Employment Law May 2015

In this article, we provide updates to figures which took effect from 5th April, provide an update on the recent holiday pay case and set out major changes to Parental rights, the principal one being the introduction of Shared Parental Leave. Annual Updates which took effect on 6th April 2015 Parental payments Type of payment Rate Maximum period Statutory Maternity Pay (Higher rate) 90% of weekly earnings 6 weeks Statutory Maternity Pay (basic rate) £139.58 per week (or 90% of earnings if lower) 33 weeks Maternity allowance £139.58  per week (or 90% of earnings if lower) 39 weeks Statutory paternity pay £139.58 …

Key Changes In Employment Law

Some significant changes to employment law started in April this year, mainly in the area of family leave.  The headline news is the introduction of shared parental leave but various other changes will also take effect. Gillian Reid our Head of Employment at Ware & Kay, looks at the main changes and what you need to do as a result. Shared parental leave A flexible system of shared parental leave and pay will be available where the expected week of childbirth started on or after 5 April 2015.  The mother must still take the first two weeks off after the birth but the rest of her leave and pay can then be shared between the parents, either in turns or at the same time.  This means that up to 50 weeks' leave and 37 weeks…

Up To Speed With The New Rules For Combating Long Term Sickness Absence

Employers will be glad to hear of the government's new scheme to reduce long-term sickness absence in the workplace. In October 2014, a new Health and Work Service was introduced to help employees who are off sick for four weeks or more return to work. Managing sickness absence can be time-consuming and costly for many employers. The government has reported that almost a million (960,000) employees were on sick leave for a month or more each year on average between September 2010 and October 2013. The new Health and Work Service could cut sick pay costs to businesses by up to £165 million a year, as well as increase economic output by up to £900 million a year, through reducing absence levels between 20 to 40 per cent. The service will carry out a state-funded…

Why Should Employers Have An Adverse Weather And Travel Disruption Policy

As the UK transport network often grinds to a halt during periods of snow, it is essential for employers to put in place clear procedures, aimed at those who commute to the workplace, so that employees know what is expected of them and so as to avoid confusion. Such a policy can also cover situations where there is industrial action affecting the transport networks or in the event of major incidents covering health and public safety. The policy should clearly set out what is expected of the employee in terms of seeking alternative routes or means of transport, allowing extra time to travel, and regularly checking for weather updates with the intention of attending the workplace if at all possible. Issues such as whether to permit late starts and early finishes and whether employees are…

The Staff Christmas Party What Employers Need To Know

The staff Christmas party: what employers need to know:- Sexual harassment, assault and religious discrimination claims are often rife in the workplace, following the festive celebrations. Employers are likely to remain liable for any actions taken by their employees at work-related social events (including those taking place outside the office) even where the acts are without their knowledge or approval. Employers will have a defence if they took "all reasonable steps" to prevent the act or anything similar of that description before it occurred. Employers should therefore have a policy setting out the boundaries of acceptable standards of acceptable behaviour in clear terms, including examples of unacceptable behaviour and potential disciplinary sanctions. Case law shows that employers may be perceived as condoning behaviour where they provide a free-flowing supply of alcohol, given that incidents…

Can Employees Receive Christmas Presents Tax Free

Employees are entitled to receive 'trivial' benefits from their employer such as seasonal gifts tax free. There is no monetary limit set for gifts but HMRC suggests that larger employees should agree an upper limit each year with their tax office. HMRC guidance includes the following items as trivial: a turkey (but not a hamper), a box of chocolates, one or two bottles of ordinary wine (but not a case). Gifts to staff are tax deductible in the employer's accounts as staff welfare payments, whether trivial or not. Published: November 2014 Contact us: For further advice on your employment issues contact Gillian Reid on 01904 716050 or Gillian.Reid@warekay.co.uk.

Should A Suspended Employee Be Permitted To Attend An Office Christmas Party

There is no obligation to allow suspended employees to attend work-related functions. In fact doing so could be seen as inconsistent with the decision to suspend the employee in the first place. Employers should make it clear to employees that during the suspension period, they are not to report to work or contact colleagues or clients.  This should preclude them from attending functions as the guest of another colleague, for example. Employers should always be satisfied that they have reasonable grounds for suspension from the outset, so as to avoid breaching the implied term of mutual trust and confidence. Published: November 2014 Contact us: For further advice on your employment issues contact Gillian Reid on 01904 716050 or Gillian.Reid@warekay.co.uk.

Holiday Pay

In a judgment handed down by the Employment Appeal Tribunal on 4th November 2014 in the case of Bear Scotland v Fulton (and conjoined cases) the Working Time Directive requires holiday pay to be calculated so as to include overtime, including non-guaranteed overtime, as part of normal remuneration, and that it is possible for the Working Time Regulations 1998 to be construed accordingly. However, this only applies to the four weeks' annual leave derived from the Working Time Directive, not the additional 1.6 weeks provided by regulation 13A of the Working Time Regulations 1998. The Employment Appeal Tribunal also found that it was not open to employees to claim that they had suffered a series of deductions (for the purposes of the unlawful deductions from wages provisions of the Employment Rights Act (1996) by linking…

Dress Codes And Appearance In The Workplace

Employers must avoid unlawful discrimination in any dress code policy. Employers may have health and safety reasons for having certain standards. Dress codes must apply to men and women equally, although they may have different requirements. Reasonable adjustments must be made for disabled people. Dress codes should relate to the job and be reasonable in nature. Consulting with employees over proposals may help to ensure that the dress code is acceptable to all. The dress code should be in writing and be communicated to all employees. Employees may dress in a certain way for religious reasons: any restriction should be connected to a real business or safety requirement. Employers should work with employees to allow them to manifest their faith in a suitable way. Employers should have sound business reasons for requiring tattoos to…

National Minimum Wage Increase

The National Minimum Wage will change from 1 October 2014. The new rates will be as follows: The standard adult rate (for workers aged 21 and over) will rise by 3% to £6.50 an hour (up 19p from £6.31). The youth development rate (for workers aged between 18 and 20) will rise by 2% to £5.13 an hour (up 10p from £5.03). The young workers rate (for workers aged under 18 but above the compulsory school age who are not apprentices) will rise by 2% to £3.79 an hour (up 7p from £3.72). The rate for apprentices will rise by 2% to £2.73 an hour (up 5p from £2.68). The accommodation offset will rise by 3.5% to £5.08 a day (up 17p from £4.91).   The increases follow recommendations from the Low Pay Commission…