Employment Law Changes Come into Effect in April 2016

1 April 2016

  • National Living Wage. The National Minimum Wage (Amendment) Regulations 2016 (SI 2016/68) will come into force on 1 April 2016. The new National Living Wage will apply to workers aged 25 and over at a rate of £7.20 an hour.

6 April 2016

  • Financial penalties for unpaid tribunal awards and settlements. The Small Business, Enterprise and Employment Act 2015 (Commencement No 4) Regulations 2016 (SI 2016/321) will come into force on 6 April 2016. The regulations bring section 150 of the Small Business, Enterprise and Employment Act 2015 into force. Section 150 inserts a new Part 2A into the Employment Tribunal Act 1996 to introduce a new scheme for penalising employers who fail to pay tribunal awards or settlement sums under a COT3. For more information on the scheme.
  • Tribunal postponement provisions of SBEEA. The Employment Tribunals (Constitution and Rules of Procedure) (Amendment) Regulations 2016 (SI 2016/271) will apply to claims issued on or after 6 April 2016. These changes include limiting the number of postponements to two for each party in each case, introducing a deadline for postponements of seven days before the hearing and requiring a costs or preparation order to be considered where a successful application for a postponement is made less than seven days before the hearing. For more information on the changes.
  • Abolition of contracting-out on a salary related basis. On 6 April 2016, the government NICs rebates for contracting out of S2P will be removed and employers and employees will have to contribute in full. For more information.
  • Tribunal compensation limits. The Employment Rights (Increase of Limits) Order 2016 (SI 2016/268) will come into force on 6 April 2016. The maximum compensatory award for unfair dismissal will rise from £78,335 to £78,962. The maximum amount of a week’s pay, used to calculate statutory redundancy payments and various awards including the basic and additional awards for unfair dismissal, also rises from £475 to £479. For more information on key rates and limits.

If you have any questions relating to Employment Law, contact Tim Healy at Slade Legal on 01235 521920 or alternatively email tim.healy@slade-legal.co.uk



About Slade Legal

A solicitors practice based in the heart of the Thames Valley, Slade Legal is an Oxfordshire solicitors practice with law offices in Abingdon, Didcot and Wallingford. We are easily accessible from Oxford. We represent clients across Oxfordshire and the Thames Valley region.
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