Below we take a look at some significant changes expected in employment law in April 2019.
Gender pay gap report
Employers with 250 + employees must report on their percentage gender pay gap annually. Many will remember the headlines last year such as “Virgin Money reports a 36% gender pay gap”.
The deadline for private sector companies to publish their reports is 4 April, so we wait to see whether companies are reporting a narrowing gender pay gap or whether or not it has in fact widened.
Wages
The new national minimum wage rates that apply from 1 April are as follows:
- Workers aged 25 and over – £8.21 an hour (National Living Wage)
- Workers aged 21-24 – £7.70 an hour
- Development rate for workers aged 18-20 – £6.15 an hour
- Young workers rate for workers aged 16-17 – £4.35 an hour
- Apprentice rate (workers under 19 or in first year of apprenticeship) – £3.90 an hour.
Payslips
Two important changes will come into force on 6 April:
- Where people’s pay varies according to the number of hours worked, employers must include the total number of hours worked on the payslip.
- Payslips must be given to ‘workers’ and not just employees.
Pension
Currently, automatic enrolment requires employers to contribute a minimum of 2% of an eligible worker’s pre-tax salary to their pension pot, with the individual contributing 3% themselves.
However, from 6 April employers and employees will now have to contribute a minimum of 3% and 5% respectively.
Statutory pay
The weekly amount for statutory family pay will increase to £148.68 from 7 April. This rate will apply to maternity pay, adoption pay, paternity pay, shared parental pay and maternity allowance.
The weekly rate for statutory sick pay will increase to £94.25 from 6 April 2019.
For more information please contact Hannah Dahill, Associate Director, on 01267 493130 or email [email protected].
