April 2019 Employment Law changes
April 2019 Employment Law changes
Organisations will need to abide by the latest set of national minimum wage rates for all pay periods beginning on, or after, 1 April. These new rates are as follows:
Age | From 1 April 2018 | From 1 April 2019 |
25+ | £7.83 an hour | £8.21 an hour |
21-24 | £7.38 an hour | £7.70 an hour |
18-20 | £5.90 an hour | £6.15 an hour |
Over compulsory school age but not yet 18 | £4.20 an hour | £4.35 an hour |
Apprentices under 19, or over 19 and in first year of the apprenticeship | £3.70 an hour | £3.90 an hour |
The amount of statutory sick pay qualifying employees are entitled to will increase from 6 April:
Payment | From 6 April 2018 | From 6 April 2019 |
Statutory sick pay (SSP) | £92.05 | £94.25 |
Whereas the amount individuals will be entitled to for statutory maternity, paternity, shared parental and adoption pay will also increase beginning on 7 April:
Payments | From 1 April 2018 | From 7 April 2019 |
Statutory maternity pay (SMP) | £145.18 | £148.68 |
Statutory paternity pay (SPP) | £145.18 | £148.68 |
Statutory shared parental pay (ShPP) | £145.18 | £148.68 |
Statutory adoption pay (SAP) | £145.18 | £148.68 |
In line with this, the lower earnings limit which individuals must meet in order to qualify for statutory payments such as SSP or SMP will increase on 6 April, rising from £116 to £118.
From 6 April, changes to the auto-enrolment pension system mean organisations will have to contribute 3 percent (up from 2 percent) and employees have to contribute a minimum of 5 percent (also up from 3 percent). These increases are a legal requirement; a failure to increase contributions appropriately could lead to a daily fine and being publicly named for non-compliance.
Changes to the way organisations issue payslips will come into force on 6 April. For pay periods beginning on or after this date, the right to receive an itemised payslip will be extended to those with ‘worker’ status for the first time. Where an employee or worker is paid on an hourly basis, payslips must show the total number of hours paid for. Individuals will have the right to bring a claim to an employment tribunal in the event that their employer is in breach of this requirement.
From 1 April organisations who pay into the apprenticeship levy will be able to transfer a greater portion of their funding across their supply chain as this will increase from 10 percent to 25 percent. Smaller, non-levy paying, employers who participate in co-investment will have to contribute less from 1 April as the government will increase their contributions from 90 percent to 95 percent of the overall cost of the apprenticeship. The amount employers will have to pay will decrease accordingly from 10 percent to 5 percent.