Employment Law Changes from April 2019

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Employment Law Changes from April 2019

2019-04-25T08:38:55+00:00 April 25th, 2019|All, HR News, Recruitment|

Legal changes in force from April 2019 including itemised pay statements, National Minimum Wage and pensions auto-enrolment.

1 April 2019 – National Minimum Wage increase 

  • 25 and over – £8.21 per hour
  • 21 and over – £7.70 per hour
  • 18-20 – £6.15 per hour
  • 16 and 17 – £4.35 per hour
  • Apprentices under 19 (or aged 19 and over in their first year of apprenticeship) – £3.90 per hour

National Minimum Wage Rates

6 April 2019 – Itemised pay slips
  • All workers including agency workers now have a legal right to an itemised pay statement
  • If a worker’s pay varies according to the time they have worked, you must specify how many hours they have worked and the applicable rates of pay. This includes day rate workers.

Government guidance to itemised pay statements

7 April 2019 – Increase to Statutory Maternity Pay, Statutory Paternity Pay, Statutory Adoption Pay and Statutory Shared Parental Pay (and Statutory Maternity Allowance – 8 April 2019)

Increase to £148.68 per week.

Statutory Rate limits 

6 April 2019 – increase to Statutory Sick Pay rate
  • Increase to £94.25 per week.
  • The lower earnings limit is increasing to £118 per week. If a worker earns below the lower earnings limit for national insurance contributions they are excluded from SSP.

Statutory Rate limits 

6 April 2019 – Automatic enrolment pension contributions increase 

  • Minimum contribution rates will be 3% for employers and 5% for employees.
  • The automatic enrolment earnings threshold will remain at £10,000
  • Qualifying earnings lower limit will increase to £6136.
  • The upper earning limit will increase to £50,000.
6 April 2019 Income Tax personal allowance increase 
  • Income Tax personal allowance increase to £12,500 per annum
  • Increase in higher rate tax threshold to £50,000 per annum
Income Tax rate changes in Wales

4 April 2019 – Gender pay gap reporting deadline

REC gender pay gap guidance 

6 April 2019 – Increase in financial penalty for breach of worker’s employment rights

The Employment Rights (Miscellaneous Amendments) Regulations 2019 

Increase in maximum financial penalty available for aggravated breach of a worker’s employment rights from £5000 to £20,000.

6 April 2019 – Self-employed national insurance changes
Self-employed people no longer need to pay Class 2 National Insurance.