HR & Employment Law Insights

Helping family businesses, start-ups, charities, social enterprises, and other growing or established businesses throughout the UK make sense of HR and Employment Law challenges.

As of the 11th of January 2016 The Exclusivity Terms in Zero Hours Contracts (Redress) Regulations, 2015 comes into play.

The aim of the new law is to ensure that employees on zero hours’ contracts are protected from detriment and dismissal for breaching an exclusivity clause in his or her contract of employment by doing work or performing services under another contract or other arrangement.

Exclusivity Clauses in Zero Hours Contract

As of the 11th of January 2016 The Exclusivity Terms in Zero Hours Contracts (Redress) Regulations, 2015 comes into play.

The aim of the new law is to ensure that employees on zero hours’ contracts are protected from detriment and dismissal for breaching an exclusivity clause in his or her contract of employment by doing work or performing services under another contract or other arrangement.

A worker on a zero hours’ contract will be able to bring a complaint to an employment tribunal for compensation if they are subjected to a detriment or dismissed.

National Living Wage Introduced

The National Living Wage, initially set at £7.20 will be introduced from the 1st of April 2016.

For the first time, employers will need to pay staff aged 25 and over the national living wage, which will work as a new top rate of the national minimum wage. For those aged under 25, lower national minimum wage rates will apply.

 Gender Pay Gap Reporting

Regulations will be introduced in June 2016 making it compulsory for large organisations with 250 employees or more to publish information about their gender pay gaps including details of gaps in bonus payments.

Employers will be given the chance to get used to the new regulations before reporting requirements come into force.

Public Sector Exit Payments

From April 2016 Repayment of Public Sector Exit Payments Regulations, 2016 comes into play. This means that employees in the public sector with annual earnings of £80,000 or more must repay exit payments where they return to work in the public sector within one year of leaving.

Statutory Parental Pay Rates and Sick Pay

The Government have announced that the annual increase in statutory parental pay rates and sick pay in 2016 had been frozen due to a fall in the consumer prices index.

Employer NICs abolished for apprentices under the age of 25

In Autumn it was announced that employer national insurance contributions for young apprentices would be abolished from April 2016. To make it cheaper to employ young people, employers will not have to pay Class 1 national insurance contributions on earnings up to the upper earnings limit for apprentices aged under 25. The new measure is contained in the National Insurance Contributions Act 2015.