Are You Up-To-Date With Key Employment Law Changes?
April is a busy time for HR professionals and business owners. You are likely to be busy tying up any loose ends from the previous financial year and you also need to be prepared for legislative changes that could impact your business. April is a time when new rules come into force, so we’ve listed below the key changes.
National minimum wage has increased
On 1st April, the national minimum wage increased. For workers aged 25 and over, the rate increased from £7.20 to £7.50.
As the rate varies according to age group, now is a great time to make sure that you’re compliant, and that payroll processes are in order.
Statutory redundancy pay rises
Redundancy pay increased from 6th April. If you find yourself in a situation where you have to make employees redundant, then you must pay those with two years’ service or more, a sum based on their length of service, weekly pay, and age. The weekly pay is subject to a maximum amount, and has now increased to £489.
Gender pay gap reporting comes into force
If you employ 250 or more employees, read on. You will be required to report on your gender pay gap, including any bonuses that you might use to reward your staff.
You will have a period of 12 months to publish this information on your own website, and upload the details to a government website. As such, you need to make sure that you have mechanisms in place to collect the necessary facts and figures.
The Apprenticeship Levy is introduced
The Apprenticeship Levy came into force on 6 April 2017. If your annual pay bill is over £3 million each year, you will be required to pay 0.5% of it towards the Apprenticeship Levy. Unless you are connected to another company or charity you will have an Apprenticeship Levy allowance of £15,000 each year.
The immigration skills charge has arrived
Do you sponsor skilled workers under tier 2 of the immigration points-based system? If so, you will be required to pay a sponsorship levy of £1,000 per year for each certificate of sponsorship – or £364 if you’re a smaller business or charity.
There are certain exemptions that apply, so if your business hires skilled immigrants, it pays to seek out tailored advice.
April is an ideal time to carry out an audit of your policies and procedures, to make sure that you’re fulfilling your legal responsibilities. If you find all this mind boggling, please get in touch by completing the Contact Form or calling us on 01604 763494 to arrange your no-obligation discussion.
