workers are now entitled to a written statement of particulars or a contract on or before their first day of employment. As a minimum they will need to include the following information:
● The hours and days of work or whether their hours are varied
● Paid leave entitlement
● Additional benefits not already included in the written statement of particulars/contract
● Probationary period details
● Any training provided by the employer
Changes to the information and consultation of employees has changed with a reduction in the percentage required to make a valid request. April 2020 sees a reduction from 10% down to 2% of the workforce who must put in a request before an employer is obliged to take steps to comply with this employee right.
Parental Bereavement Leave and Pay
You need to update your policies and procedures with the introduction of Parental Bereavement Leave and Pay that will be a statutory right available to the parents or guardians of a child who dies on or after 6th April 2020.
Subject to meeting the eligibility criteria, employed parents or guardians will now have the entitlement to 2 weeks’ leave if they lose a child under the age of 18, or have a stillbirth from 24 weeks of pregnancy. The pay for the statutory leave is £151.20 in line with maternity, adoption and shared parental leave.
Our HR Service
During these uncertain times, not only may you feel alone if you’re self-isolating, but you also may be struggling to know how to apply certain policies, procedures and manage staff. With your own designated HR Advisor, you will have the reassurance of employment law and legislation advice, as well as help with updating staff contracts, bespoke policies and letter templates for your practice, leaving you with the time you need to lead and support your team.
If you would like to find out more about how we can help you, please call us on 01409 254416 or email email@example.com or click the button below to book a demonstration at a time to suit you.