Any business employing staff should be aware of the imminent changes to statutory rates and compensation limits. To help your business stay on top of these changes and ensure legal compliance, we set out below some of the key dates to be aware of.
It comes as no surprise that statutory rates have seen a significant increase this year to reflect the high rate of inflation.
30 March 2023
Public sector organisations with 250+ employees must submit by today their Gender Pay Gap Reports on the Government Gender Pay Gap reporting service website.
1 April 2023
National Minimum Wage Rate increases to:
- Young Workers rate (16-17 years): £5.28 an hour
- Development rate (18-20 years): £7.49 an hour
- Workers rate (aged 21-22): £10.18 an hour
- National Living Wage (aged 23+): £10.42 an hour
2 April 2023
Statutory maternity, paternity, adoption, shared parental, and sick pay increases to:
- Maternity, paternity, adoption and shared parental pay: £172.48 a week
- Sick Pay: £109.40 a week
4 April 2023
Private and voluntary sector organisations with 250+ employees must submit by today their Gender Pay Gap Reports on the Government Gender Pay Gap reporting service website.
6 April 2023
- Maximum week’s pay for calculating redundancy and unfair dismissal basic award: £571
- Maximum basic award for unfair dismissal and statutory redundancy payment: £17,13 (30 weeks’ pay subject to the limit on a week’s pay)
- Maximum compensatory award for unfair dismissal: £93,878
- Failure to allow right to e accompanied correctly: £1,142 (two weeks’ pay capped at the statutory amount)
- Failure to provide written statement of particulars: £1,142 or £2,284 (two or four weeks’ pay capped at the statutory amount)
Vento Bands:
The Presidents of the Employment Tribunals have published the revised bands of compensation for injury to feelings in discrimination cases. For claims presented on or after 6 April 2023, the new bands are as follows:
- Lower band £1,100 – £11,200 (less serious cases)
- Middle band £11,200 – £33,700 (for cases that do not merit an award in the upper band)
- Upper band £33,700 – £56,200 (for the most serious cases)
- Exceptional cases may be awarded in excess of £56,200
Next steps:
If you have not already done so, ensure that your process and procedures reflect the above changes and that any internal documents such as Staff Handbooks are also reflective of this.
Ensure that when analysing costs to the business for potential redundancies or tribunal claims from 6 April onwards you apply the new rates set out above.
How can Warners help?
We can assist you with a legal compliance review of your contracts, policies and procedures. If you would like further details or an initial free of charge discussion (of up to half an hour) please contact Louise Brenlund, Partner, Employment Team by email [email protected] or on 01732 375325.
This article is for general information only and does not constitute legal or professional advice. Please note that the law may have changed since this article was published