Autumn Employment Newsletter

This is a summary of some of the recent changes to affect employment and some planned changes for next year.

Tribunal Claims increase since fees abolished

Since the government’s tribunal fee structure was ruled unlawful by a landmark judgement in 2017, there has been a steep rise in the number of employment tribunal claims lodged. According to ACAS (Advisory, Conciliation and Arbitration Service) annual report for 2017/18, early conciliation notifications have increased from around 1700 a week to around 2200 a week following the decision. Overall, notifications have increased by 19 per cent compared to the same period the previous year and the number of cases involving a tribunal claim has increased by 39 per cent.

However, this should be tempered by the fact that there have been fewer awards made. For example, an award for an unfair dismissal claim in 2018 is 15K, compared with 16.5K in 2017. The current statutory cap for unfair dismissal claims is £83,682 or one years salary (whichever is the lower).

The Ministry of Justice has recently indicated that the reintroduction of fees is on the agenda, but no timescales are set. The new system would see a progressive scheme with lower fees and a rebate scheme for those workers who can’t afford to pay.

Statutory Payments – April 2019

These are the increases to wage rates planned from 1 April 2019 as a result of the recent budget:

National Living Wage (25 years and over workers)

From £7.83 to £8.21

National Minimum Wage

Age 21 – 24 from £7.38 to £7.70

Age 18 – 20 from £5.90 to £6.15

Age 16 – 17 from £4.20 to £4.35

Apprentice from £3.70 to £3.90

Paid leave for bereaved families

Starting in April 2020, the new parental bereavement leave and pay act will give all employed parents the right to two week’s leave if they lose a child under the age of 18 or suffer a stillbirth from 24 weeks of pregnancy. This leave will be paid subject to meeting certain criteria.

Grandparental leave (on hold)

Plans by the government to extend the right to take shared parental leave and pay to grandparents has been shelved for the time being. They may have a right to ordinary parental leave if they have acquired parental responsibility, but this would only apply on very limited occasions.

Brexit – effect on employment

Although much of UK law is derived from EU, the government have indicated that withdrawal from the EU won’t have an immediate impact on employment law. Assuming we have a deal, when we leave the EU, existing EU law will be converted into UK law. Future governments may wish to change some legislation that has caused us some difficulties in the UK such as harmonisation of contracts after a TUPE transfer and calculation of holiday pay.

Immigration

If you are a European citizen, you will be able to apply for either settled or pre-settled status from March 19 so that you can continue living in the UK after 31 December 2020. If you have lived in the UK, continuously for 5 years or more, you can apply for settled status and less than 5 years, pre-settled status.

Please contact us on 01905 900919 or email gill@bradleyhayneslaw.co.uk if you need any advice or have any questions on the above employment legislation.

Gill Wooldridge

Head of H R & Employment Services