Top Five Employment Law Changes for April 2016

Top Five Employment Law Changes for 2016

 1. The National Living Wage is Introduced

1st April 2016 sees the introduction of the National Living Wage (NLW).  The NLW legislation requires employers to pay a minimum hourly rate of £7.20 to employees who are 25 years of age or over.  Click here for frequently asked questions on the NLW and NMW.

If you would like HR Elite to email you a template letter informing staff who may receive a pay rise due the introduction of the national living wage please contact us at info@hrelite.co.uk.

2. Employers National Insurance Contributions Abolished for Apprentices

The last few years have seen the Government trying to encourage employers to create roles for and employ apprentices.

As of 6th April 2016, in an effort to encourage this even further, employers will not have to pay NIC’s for apprentices under the age of 25.

3. Statutory Family Related and Sick Pay Rates Frozen

Each year sees an increase in the statutory payments for maternity, adoption, parental, paternity and shared parental leave and in addition, sick pay rates.

However, this year is different with the statutory pay rates remaining as they currently are.  Click here to see the pay rates for this year.

4. Penalties for Non-Payment of National Minimum Wage

Penalties for employers failing to pay employees at least the NMW doubles as of 6th April 2016.  The same enforcement arrangements will be applied to this as will be for non-payment of the NLW.

5. Salary Requirement Introduced for Tier 2 Workers

Employers can sponsor skilled foreign workers to come to the UK to work for them under tier 2 of the immigration points system. A new requirement for a minimum salary of £35,000 will apply from 6 April 2016.