[fusion_builder_container background_color=”” background_image=”” background_parallax=”none” enable_mobile=”no” parallax_speed=”0.3″ background_repeat=”no-repeat” background_position=”left top” video_url=”” video_aspect_ratio=”16:9″ video_webm=”” video_mp4=”” video_ogv=”” video_preview_image=”” overlay_color=”” overlay_opacity=”0.5″ video_mute=”yes” video_loop=”yes” fade=”no” border_size=”0px” border_color=”” border_style=”” padding_top=”20″ padding_bottom=”20″ padding_left=”” padding_right=”” hundred_percent=”no” equal_height_columns=”no” hide_on_mobile=”no” menu_anchor=”” class=”” id=””][fusion_builder_row][fusion_builder_column type=”1_1″ background_position=”left top” background_color=”” border_size=”” border_color=”” border_style=”solid” spacing=”yes” background_image=”” background_repeat=”no-repeat” padding=”” margin_top=”0px” margin_bottom=”0px” class=”” id=”” animation_type=”” animation_speed=”0.3″ animation_direction=”left” hide_on_mobile=”no” center_content=”no” min_height=”none”][fusion_text]The weather is changing and so are some key pieces of employment law. Whilst it’s not certain when some of the changes will be made many HR specialists believe that these will be coming over the next few months and employers will need to start getting ready.
National minimum wage increases for some age bands
The changes apply on 1 October 2016. The national living wage, the national minimum wage rate for workers aged 25 or above, is unaffected. So what’s changing?
The national minimum wage for workers aged under 25 but at least 21 rises to £6.95 per hour. The rate for workers aged at least 18 but under 21 is raised to £5.55 per hour; the rate for workers aged under 18 who are no longer of compulsory school age goes up to £4.00 per hour; and the apprentice rate increases to £3.40 per hour.
This is the last time we will see minimum wage hikes in the autumn. Future changes to the national minimum wage and the national living wage will take place at the same time in April each year, from April 2017. This will be much easier for employers to manage as they can predict when changes will need to be made and make the necessary preparations.
Changes to apprenticeships
From April 2017 all large employers will be required to pay an apprenticeship levy, set at 0.5% of the employer’s pay bill. The money gathered via this scheme will be distributed to fund the cost of apprenticeship training and assessment.
Other reforms to the rules applying to apprenticeships include that, to protect the term “apprenticeship”, training providers will be unable to describe a course as an apprenticeship where the course or training is not a statutory apprenticeship.
In addition, public-sector bodies in England with 250 or more employees will be subject to an apprenticeship target. Apprenticeship starts will need to comprise at least 2.3% of the total workforce each year.
Whilst the apprenticeship levy is expected to come into force on 6 April 2017, but there is no confirmed commencement date for the other measures.
Other changes on the horizon include
- English-language requirement for public-facing workers in the public sector
- Employers using foreign workers illegally will face closure
- Immigration skills charge likely to come into force
- Gender pay gap reporting
- New rules on public-sector exit payments likely to be implemented
- Trade union law reforms
- Rights of Sunday shop workers to be enhanced
- Tax-free childcare scheme is due to come into force
Look out for future blogs which will cover the topics above.
Written By Kate Goodman at Independent Advice For Business[/fusion_text][/fusion_builder_column][/fusion_builder_row][/fusion_builder_container]
