Upcoming 2020 Employment Law Changes
The 6th April 2020 will bring with it several changes to employment and recruitment law.
This week we will be briefly outlining five changes that will take affect from April. For a more in-depth discussion and how to make the relevant amendments in line with these changes, we will be providing our clients with a newsletter in March. Please get in contact if you would like to be put onto our mailing list to receive this information.
New right to a written statement of terms
The current law:
“An employer must give employees a ‘written statement of employment particulars’ if their employment contract lasts at least a month or more. This isn’t an employment contract but will include the main conditions of employment.
The employer must provide the written statement within 2 months of the start of employment.“
For information on what currently needs to be included in the written statement please visit Employment Contracts - GOV website.
From 6th April 2020:
All new workers will have the right to a written statement of employment particulars from their first day of employment.
Amendments to agency worker rules
The current law:
The Agency Worker Regulations 2010 (AWR 2010) entitles agency workers to receive equal pay and basic working conditions as permanent non-agency workers in the same role, once they have completed 12 weeks continuous service.
Swedish Derogation provides exemption from the right to equal pay, if workers are engaged in a permanent contract with an agency.
From 6th April 2020:
The Swedish Derogation will be terminated. Once the agency worker has completed 12 weeks continuous service, they will be entitled to equal pay to workers who are directly employed by the employer.
Holiday pay reference period
The current law:
The current holiday pay reference period is 12 weeks.
From 6th April 2020:
The holiday pay reference period will increase from 12 weeks to 52 weeks.
Changes to IR35 rules for private sector
The current law:
The current IR35 rules apply when an individual performs services for a person (client) through an intermediary (personal service company (PSC), but could also be a partnership, a managed service, ‘umbrella company’, or an individual). It is the intermediaries responsibility to determine whether IR35 applies.
From 6th April 2020:
The responsibility will fall to ‘the client’ or ‘end user’ to review the status of each worker operating through an intermediary. The client must determine whether the worker would be regarded as an employee if they engaged directly.
The new rules will not apply to small businesses (as defined by Companies Act 2006).
New parental bereavement law
The current law:
No law currently in place.
From 6th April 2020:
The Parental Bereavement (Leave and Pay) Act 2018 is expected to take affect. This will allow workers the right to 2 weeks of leave following the loss of a child under the age of 18, or a stillbirth after 24 weeks of pregnancy.
If you wish to receive a copy of our 'Upcoming 2020 Employment Law Changes' newsletter in March, please send an email to enquiries@partnersemployment.co.uk