![[UK] 6 key employment law tasks for HR in 2023](http://gpa.net/cdn/shop/articles/bigstock-Group-Of-Multiethnic-Business--467925923_1200x.jpg?v=1674016929)
A number of changes to UK employment law look likely to progress in 2023. The timetable for the introduction of these new measures has yet to be established but HR professionals should monitor developments and be ready to meet their new obligations. Personnel Today has summarised some of this year’s upcoming obligations:
March 30/April 4 - publish your gender pay gap report
Organisations have 12 months to publish their gender pay gap figures from the relevant snapshot date (March 31 for the public sector and April 5 for the private and voluntary sectors).
Therefore the next gender pay gap reporting deadline is March 30, 2023, for public-sector employers and April 4, 2023, for private-sector and voluntary-sector employers. Organisations must publish reports on their website and on the gender pay gap reporting portal on the GOV.UK website.
Personnel Today says employers can choose to provide a narrative around any gender pay gap, including providing an explanation for their pay gap and setting out what steps they are taking to reduce the gap.
April 1 - comply with national minimum wage increases
The rates for the national minimum wage will increase on April 1, 2023. The hourly rate of the minimum wage will increase from:
- £9.50 to £10.42 for workers aged 23 and over (the national living wage);
- £9.18 to £10.18 for workers aged 21 or 22;
- £6.83 to £7.49 for workers aged 18 to 20;
- £4.81 to £5.28 for workers aged under 18 who are no longer of compulsory school age; and
- £4.81 to £5.28 for apprentices under 19, or over 19 and in the first year of the apprenticeship.
Personnel Today advises employers to check their pay rates against the forthcoming minimum wage rates and ensure that, where necessary, they increase remuneration for the first pay reference period beginning on or after April 1, 2023.
April 2/6 - increase statutory family-related pay and sick pay
The rate of statutory maternity, adoption, paternity, shared parental and parental bereavement pay will increase to £172.48, from their current rate of £156.66. The increase normally takes effect on the first Sunday in April, this year will be April 2.
The rate for statutory sick pay will also reportedly rise on April 6, 2023. The new rate will be £109.40, up from £99.35.
HR will be responsible for ensuring that staff on maternity, paternity, adoption, shared parental and parental bereavement leave, and staff on sick leave, are paid these statutory minimum rates.
In addition, HR professionals must review their policies and procedures that mention the rates, such as their maternity policies and sickness absence procedures.
April 6 - update your statutory redundancy pay calculations
New limits on employment statutory redundancy pay will come into force on April 6, 2023.
Employers who dismiss employees for redundancy must reportedly pay those with two years’ service an amount based on the employee’s weekly pay, length of service and age.
The weekly pay is subject to a maximum amount (£571 from April 6, 2022). The new amount will be confirmed in the draft Employment Rights (Increase of Limits) Order 2023, this is expected to be published some time in February.
HR professionals should make sure that calculations for statutory redundancy payments are made on the basis of this new maximum amount for redundancy dismissals on or after April 6, 2023.
May 8 - manage bank holiday entitlement for the King’s coronation
An additional bank holiday on May 8, 2023, to celebrate the King’s coronation has been announced.
As a result there will be three bank holidays in May 2023.
Employers must consider how they will approach the additional bank holiday. This will be determined to some extent by the wording in employees’ contracts of employment.
Where the contract entitles employees to take leave on “all bank and public holidays”, for example, the employer will be required to grant the extra day as leave.
Even if the employer is not contractually obliged to grant the extra day as leave, it may choose to do so as a goodwill gesture to employees.
Personnel Today advises employers to plan well in advance for potential staffing issues. Additional staff may be required if a business will be particularly busy on bank holidays and there may be a rise in requests for annual leave around this time.
Watch for other changes on the horizon all year long
The UK government has previously announced a number of other employment law developments, without setting out a timetable for their introduction.
The following proposals are reportedly being taken forward through Private Members’ Bills, with government backing, making it likely, but not certain, that they will become legislation in 2023:
- changes to the right to request flexible working procedure;
- the introduction of carers’ leave;
- the introduction of neonatal care leave and pay;
- extended redundancy protections during pregnancy and maternity leave;
- the introduction of liability for third-party harassment; and
- new rules to ensure that tips are passed to workers in full.
The UK government has also announced the following developments:
- the introduction of minimum service levels during strikes in key sectors;
- reforms to the requirement to produce modern slavery statements;
- reform of the UK data protection regime;
- amendments to the rules on settlement agreements; and
- new provisions to give workers the right to request a more predictable and stable contractual working pattern.
Source: Personnel Today
(Links via original reporting)
A number of changes to UK employment law look likely to progress in 2023. The timetable for the introduction of these new measures has yet to be established but HR professionals should monitor developments and be ready to meet their new obligations. Personnel Today has summarised some of this year’s upcoming obligations:
March 30/April 4 - publish your gender pay gap report
Organisations have 12 months to publish their gender pay gap figures from the relevant snapshot date (March 31 for the public sector and April 5 for the private and voluntary sectors).
Therefore the next gender pay gap reporting deadline is March 30, 2023, for public-sector employers and April 4, 2023, for private-sector and voluntary-sector employers. Organisations must publish reports on their website and on the gender pay gap reporting portal on the GOV.UK website.
Personnel Today says employers can choose to provide a narrative around any gender pay gap, including providing an explanation for their pay gap and setting out what steps they are taking to reduce the gap.
April 1 - comply with national minimum wage increases
The rates for the national minimum wage will increase on April 1, 2023. The hourly rate of the minimum wage will increase from:
- £9.50 to £10.42 for workers aged 23 and over (the national living wage);
- £9.18 to £10.18 for workers aged 21 or 22;
- £6.83 to £7.49 for workers aged 18 to 20;
- £4.81 to £5.28 for workers aged under 18 who are no longer of compulsory school age; and
- £4.81 to £5.28 for apprentices under 19, or over 19 and in the first year of the apprenticeship.
Personnel Today advises employers to check their pay rates against the forthcoming minimum wage rates and ensure that, where necessary, they increase remuneration for the first pay reference period beginning on or after April 1, 2023.
April 2/6 - increase statutory family-related pay and sick pay
The rate of statutory maternity, adoption, paternity, shared parental and parental bereavement pay will increase to £172.48, from their current rate of £156.66. The increase normally takes effect on the first Sunday in April, this year will be April 2.
The rate for statutory sick pay will also reportedly rise on April 6, 2023. The new rate will be £109.40, up from £99.35.
HR will be responsible for ensuring that staff on maternity, paternity, adoption, shared parental and parental bereavement leave, and staff on sick leave, are paid these statutory minimum rates.
In addition, HR professionals must review their policies and procedures that mention the rates, such as their maternity policies and sickness absence procedures.
April 6 - update your statutory redundancy pay calculations
New limits on employment statutory redundancy pay will come into force on April 6, 2023.
Employers who dismiss employees for redundancy must reportedly pay those with two years’ service an amount based on the employee’s weekly pay, length of service and age.
The weekly pay is subject to a maximum amount (£571 from April 6, 2022). The new amount will be confirmed in the draft Employment Rights (Increase of Limits) Order 2023, this is expected to be published some time in February.
HR professionals should make sure that calculations for statutory redundancy payments are made on the basis of this new maximum amount for redundancy dismissals on or after April 6, 2023.
May 8 - manage bank holiday entitlement for the King’s coronation
An additional bank holiday on May 8, 2023, to celebrate the King’s coronation has been announced.
As a result there will be three bank holidays in May 2023.
Employers must consider how they will approach the additional bank holiday. This will be determined to some extent by the wording in employees’ contracts of employment.
Where the contract entitles employees to take leave on “all bank and public holidays”, for example, the employer will be required to grant the extra day as leave.
Even if the employer is not contractually obliged to grant the extra day as leave, it may choose to do so as a goodwill gesture to employees.
Personnel Today advises employers to plan well in advance for potential staffing issues. Additional staff may be required if a business will be particularly busy on bank holidays and there may be a rise in requests for annual leave around this time.
Watch for other changes on the horizon all year long
The UK government has previously announced a number of other employment law developments, without setting out a timetable for their introduction.
The following proposals are reportedly being taken forward through Private Members’ Bills, with government backing, making it likely, but not certain, that they will become legislation in 2023:
- changes to the right to request flexible working procedure;
- the introduction of carers’ leave;
- the introduction of neonatal care leave and pay;
- extended redundancy protections during pregnancy and maternity leave;
- the introduction of liability for third-party harassment; and
- new rules to ensure that tips are passed to workers in full.
The UK government has also announced the following developments:
- the introduction of minimum service levels during strikes in key sectors;
- reforms to the requirement to produce modern slavery statements;
- reform of the UK data protection regime;
- amendments to the rules on settlement agreements; and
- new provisions to give workers the right to request a more predictable and stable contractual working pattern.
Source: Personnel Today
(Links via original reporting)
