Its good news for employees…..
Brexit – what impact will this have on employees and businesses?
With only a couple of weeks left to go until we are due to leave the EU there is a great deal of uncertainty surrounding this. If you have any employees in your business who are EU nationals, they will have to apply for “settled status” under the EU Settlement Scheme. For further advice, please contact us and we would be happy to help.
An increase to National Minimum Wage
As of 1 April 2019, the National Minimum/Living Wage will increase to:
- £8.21 for workers of 25 years and over
- £7.70 for workers between the ages of 21 and 24
- £6.15 for workers between the ages of 18 and 20
- £4.35 for workers under the age of 18
- £3.90 for apprentices under 19 or in the first year of their apprenticeship
Failure to comply comes not only with financial risk but also huge reputational damage. In addition to a worker’s right to enforce NMW entitlement, HMRC also has enforcement powers (including naming and shaming, financial penalties and criminal offences in some cases).
An increase to statutory sick/maternity leave payments
In addition to the above, there will also be an increase to statutory sick/maternity leave payments…
- Statutory sick pay will rise to £94.25 per week from 6 April 2019
- Statutory maternity, adoption, paternity and shared parental pay will rise to £148.68 per week from 7 April 2019
Increase in maximum awards for claims of unfair dismissal
As of 6 April 2019, the maximum compensatory award for unfair dismissal will rise to £86,444. The maximum amount of a week’s pay, used to calculate statutory redundancy payments and the basic award in some tribunal awards, will rise to £525.
For further advice in respect of employment law and any updates please contact Kelly McManus at McEwan Fraser Legal on 0131 297 0661.