Key Employment Law Changes Coming Our Way

Employment Law 6th February 2018

With the first month of 2018 now behind us it’s time to consider new legislative changes.

Brexit has provided more questions than answers, and whilst there are still many grey areas there are several new developments that have been confirmed.

The clock’s ticking when it comes to ensuring your compliance, and we’ve detailed below four key changes on the horizon this year. 

GDPR Comes Into Force
You have probably heard of GDPR by now.  On 25th May 2018, the General Data Protection Regulation (GDPR) comes into effect for all EU member states – and that includes the UK.  This regulation is intended to strengthen and unify data protection provisions.

There is a lot to consider with GDPR and a reliable place for information is the ICO website.

The First Gender Pay Gap Reporting Deadline 
Private and Voluntary Sector Organisation with 250 or more employees will be required to publish their first gender pay gap report by 4th April 2018. For public sector employers of the same size, the deadline is 30th March 2018. The reports must be published on the company website, and also a dedicated government website.

Pay data from 2016 and 2017 will be covered, and information showing the differences in mean and median pay and bonus pay between male and female employees.

Minimum Wage Increases  
From 1st April 2018, the National Living Wage for workers aged 25 and over will increase to £7.83 per hour.   Additionally, National Minimum Wage rates will rise to £7.38 per hour for workers aged 21 to 24, £5.90 per hour for workers aged 18 to 20, and £4.20 for workers aged 18 who are no longer of compulsory school age.

Now is the time to review rates of pay to make sure that administrative procedures are in place to ensure a smooth transition to the higher rate for any employees who are eligible. 

Increased Contribution Rates for Auto Enrolment
With effect from 6th April 2018, by law the minimum auto enrolment pension contribution rates for both employers and employees are set to increase.  The minimum employee contribution will rise from 1% to 3%.  The minimum employer contribution will rise from 1% to 2%, making a total of 5%.

Employees can choose to increase their contribution rates above the minimum rate if they wish.  Likewise, employers can increase their contribution rates above the minimum rates depending upon contractual arrangements.  There is no option for the employee or employer to pay below the minimum contributions.   For further information see:

As we enter the second month of the New Year, time is running out when it comes to establishing your plans. If you need a little help or guidance when it comes to effectively tackling the challenges that are thrown your way, please get in touch by completing the Contact Form or calling us on 01604 763494 to arrange your no-obligation discussion. 

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