Employment law is continually changing. I keep track of the latest employment law changes so you don't have to, and on this page you will find my regular round-up of legislation.
4 January 2021
NWM / NLW rates
Chancellor Rishi Sunak announced in November 2020 that from April 2021, the National Living Wage would rise to £8.91 an hour (an increase of 2.2%) and be extended to 23 and 24 year olds for the first time (previously the NLW applied only to 25 year olds and older). All other NMW rates will increase at the same time in line with Low Pay Commission recommendations.
1 November 2020
Furlough extension and job support scheme postponement
On 24 September, Chancellor Rishi Sunak announced a new scheme to replace the Coronavirus Job Retention Scheme (CJRS) which was due to close 31 October 2020. In view of the lockdown due to start in England on 5 November, the furlough scheme has now been extended into December, mirroring the CJRS support provisions in August. As before, the government will pay 80% of furloughed employees’ wages, either for full or part-time hours, subject to a monthly £2,500 cap.
The Job Support Scheme (JSS), which was due to start on 1 November and run for six months, has now been postponed until the CJRS ends. It is designed to top up the pay of employees brought back into work but working fewer hours due to decreased demand.
30 July 2020
Redundancy pay and furlough scheme
New law will ensure that furloughed employees receive statutory redundancy pay based on their normal wages, rather than a reduced furlough rate
Changes will mean those furloughed under the Coronavirus Job Retention Scheme are not underpaid if they are made redundant.
This will also apply to statutory notice pay and other entitlements, providing some reassurance during this difficult time.