More Changes For Employers To Be Aware Of From 6th April 2020
With more changes to employment law due in April 2020, it's time to prepare and review your policies and procedures.
National Living/Minimum Wage
The National Living Wage (payable to workers aged 25 and over) will increase to £8.72 on April 1st 2020. For younger workers the rates will be £8.20 (aged 21-24), £6.45 (aged 18-20) and £4.55 (under 18).
Employment Contracts
Employees and workers who start work on or after April 6th 2020 will have a right to receive a details of their employment terms on or before the first day that they start work. Currently this has to be provided within 2 months of them starting so this is quite a significant change.
There is additional that must be provided to all new starters :
Details of all pay and benefits.
Any probationary period and conditions associated with it.
The days of the week the worker is required to work, whether working hours may be variable and if so, how.
Any paid leave to which the worker is entitled (whether that’s holiday pay or any other statutory pay such as maternity/paternity/adoption pay).
Any training entitlement provided by the employer, including whether any training is mandatory and/or must be paid for by the worker. If training is not provided then a statement saying that it is not provided should be included.
Workers already employed on April 6th can request a statement containing this additional information; employers have a month to respond.
Holiday pay calculation
From April 2020 the reference period to determine an average week’s pay for workers who don’t have regular set hours, will be changed to 52 weeks from the current 12 weeks. If employed for less than 52 weeks, holiday pay will be based on the number of complete weeks worked.
Agency workers
From April 6th 2020, agency workers will have the right to receive equal pay with the direct employees of an end-user client after 12 weeks on an assignment, regardless of whether or not they have an employment contract with their agency. Agencies and end user clients currently relying on the “Swedish derogation” to avoid the equal pay obligation, must inform their workers that the opt out no longer applies by the end of April.
For support with updating your policies and employment contracts, please contact the Starford team on 01342 347063 or email hello@starfordlegalhr.com