UK Employment Law News
In 2024 Uk Employment Law News, several significant changes to UK employment law are set to come into effect, impacting workers and employees across various sectors. These changes aim to protect workers’ rights, promote equality, and address emerging challenges in the workplace. As a professional and authoritative resource on employment law, we are committed to providing you with an in-depth analysis of the upcoming legislative amendments and their implications. This comprehensive guide will equip you with the knowledge you need to navigate the evolving landscape of workers’ rights in the UK.
Table of Contents
- Introduction
- Key Legislative Changes for 2024
- Transfer of Undertakings Protection of Employment (TUPE)
- Holiday and Working Time
- Equality
- National Insurance Contributions (NICs)
- Right to Work Fines
- Immigration
- COVID-Related Holiday Carry Over
- National Living Wage (NLW) and National Minimum Wage (NMW)
- Working Time
- Carer’s Leave
- Flexible Working
- IR35
- Redundancy Protection
- Fire and Rehire
- Statutory Rates
- Immigration – Migration
- Tips
- Predictable Contracts
- Harassment
- Neonatal Care
- Non-Compete Clauses
- Conclusion
Introduction
As we step into 2024, UK employment law is undergoing significant changes that will shape the rights and protections of workers in various industries. Driven by the need to adapt to evolving societal, economic, and technological landscapes, these employment law amendments are crucial. Employers and employees alike must be aware of these amendments to ensure compliance and foster a fair and inclusive working environment.
This comprehensive guide will explore the key legislative changes and new regulations coming into effect in 2024 under employment law. We will provide a detailed analysis of each change, its implications for employers and employees, and practical steps to navigate the new legal landscape.
Key Legislative Changes for 2024
Transfer of Undertakings Protection of Employment (TUPE)
Effective from 1st January 2024, the Transfer of Undertakings Protection of Employment (TUPE) regulations, a cornerstone of employment law, will undergo a significant amendment. Previously, employers were required to consult with affected employees through representatives during a TUPE transfer. However, this requirement will no longer apply if the business employs fewer than 50 employees. For transfers involving fewer than 10 employees (from 1st July 2024), consultation via representatives will not be necessary, regardless of the employer’s size. This change aims to streamline the transfer process for smaller businesses while maintaining essential employee protections.
Holiday and Working Time
From 1st January 2024, legislation will clarify the definition of ‘normal remuneration,’ which will include regular commission payments and bonuses when calculating holiday pay entitlement. Simultaneously, simplified record-keeping requirements will be introduced. Employers will need to maintain ‘adequate’ records but will no longer be obligated to track daily working hours. These changes aim to ensure fair compensation for employees’ holiday entitlement and reduce administrative burdens on employers.
Equality
On 1st January 2024, the Equality Act 2010 (Amendment) Regulations 2023 will come into effect, solidifying employment law. These regulations will incorporate established equality principles derived from the EU into domestic law. The aim is to strengthen protections against discrimination and promote equality in the workplace.
National Insurance Contributions (NICs)
Starting from 6th January 2024, Class 1 employee NICs will be reduced from 12% to 10%. This reduction aims to alleviate the financial burden on employees and increase take-home pay.
Right to Work Fines
Commencing 22nd January 2024, the fine for employing individuals lacking the right to work in the UK will surge, aligning with employment law regulations, from £15,000 to a substantial £45,000 per illegal worker. This significant increase is designed to deter the hiring of unauthorized workers and underscore the critical nature of adherence to immigration and employment law.
Immigration
With employment law evolving, on 31st January 2024, visitor visas will undergo changes to permit visitors to participate in client-facing corporate activities that are incidental to their employment abroad, expanding beyond just offshoring projects. Additionally, remote working will be acceptable under a visitor visa, as long as it is not the main purpose of the visit, reflecting a shift towards accommodating modern work practices.
COVID-Related Holiday Carry Over
The temporary rules that allowed for the extended carry-over of unused holiday due to COVID-19 will cease on 31st March 2024. The conclusion of these measures is aimed at reinstating standard holiday entitlements and enhancing workforce well-being, ensuring compliance with statutory annual leave requirements.
National Living Wage (NLW) and National Minimum Wage (NMW)
In line with employment law, the NLW and NMW rates will see an increment on 1st April 2024, as part of the standard annual update. This year’s adjustment introduces a new age category for NLW eligibility, setting the rates at £11.44 for individuals over 21, £8.60 for those aged 18-20, and £6.40 for individuals aged 16-17 and apprentices, in an effort to guarantee equitable wages for workers.
Working Time
Effective from 1st April 2024, workers with irregular hours or those employed part of the year will be eligible for rolled-up holiday pay. The introduction of a 12.7% accrual method for calculating holiday pay is also on the horizon. These updates are designed to offer more flexibility in holiday pay arrangements and ensure fair compensation, particularly addressing part time holiday entitlement and holiday accrual.
Carer’s Leave
Anticipated to be in effect from 6th April 2024, employees will be entitled to one week of unpaid leave for family care as a day-one statutory leave right within a 12-month period, to provide or arrange care for a dependent with long-term care needs. This leave entitlement mandates that employers safeguard employees against any detriment or dismissal for availing this leave, promoting a better work-life balance.
Flexible Working
From 6th April 2024, in accordance with employment law, the right to request flexible working will become accessible from the first day of employment, eliminating the previous 26-week service prerequisite. This amendment facilitates workers in making up to two flexible working requests within a year, with employers mandated to respond within two months, thus fostering a more adaptable work environment and supporting family leave.
IR35
From 6th April 2024, the introduction of a new set-off mechanism will align with employment law, allowing HMRC to reduce the PAYE liability for deemed employers who have incorrectly classified an individual as self-employed. This mechanism will permit an offset for certain taxes the worker has already paid, with the ability to backdate to 6th April 2017, aiming to rectify the fair treatment of workers and tackle the misclassification issue.
Redundancy Protection
Starting 6th April 2024, extended statutory protections under employment law will safeguard individuals on maternity leave, adoption leave, or shared parental leave in redundancy situations. These protections will prioritize these individuals for suitable alternative employment for 18 months post-birth or child placement, enhancing family leave job security during these pivotal moments.
Fire and Rehire
The employment law sector is awaiting the final version of the Statutory Code of Practice on Fire and Rehire, slated for release in Spring 2024. The code will offer guidance on fair employment practices in fire and rehire scenarios, ensuring employees are treated with respect and fairness.
Statutory Rates
April 2024 will mark the annual adjustments to statutory rates for maternity leave, paternity, adoption, parental bereavement, shared parental leave, and statutory sick leave. Additionally, the cap on a ‘week’s pay’ for statutory redundancy payments and the unfair dismissal basic award will be updated. These changes, including updates to statutory leave and leave entitlement, are designed to ensure fair compensation for workers in line with economic conditions, with specifics to be announced in due course.
Immigration – Migration
The UK government is set to implement employment law measures in Spring 2024 aimed at tightening work migration. These measures will increase the minimum salary threshold under the skilled worker route, eliminate the salary discount for jobs on the shortage occupation list, and raise financial requirements for family applications. Employers should anticipate higher costs and review their policies in preparation for these changes.
Tips
The Employment (Allocation of Tips) Act 2023, which falls under employment law, is expected to be enacted in May 2024. This act mandates employers to ensure a fair allocation of tips to workers, fostering transparency and fairness in gratuity distribution.
Predictable Contracts
The Workers (Predictable Terms and Conditions) Act 2023, another significant employment law legislation, is projected to come into effect in September 2024. This act will empower workers and agency workers to request a predictable working pattern twice within a 12-month span. It outlines statutory grounds for application rejection and protects workers from adverse treatment, with a consultation on the statutory code of practice set to precede the act’s implementation.
Harassment
The Worker Protection (Amendment of Equality Act 2010) Act 2023, a significant update in employment law, is expected to come into force in October 2024. This act imposes a duty on employers to take reasonable steps to prevent workplace discrimination, with tribunals authorized to increase compensation by 25% in cases where employers fail to comply. These changes are designed to promote a safe and inclusive working environment for all employees, reinforcing the principles of employment law.
Neonatal Care
The Neonatal Care (Leave and Pay) Act 2023, which grants a statutory right to family leave with pay for eligible parents when their baby requires neonatal care, is anticipated to be enacted in April 2025. Although the exact timeline for the implementing regulations is still unclear, this act is a pivotal step in supporting parents through difficult periods and ensuring they can be present for their newborns, thus enhancing statutory leave provisions.
Non-Compete Clauses
In May 2023, the government declared its plan to introduce a three-month cap on non-compete clauses in employment contracts, aiming to balance the protection of employers’ legitimate business interests with the encouragement of fair competition in the job market. Despite this announcement, no further progress or implementation timeline has been communicated.
Conclusion
The updates to UK employment law in 2024 demonstrate a continuous effort to improve workers’ rights and ensure fair and inclusive workplaces. Employers must actively engage in understanding and applying these legislative changes to stay compliant and uphold positive employee relations. Keeping abreast of the evolving employment law landscape is crucial for both employers and employees to confidently manage these changes, thereby nurturing a harmonious and productive work environment. As the year unfolds, vigilance and adaptability are key to addressing the emerging challenges and trends in employment law.
Subscribe
Youtube
UK Employment Law News
In 2024 Uk Employment Law News, several significant changes to UK employment law are set to come into effect, impacting workers and employees across various sectors. These changes aim to protect workers’ rights, promote equality, and address emerging challenges in the workplace. As a professional and authoritative resource on employment law, we are committed to providing you with an in-depth analysis of the upcoming legislative amendments and their implications. This comprehensive guide will equip you with the knowledge you need to navigate the evolving landscape of workers’ rights in the UK.
Table of Contents
- Introduction
- Key Legislative Changes for 2024
- Transfer of Undertakings Protection of Employment (TUPE)
- Holiday and Working Time
- Equality
- National Insurance Contributions (NICs)
- Right to Work Fines
- Immigration
- COVID-Related Holiday Carry Over
- National Living Wage (NLW) and National Minimum Wage (NMW)
- Working Time
- Carer’s Leave
- Flexible Working
- IR35
- Redundancy Protection
- Fire and Rehire
- Statutory Rates
- Immigration – Migration
- Tips
- Predictable Contracts
- Harassment
- Neonatal Care
- Non-Compete Clauses
- Conclusion
Introduction
As we step into 2024, UK employment law is undergoing significant changes that will shape the rights and protections of workers in various industries. Driven by the need to adapt to evolving societal, economic, and technological landscapes, these employment law amendments are crucial. Employers and employees alike must be aware of these amendments to ensure compliance and foster a fair and inclusive working environment.
This comprehensive guide will explore the key legislative changes and new regulations coming into effect in 2024 under employment law. We will provide a detailed analysis of each change, its implications for employers and employees, and practical steps to navigate the new legal landscape.
Key Legislative Changes for 2024
Transfer of Undertakings Protection of Employment (TUPE)
Effective from 1st January 2024, the Transfer of Undertakings Protection of Employment (TUPE) regulations, a cornerstone of employment law, will undergo a significant amendment. Previously, employers were required to consult with affected employees through representatives during a TUPE transfer. However, this requirement will no longer apply if the business employs fewer than 50 employees. For transfers involving fewer than 10 employees (from 1st July 2024), consultation via representatives will not be necessary, regardless of the employer’s size. This change aims to streamline the transfer process for smaller businesses while maintaining essential employee protections.
Holiday and Working Time
From 1st January 2024, legislation will clarify the definition of ‘normal remuneration,’ which will include regular commission payments and bonuses when calculating holiday pay entitlement. Simultaneously, simplified record-keeping requirements will be introduced. Employers will need to maintain ‘adequate’ records but will no longer be obligated to track daily working hours. These changes aim to ensure fair compensation for employees’ holiday entitlement and reduce administrative burdens on employers.
Equality
On 1st January 2024, the Equality Act 2010 (Amendment) Regulations 2023 will come into effect, solidifying employment law. These regulations will incorporate established equality principles derived from the EU into domestic law. The aim is to strengthen protections against discrimination and promote equality in the workplace.
National Insurance Contributions (NICs)
Starting from 6th January 2024, Class 1 employee NICs will be reduced from 12% to 10%. This reduction aims to alleviate the financial burden on employees and increase take-home pay.
Right to Work Fines
Commencing 22nd January 2024, the fine for employing individuals lacking the right to work in the UK will surge, aligning with employment law regulations, from £15,000 to a substantial £45,000 per illegal worker. This significant increase is designed to deter the hiring of unauthorized workers and underscore the critical nature of adherence to immigration and employment law.
Immigration
With employment law evolving, on 31st January 2024, visitor visas will undergo changes to permit visitors to participate in client-facing corporate activities that are incidental to their employment abroad, expanding beyond just offshoring projects. Additionally, remote working will be acceptable under a visitor visa, as long as it is not the main purpose of the visit, reflecting a shift towards accommodating modern work practices.
COVID-Related Holiday Carry Over
The temporary rules that allowed for the extended carry-over of unused holiday due to COVID-19 will cease on 31st March 2024. The conclusion of these measures is aimed at reinstating standard holiday entitlements and enhancing workforce well-being, ensuring compliance with statutory annual leave requirements.
National Living Wage (NLW) and National Minimum Wage (NMW)
In line with employment law, the NLW and NMW rates will see an increment on 1st April 2024, as part of the standard annual update. This year’s adjustment introduces a new age category for NLW eligibility, setting the rates at £11.44 for individuals over 21, £8.60 for those aged 18-20, and £6.40 for individuals aged 16-17 and apprentices, in an effort to guarantee equitable wages for workers.
Working Time
Effective from 1st April 2024, workers with irregular hours or those employed part of the year will be eligible for rolled-up holiday pay. The introduction of a 12.7% accrual method for calculating holiday pay is also on the horizon. These updates are designed to offer more flexibility in holiday pay arrangements and ensure fair compensation, particularly addressing part time holiday entitlement and holiday accrual.
Carer’s Leave
Anticipated to be in effect from 6th April 2024, employees will be entitled to one week of unpaid leave for family care as a day-one statutory leave right within a 12-month period, to provide or arrange care for a dependent with long-term care needs. This leave entitlement mandates that employers safeguard employees against any detriment or dismissal for availing this leave, promoting a better work-life balance.
Flexible Working
From 6th April 2024, in accordance with employment law, the right to request flexible working will become accessible from the first day of employment, eliminating the previous 26-week service prerequisite. This amendment facilitates workers in making up to two flexible working requests within a year, with employers mandated to respond within two months, thus fostering a more adaptable work environment and supporting family leave.
IR35
From 6th April 2024, the introduction of a new set-off mechanism will align with employment law, allowing HMRC to reduce the PAYE liability for deemed employers who have incorrectly classified an individual as self-employed. This mechanism will permit an offset for certain taxes the worker has already paid, with the ability to backdate to 6th April 2017, aiming to rectify the fair treatment of workers and tackle the misclassification issue.
Redundancy Protection
Starting 6th April 2024, extended statutory protections under employment law will safeguard individuals on maternity leave, adoption leave, or shared parental leave in redundancy situations. These protections will prioritize these individuals for suitable alternative employment for 18 months post-birth or child placement, enhancing family leave job security during these pivotal moments.
Fire and Rehire
The employment law sector is awaiting the final version of the Statutory Code of Practice on Fire and Rehire, slated for release in Spring 2024. The code will offer guidance on fair employment practices in fire and rehire scenarios, ensuring employees are treated with respect and fairness.
Statutory Rates
April 2024 will mark the annual adjustments to statutory rates for maternity leave, paternity, adoption, parental bereavement, shared parental leave, and statutory sick leave. Additionally, the cap on a ‘week’s pay’ for statutory redundancy payments and the unfair dismissal basic award will be updated. These changes, including updates to statutory leave and leave entitlement, are designed to ensure fair compensation for workers in line with economic conditions, with specifics to be announced in due course.
Immigration – Migration
The UK government is set to implement employment law measures in Spring 2024 aimed at tightening work migration. These measures will increase the minimum salary threshold under the skilled worker route, eliminate the salary discount for jobs on the shortage occupation list, and raise financial requirements for family applications. Employers should anticipate higher costs and review their policies in preparation for these changes.
Tips
The Employment (Allocation of Tips) Act 2023, which falls under employment law, is expected to be enacted in May 2024. This act mandates employers to ensure a fair allocation of tips to workers, fostering transparency and fairness in gratuity distribution.
Predictable Contracts
The Workers (Predictable Terms and Conditions) Act 2023, another significant employment law legislation, is projected to come into effect in September 2024. This act will empower workers and agency workers to request a predictable working pattern twice within a 12-month span. It outlines statutory grounds for application rejection and protects workers from adverse treatment, with a consultation on the statutory code of practice set to precede the act’s implementation.
Harassment
The Worker Protection (Amendment of Equality Act 2010) Act 2023, a significant update in employment law, is expected to come into force in October 2024. This act imposes a duty on employers to take reasonable steps to prevent workplace discrimination, with tribunals authorized to increase compensation by 25% in cases where employers fail to comply. These changes are designed to promote a safe and inclusive working environment for all employees, reinforcing the principles of employment law.
Neonatal Care
The Neonatal Care (Leave and Pay) Act 2023, which grants a statutory right to family leave with pay for eligible parents when their baby requires neonatal care, is anticipated to be enacted in April 2025. Although the exact timeline for the implementing regulations is still unclear, this act is a pivotal step in supporting parents through difficult periods and ensuring they can be present for their newborns, thus enhancing statutory leave provisions.
Non-Compete Clauses
In May 2023, the government declared its plan to introduce a three-month cap on non-compete clauses in employment contracts, aiming to balance the protection of employers’ legitimate business interests with the encouragement of fair competition in the job market. Despite this announcement, no further progress or implementation timeline has been communicated.
Conclusion
The updates to UK employment law in 2024 demonstrate a continuous effort to improve workers’ rights and ensure fair and inclusive workplaces. Employers must actively engage in understanding and applying these legislative changes to stay compliant and uphold positive employee relations. Keeping abreast of the evolving employment law landscape is crucial for both employers and employees to confidently manage these changes, thereby nurturing a harmonious and productive work environment. As the year unfolds, vigilance and adaptability are key to addressing the emerging challenges and trends in employment law.
0 Comments