As is usual, a number of changes in employment law will be taking place in April.
First, the national minimum wage will increase with effect from 1 April. The new rates are:
- National living wage (25+): £8.21 per hour
- Adult rate (21+): £7.70 per hour
- Development rate (18-20): £6.15 per hour
- Youth rate (16-17): £4.35 per hour
- Apprentice rate: £3.90 per hour
- Accommodation offset: £7.55 per day.
Statutory payments will also rise in early April. Statutory sick pay will increase to £94.25 per week from 6 April, and statutory maternity, paternity, adoption and shared parental pay are all going up to £148.68 with effect from 7 April.
From 6 April, payslips will have to be provided to all workers and not just employees. Where a worker is paid on an hourly rate basis, the payslip will have to show the total number of hours worked. If a worker is paid different rates of pay for different types of work, a breakdown must be provided. DBEIS has published guidance on the new requirements.
The new employment tribunal limits have been announced and will apply where the effective date of termination is on or after 6 April. The cap on a week's pay - for calculating a statutory redundancy payment (SRP) and a basic award - will be £525, the maximum basic award and SRP will be £15,750, and the maximum compensatory award will be £86,444 (or 52 weeks' pay if less). Staying with the employment tribunal, the maximum penalty for an aggravated breach of employment law will quadruple from £5,000 to £20,000 from 6 April.
Lastly, from April employers who pay the apprenticeship levy will be able to invest up to 25% of their levy to support apprentices in their supply chain.