Taylor Review - The Good Work Plan

 

Change is inevitable - but how does the Taylor Report effect you?

Employment law is ever changing and there is no exception this year with many updates and even new legislations being introduced in the upcoming year with the majority coming into force from April 2020. It is therefore important that you understand what this may mean for your business and the impacts this could potentially have. Here we take a look at some key employment law changes to take place in 2020:

What is changing in April? 

“The Taylor Review” or the “Good Work Plan”

The aim is to update regulation to support the challenges of the modern business environment, and the rise of the “gig economy”, short-term assignments and zero-hours contracts.

Changes to Contracts

The law surrounding contracts will take effect from 6th April 2020 where contracts will become a day one right for all workers, including casual and temporary workers, as opposed to the 2 months window we currently have. Workers who are not employees (casual workers) have the right to a day one “worker” contract.

Paid Parental Bereavement Leave

This comes into force on 6th April. This gives a right to up to two weeks' leave, paid at a statutory rate, following the death of a child aged under 18.

Holiday Pay Reference Period Extension

The holiday pay reference period, which is used to calculate the average pay of those who work irregular hours, will be extended from 12 to 52 weeks on April 6, 2020.

National Minimum Wage

Wage will increase in April by over 6%, reaching the governments' target of 60% of average earnings.

Changes to Statutory Rates

The minimum rates on offer for statutory entitlements such as maternity pay, paternity pay and sick pay are also uprated by inflation (1.7%) in April 2020.

What else is on the way?

The right to request a more stable contract

Zero-hours workers will gain a new right to request fixed or guaranteed working hours under changes proposed in a new Employment Bill.

January 2021 - Points-based immigration system

Freedom of movement of EU citizens ends on 31st December 2020. In its place, the government has announced a points-based immigration system. Importantly, there will be new skills and pay thresholds.

What action do you need to take?

  • You need to review your contracts to ensure they are in line with the legislation
  • If you take on casual workers, you need to provide a “worker” contract
  • Let staff know about the new Parental Bereavement Leave
  • Update your recruitment and retention strategies and processes to avoid skills and labour shortages

 

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