Legal Update

This update contains examples of recent changes in employment legislation which are helpful for employers and employees alike.

Employment tribunal fees

From the end of July 2013, claimants in employment tribunals are now required to pay a fee to issue their claim together with a further fee, payable three to four weeks before the hearing.Claimants can however, apply for remission of all or part of the fee, depending on their financial circumstances. Please follow the link below to find information about tribunal fees and to see if you are eligible for remission from them.

Guide to Employment Tribunal Fees

Unfair dismissal awards

For dismissals effective after 6 April 2017, unfair dismissal compensation is capped at either one year of the claimant's gross pay or the existing cap (currently £80,541.00) – whichever is the lowest.

Whistleblowing legislation

From 25 June 2013, whistleblowing must be ‘in the public interest’, but does not need to be made ‘in good faith’ (ie with honest motives, rather than for personal gain). However, if it is not made in good faith, the tribunal has the power to reduce compensation as a result.

Post-employment victimisation

The Equality Act now protects employees from being victimised after they have left employment, for example, an unfair reference.

Pre-termination negotiations

From the end of July 2013, conversations between employer and employee with a view to terminating their employment cannot be taken into account by an employment tribunal in any subsequent unfair dismissal case.

TUPE reform

The Transfer of Undertakings (Protection of Employment) Regulations 2006 protect employees when the business they work for is transferred to a new employer. The government is looking to bring in a number of changes to these regulations later this year - the most significant being the proposed removal of the protection connected with a 'service provision change'.

 

Employment Legislation in general:

Abolition of default retirement age

As of 1 October 2011, the default retirement age was scrapped. Employers can no longer use the default retirement age to make you retire. Older workers can still choose to retire however and draw whatever pensions they are entitled to.

What the new regulations mean for older workers.

It is unlawful for your employer to discriminate against you because of your age. If an employer wants to argue against this, they must be able to justify their actions or prove their exemption in the new law.

Your pay and benefits should be based on your skills and not your age. The new law contains exemptions for benefits based on length of service. Upper age limits on unfair dismissal and redundancy are removed.

Training providers cannot discriminate against you because of your age. Your employer also cannot prevent you from going on vocational training or courses if you are over 50, unless they can provide an objective reason.

Compulsory retirement is now unlawful unless your employer can provide an objective reason. The new law does not affect the State Pension age. There are limited exemptions under the law where employers may be able to discriminate on the grounds of age.

For example, an employer can; Set an age requirement for a job if a characteristic related to age is a genuine requirement of the job or, target recruitment advertising at older individuals to compensate for disadvantages experienced because of age of existing staff. N/B Unpaid volunteering is not covered by the Equalitiy Act unless it is part of a training course.

Statutory sick pay increase

The weekly rate of Statutory Sick Pay for days of sickness from 6 April 2017 is £89.35.

The following list outlines important changes the government have made or propose to make to employment law legislation along with the actual or proposed launch date.

April 2017 - The National Minimum Wage will increase to:

April 2014 - Early conciliation for employment law claims

From April 2014 before lodging a claim to the Tribunal all claimants will need to notify Acas first, where conciliation will be offered. If conciliation is unsuccessful within the set period the claimant can proceed to lodge a tribunal claim.

2015 - Flexible parental leave

Under this new system parents will be able to choose how they share the care of their child during the first year after birth. Mothers will still take at least the initial two week following the birth, following that they can choose to end the maternity leave and the parents can opt to share the remaining leave as flexible parental leave. Also under this new shared parental leave it is proposed to allow the husband, civil partner or partner of the pregnant women the right to unpaid time off to attend up to 2 ante-natal appointments.