Keeping up with employment law and HR best practice is a challenge for every business. We want to help you stay compliant by making you aware of changes coming into effect from 6 April 2020. Not least as a breach of these new rules could cost you a fine of up to £20,000.
What is changing?
These and other reforms – prompted by the far-reaching Taylor Review of Modern Working Practices – represent the largest upgrade in workers’ rights in over a generation.
IR35 – determining the status of off-payroll workers
The controversial IR35 tax rules will apply to any business that uses ‘off-payroll’ freelancers and contractors. This will lead to some contractors being classed as employees, meaning Tax and NI must be deducted from payments. Learn more about IR35 and the private sector.
Increased protections for agency workers
Every agency worker will have the right to comparable pay after the 12th week of employment. Employers must also provide a Key Facts page with information about an employee’s contract, pay rates and arrangements, on their first day.
The right to a written statement of particulars (contract)
Workers and employees must be given a written statement of terms (including additional mandatory information) on their first day. Current employment contracts should be reviewed to check they meet the new requirements.
Increases in the period over which holiday pay is calculated
The holiday pay reference period will increase from 12 weeks to 52 weeks to make calculating holiday pay fairer for staff who work variable/irregular hours.
National Living Wage rise
Even if you don’t pay staff the National Living Wage, the recent increase will affect your business. Learn more about the potential impact of the rise and what you can do.
Give your HR activities a compliance check-up today
If you’re not sure whether your existing HR practices will meet the new rules, or what action to take, RfM HR Services can help. Their signature HR HEALTH CHECK and HR FACT FIND services are designed to give a clear assessment of compliance with defined next steps.
HR HEALTH CHECK
A comprehensive review of current policies and procedures (1-day in-house).
- Recommendations for updating/renewing policies and procedures to ensure compliance and meet best practice standards.
- Reassurance that your business is/can be fully compliant and a clear understanding of how to get from good to great.
HR FACT FIND
An in-depth assessment designed to uncover insights that will lead to improved people effectiveness (timescales based on business need).
- Typically, findings include suggestions for improving communication, teamwork, and business focus for all employees, as well as reducing costs and labour turnover.
- A ‘People Plan’ outlining areas to focus on in the short, medium and longer-term over the next 12-18 months.
Advice from an HR expert – when you need it
RfM HR Services offers a broad range of retained HR packages and specialist consulting services. To find out more and discuss the HR needs of your business, contact the Partner at your usual RfM office or email Diane Johnson.