As part of keeping you in our focus, our exec people update ensures you’re on top of the latest changes in legislation, case law and employment law trends. Click here for more information about how we can support you to manage the latest changes.
Dates for your diary
23rd March 2020 – National Well-Being Week
1st April 2020 – Stress Awareness Month
6th April 2020 – Good Work Plan changes to include:
- Employment contracts to be issued on, or before day one
- Holiday pay reference period extended from 12, to 52 weeks
- Employment contracts for new starters to include additional provisions – click here to see what they are.
IR35 reforms postponed
The chief treasury secretary announced earlier this week that the IR35 tax reforms will be delayed until 6th April 2021 due to the ongoing coronavirus outbreak.
Employment tribunal compensation limits increase
For all dismissals on or after 6th April 2020, a week’s pay increases from £525 to £538 for basic awards and statutory redundancies. The maximum compensatory award increases from £86,444 to £88,519.
Click here for the full table of increases.
Minimum wage and national insurance threshold increase
From 1st April 2020:
- 25 and over – increase from £8.21 to £8.72
- 21 to 24 – increase from £7.70 to £8.20
- 18 to 20 – increase from £6.15 to £6.45
- Under 18 – increase from £4.35 to £4.55
- Apprentice – increase from £3.90 to £4.15
From 6th April 2020, the national insurance threshold with increase from £8,632 to £9,500 a year.
Announced in the budget last week, the Government plan to increase the National Living Wage to £10.50 per hour by 2024. The Chancellor also plans to reduce the age of entitlement from 25 to 21 by that time as well.
Maternity pay and shared parental leave
The Supreme Court has recently declined an appeal mean that it will not amount to sex discrimination if you pay the statutory rate for shared parental leave to men, while providing enhanced maternity pay to women.
Get in touch if you’d like support in updating your employment contracts or anything else within this update.