Employment Law Update – December 2023

I am now starting to see some further clarifications from the Government in relation to a number of future employment law changes that have been confirmed or proposed. Here is a quick summary of what I know so far, although further announcements containing more details are expected in due course. I will update you as and when appropriate.

Pay Amendments

  • Employee National Insurance Contributions from 6 January 2024

Class 1 employee national insurance contributions will reduce from 12% to 10% 

  • Minimum Wage rates confirmed from 1st April 2024 

IMPORTANT NOTE: The National Living Wage for those aged 21 and above, previously only applied to those aged 23 and over.

Timetable for Employment Law Changes 

Please don’t hesitate to get in touch if you have any questions or need help with reviewing your procedures, updating policies, contracts etc. 

Email: ns@nickysilverhr.co.uk

Tele: 07913 121290

Note: Underneath this Timetable I have inserted a brief summary of the changes that the Labour Party have indicated they would bring in should they win the next General Election.

Labour Party – Proposed Reforms

The Labour Party has suggested that they may make the following changes to Employment Laws if they win the next General Election, although have not confirmed all of the finer the details:

  • Day 1 Rights Some basic rights, currently only available to employees, may be extended to all workers with effect from day 1. They have cited examples such as unfair dismissal (currently can only be claimed after 2 years of employment), statutory sick pay (proposing increases in payments) and maternity / parental leave (which generally only apply after 26 weeks of employment at the moment). 
  • Employment Tribunal Claims – It is being suggested that:
  • The current 3 month time limit for workers to bring a claim may be extended, but there has been no indication of how long it will be extended to.
  • The payout limits on some types of claim being scrapped, therefore making potential compensation awards unlimited
  • Zero Hours Contracts – These types of contracts may be completely banned.