Enterprise and Regulatory Reform Act 2013
New Changes from the 6th April 2014:
This year all Statutory Rates for Redundancy Pay, Compensation for Unfair Dismissal Claims, Statutory Sick Pay, Statutory Maternity Pay, Statutory Guaranteed Pay and all other Statutory Rates will come into force on the 6th April 2014. These rates are not confirmed yet but it is likely that these will increase when confirmed.
Another new financial penalty against any employer who breaches Employment Law Rights will also come into force on the same day.
The Penalty only applies where an employee is successful in his/her claim at the Employment Tribunal. The Tribunal will decide to impose the penalty. It must amount to 50% of the compensation awarded to the employee subject to a minimum of £100 and a maximum of £5,000.
If the employee is successful the Tribunal is unable to impose the financial penalty even if the employer is in breach of Employment Law Rights. Please note it is not automatically imposed. However it is in every employer’s interest to make sure they comply with all the Employment Law Rights for their employees.
Please contact our Ram Saroop to discuss all these new statutory changes.
