Employment Law Update – April 2018

April is always a busy time with changes to Employment Legislation for employers to be aware of and act upon where required.

Here is a useful summary of the main changes: –

National Minimum Wage

From 1st April 2018, the National Minimum Wage will increase as follows: –

  • 16-17 year olds = £4.20 per hour (up from £4.05)
  • 18-20 year olds = £5.90 per hour (up from 5.60)
  • 21 years and over = £7.38 per hour (up from £7.05)
  • 25 years and over = £7.83 per hour (up from £7.50) – National Living Wage
  • Apprenticeship rate – £ 3.70 (up from £3.50 – for under 19 years old or over 19 if in first year)

Statutory Sick Pay

From 6th April 2018, Statutory Sick Pay will increase to £92.05 per week (from £89.35).

Family Friendly Payments

From 6th April 2018, Statutory Maternity, Paternity, Adoption & Shared Parental pay will increase to £145.18 per week (from £140.98).

Compensation & Redundancy Payments

  • From 6th April 2018, compensation and redundancy payments will change as follows: –
  • The cap on a statutory week’s pay will increase to £508.00 (from £489.00);
  • The maximum Basic Award for unfair dismissal will increase to £15,240 (from £14,670);
  • Statutory redundancy payments will be capped at a maximum of £15,240 (from £14,670);
  • Compensatory Awards for unfair dismissal will increase to a maximum of £83,682 (from £80,541) or a year’s gross pay, whichever is the lower.
  • Guarantee pay increases to £28 per day (from £27 per day).