Welcome to Employment Edit, our pick of the key employment law developments from the last couple of weeks:

  • Data Protection – The European Commission and the US have reached agreement on a new framework for transatlantic data flows: the EU-US Privacy Shield, which will place stronger obligations on US companies handling EU citizens' personal data and include robust enforcement measures. This will be welcome news to organisations that can no longer rely on the old EU/US Safe Harbour framework, which has been held to be invalid. Please see our briefing for more information.
  • Disability discrimination – Manual lifting and moving cases of up to 25 kg have been determined by the EAT to be 'normal day-to-day activities' and a warehouse operative who, because of his back condition, was significantly slower in carrying out these activities therefore had a disability for the purposes of the Equality Act 2010. This appears to broaden the scope of ‘normal day-to-day activities’. Banaszczyk v Booker.
  • Settlement payments – The Tax and Chancery Chamber of the Upper Tribunal has held that a settlement payment will be taxable if it is compensation for injury to feelings arising from discrimination relating to dismissal. However, compensation for discrimination during employment may be tax free and so employers should consider taking advice about whether it is necessary to apportion a settlement payment. Moorthy v The Commissioners for Her Majesty's Revenue and Customs.
  • National living wage – The government has published The National Minimum Wage (Amendment) Regulations 2016 which include the National Living Wage rate of £7.20 an hour for workers aged 25 and over and come into force on 1 April 2016.