Wide-Ranging Employment Law Changes From 6th April 2020

The following changes in UK employment law will be taking effect on 6th April 2020. These are in addition to annual increases to minimum wage, statutory sick pay and statutory family pay.

Employment contracts

Employers will be required to provide all employees and workers with a statement of employment particulars, including their main terms and conditions of employment, by their first working day.

Prior to 6th April, employers had a period of up to two months to supply the statement to new employees.

The new rule applies to both employees and workers.

The statement must also include additional information, which prior to 6th April could have been placed in a separate document.

Holiday reference period

The holiday pay reference period is being extended to 52 weeks, up from 12 weeks.

This change is designed to ensure workers without a regular working pattern, such as seasonal and zero hour workers, are not disadvantaged by having to take holiday at a quiet time of the year when their weekly pay might be lower.

The Parental Bereavement (Leave and Pay) Act 2018

Employees who have suffered the loss of a child will be entitled to statutory parental bereavement leave of two weeks.

The law applies to birth and adopted parents, foster parents and guardians as well extended groups such as close relatives or other primary caregivers to the child.

Employees with more than 26 weeks of continuous employment service will be eligible for a two-week period of paid leave. Employees with a lower period of service will be eligible for two weeks of unpaid bereavement leave.

Agency workers

The ‘Swedish Derogation’, under which recruitment agencies paid workers less between assignments than they would earn working an assignment for the client, is being abolished. Such provisions within contracts no longer apply after 6th April 2020.

Agency workers engaged by a temporary work agency will be entitled to be given a Key Information Document containing specific information about their basic terms, including their type of contract, the minimum rate of pay they can expect, how they will be paid and by whom.

IR35 and off-payroll working

Planned for 6th April implementation, the Government confirmed the latest IR35 reforms would be delayed in light of the coronavirus crisis. The changes will see public sector tax rules applied to the private sector. Medium and large-sized private sector companies hiring off-payroll contractors under private service companies (PSCs) will be responsible for determining their tax status. A new date has yet to be confirmed.

Wide-Ranging Employment Law Changes From 6th April 2020 2
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