Preparing for 2019; employment law changes

Preparing for 2019; employment law changes

While the outcomes and implications of Brexit discussions continue to be hotly debated, there are some employment law changes coming into effect in 2019 and beyond that employers should be aware of:

Statutory Pay Rates

Increases to national minimum wage rates: effective 1st April 2019

  • The national living wage increases to £8.21 per hour.
  • The national minimum wage for workers aged 21-24 increases to £7.70.
  • For those aged 18-20 the new rate will be £4.35.
  • For those under 18 but above compulsory school age, the rate is £4.35.
  • The hourly apprentice rate increases to £3.90.

Increase to statutory sick pay (SSP): effective 6th April 2019

  • The SSP rate increases to £94.25 per week.

Increase to statutory family leave pay rates: effective from Sunday 7th April 2019.

  • The weekly rate for statutory family pay increases to £148.68, applying to maternity, adoption, paternity and shared parental pay and maternity allowance.

Second gender pay gap report due

Employers with 250 or more employees on the “snapshot date” (5th April in the private and voluntary sectors) must report on their percentage gender pay gap annually within 12 months of that date. This means that the deadline for the second round of reports for private employers is 4th April 2019.

Reports should be published on the employer’s website and the GOV.UK website and accompanied by a written, signed statement confirming their accuracy

Access to itemised pay statements for workers

From 6th April 2019, the right to be given a written itemised pay statement, at or before the time of payment, will extend to workers, not just employees.

Where the amount of wages the worker receives varies by reference to time worked, the statement must show the total number of hours worked for which variable pay is received.

Executive pay reporting

UK quoted companies with more than 250 employees will soon have to report on ratios between the CEO and employees’ pay and benefits.  The requirement will apply to financial years beginning on or after 1st January 2019, meaning the first tranche of reporting will start in 2020.

Parental bereavement leave and pay

A right for bereaved parents to take paid time off work will come into force in April 2020.

Bereaved parents and primary carers will be able to take statutory leave as a single two-week period, as two separate periods of one week each, or as a single week. Some qualifying criteria and conditions will apply, and eligible employees will receive a statutory rate of pay. 

Future developments; proposed and potential employment law changes to watch

Post-Brexit immigration and settlement arrangements will be the subject of future updates.

If you need any support with these employment law changes or other employment law issues, please do not hesitate to get in touch