The following changes are coming into force on 6 April 2020.
S1 Written Statement of Particulars of Employment
- Workers as well as employees must be given a 's1 statement.'
- The s1 statement must be given to the individual on their first day.
- Additional matters must be included in the statement, such as the days of work and, if variable, how they will be varied - any benefits, probationary period and any required training.
Holiday Pay Reference Periods - Calculation of a Week's Pay
- Where a worker has been employed for at least 52 weeks, the reference period is increased from 12 weeks to 52 weeks.
- Where a worker has been employed for less than 52 weeks, the reference period is the number of weeks for which the worker has been employed.
Agency Workers - Swedish Derogation Model Abolished
- Agency workers who have an employment contract with their agency guaranteeing pay between assignments will now have the right to equal pay with comparable direct employees.
- Agencies must update their workers with a statement to notify them of this change by 30 April.
Key Information Documents
- Temporary agencies and employment businesses will be required to provide agency workers with a 'Key Information' document. The document must include details of the type of contract, the expected pay, who will pay them and by what method.
Information and Consultation Thresholds Lowered to 2%
- To encourage engagement in the workplace, the percentage required for a valid employee request for an information and consultation agreement, which governs how their employer will consult about economic and employment-related matters, will be lowered from 15% to 2% of the workforce.
Termination Payments - Employer NICs Now Payable
- Employer National Insurance contributions will be payable on any ex-gratia termination payments that exceed £30,000. Ex-gratia payments will continue to be free of employee NICs.
Parental Bereavement (Pay and Leave) Act 2018
- Subject to parliamentary approval, a new right to two weeks' parental bereavement leave for parents who suffer the loss of a child under the age of 18 will also come into effect from 6 April. This will be a day one right but parents with six months' service will also be eligible for statutory parental bereavement pay.
The Queen's Speech outlined further proposed changes to employment law and a new Employment Bill is expected later this year. We will provide you with updates on further changes and the Employment Bill when details are made available.