Employment law

National Minimum Wage fine increased. The penalty is set at 100% of the total underpayment of the NMW. The minimum penalty is £100 and the maximum is £20,000.

Statutory payments increased: £87.55 per week for statutory sick pay, £138.18 per week for statutory maternity, paternity and adoption pay.

Statutory sick pay record-keeping requirements and Percentage Threshold Scheme abolished.

Financial penalties imposed against employers who lose tribunal claims. The penalties must be 50% of the successful Claimant’s award up to a maximum of £5000, payable to the Secretary of state in addition to compensation awarded to the Claimant.

Compensation limits for unfair dismissal claims was increased to £76,574 or 52 weeks’ pay if less.

Changes to the pension protection regime that operates on a TUPE transfer. The changes has operated to allow the transferee employer the option of matching the transferor’s level of employee contribution.

Employer must take overtime into account, when calculating holiday pay.

The government has introduced new regulations to (1) limit all unlawful deductions claims to two years before the date of Employment Tribunal is lodged (with the exceptions of certain categories of unlawful deductions claims) and (2) explicitly state that the right to paid holiday is not incorporated as a term in employment contracts. The effect is to remove any chance employees have of bringing long-term claims for back holiday pay, either in the tribunal or civil courts.