Employment Law Changes from April 2019

From April 2019 there are a number of Employment Law changes. To make this easier for you we have listed these changes below but to see the full details, follow this link –

https://www.personneltoday.com/hr/employment-law-changes-2019-april-hr/

Pension Contribution

The most well-known change that is occurring from 6 April 2019 is the minimum level of employer AND employee pension contribution into an auto-enrolment scheme is increasing. For the Employer this is increasing from 2% to 3% and for the Employee the contribution will increase from 3% to 5%, meaning the OVERALL contribution increases from 5% to 8%.

Payslips

There are two important changes that will come into force from 6 April 2019, the first being that ALL workers will have the right to a payslip; not just employees; e.g. temp and contract workers. The second change is that payslips must include hours worked for those who work variable hours, or work overtime. If you work fixed hours e.g. 9-5 then the hours will not need to be shown.

Income Tax

The income tax threshold will be increasing from £11,850 to £12,500 from April, this means NO income tax will be paid on earnings less than this, resulting in a £130 saving per year. The threshold for the higher amount of income tax will also rise from £46,350 to £50,000!

National Minimum Wage

The National Minimum Wage will be increasing from April for 25 year olds and over to £8.21, the full details are in the table below:

 

National Minimum Wage Rates  
Age Group From April 2019
Workers aged 25 & over £8.21 (min rate per hour)
Workers aged 21 & over £7.70 (min rate per hour)
Workers aged 18-20 £6.15 (min rate per hour)
Workers aged under 16 & 17 £4.35 (min rate per hour)
Apprentices under 19 £3.90 (or 19 & over in 1st year of apprenticeship)
Accommodation offset amount £7.55 (daily rate)

Statutory Sick Pay/ Maternity/ Paternity/ Adoption/ Shared Parental Payments

From 6 April 2019 in order to qualify for the increased statutory sick pay of £94.25 per week you will need to earn a minimum of £118 per week.  Maternity/ Paternity/ Adoption & shared parental payments will increase to a set amount of £148.68 per week from 7 April 2019.

Tribunal Pay-outs

The total amount of money employees can be awarded as a result of a successful unfair dismissal claim will increase from 6 April to £102,194

2nd year gender pay report

Employers with over 250 employees are due to issue their second gender pay gap report by 4 April 2019 (private sector/ voluntary) and 30 March 2019 (public sector). This report has to be publicly accessible on your website once published & has to remain there for 3 years.