|
|
|
|
|
Here is a summary of the many legislative changes that occur in April. Further information can be found at the relevant paragraphs listed below. Remuneration National minimum wage – new enforcement regime See EM ¶2904, ¶2906 From 6 April, a new enforcement regime comes into force.
National minimum wage – compensation See EM ¶2911 From 6 April, the tribunal will have the power to order employers to compensate workers for any financial loss sustained as a result of unlawful deduction from wages or non-payment of redundancy awards.
Tax – medical health assessments See EM ¶3155 Annual health screenings and medical check-ups provided to employees by an employer are exempt from income tax and NIC. However, the statutory rule currently requires that the benefit is made available to all of the employer’s employees generally on similar terms. From 6 April 2009, this condition will no longer apply, so that the benefit can be selectively provided to some employees and still be exempt.
Tax – company cars for disabled employees See EM ¶3223 From 6 April, in determining what tax is payable on a company car for a disabled employee, the list price of an equivalent manual car will be used which will have the effect of reducing the tax charge. Time off Annual leave – increase to statutory entitlement See EM ¶4005 A worker whose annual leave year begins on or after 1 April will be entitled to 5.6 weeks' statutory leave.
Annual leave – end of transitional provisions See EM ¶4014 From 1 April, the transitional exception with regard to workers' additional entitlement (¶4005) that employers and workers can agree that the worker's additional entitlement (i.e. those days or part days of leave owed to him in addition to previous entitlement of 4 weeks' leave) may be taken in the form of a payment in lieu will no longer apply. See EM ¶4018 Also from 1 April, the transitional exception with regard to workers' additional entitlement that employers and workers can agree that the worker's additional entitlement (i.e. those days or part days of leave owed to him in addition to previous entitlement of 4 weeks' leave) may be carried over to the next leave year will no longer apply. Sickness, injury and absence Statutory sick pay – increase to rate See EM ¶4165 From 6 April, the fixed weekly rate will be £79.15. Rights of parents and careers Statutory maternity pay, statutory adoption pay and statutory paternity pay – increase to rate See EM ¶4401 From 5 April, the set weekly rate will be £123.06.
Right to request flexible working – extension to parents of older children See EM ¶4690, ¶4694 From 6 April, the right to request flexible working will be extended to parents of children under 17 (or under 18 if disabled). Discipline and grievance Abolition of the statutory dispute resolution procedures See EM ¶6501+ The statutory disciplinary and grievance procedures and provisions relating to them will be abolished on 6 April. In its place employers and employees should follow a short new Code of Practice on discipline and grievance issued by the Advisory, Conciliation and Arbitration Service (Acas). Under this new system if an employee subsequently brings a successful tribunal claim, the tribunal has a discretion to adjust any award upwards or downwards by up to 25% if either the employer or employee has unreasonably failed to comply with the new Code. Transitional provisions will provide for those situations where a disciplinary process or grievance relates to a trigger event arising before the new system comes into force. Consequently, in relation to disciplinary and dismissal procedures, the outgoing system will continue to apply where an employer has: » sent a step 1 letter; » held a disciplinary meeting; or » dismissed the employee on or before 5 April 2009. In relation to grievances, the outgoing system will continue to apply those grievances which: » solely take place before 6 April 2009: or » start before 6 April 2009 and continue after that date with regard to claims presented to the tribunal: - on or before 4 October 2009 in respect of equal pay, redundancy pay and dismissals in connection with official industrial action; and - on or before 4 July 2009 with regard to other claims. See Chapter 19 for full details as to the operation of the new system. Payroll PAYE codes See EM ¶6832 From 6 April, the V tax code, which indicates the married couple's allowance for those aged under 75, will be withdrawn. As all those individuals born before 6 April 1935 and qualifying for married couple's allowance will be at least 75 during 2009/10, they will instead be eligible for the allowance at the rate applying to those aged 75 and over.
Online filing See EM ¶6882 From 6 April, large employers with 50 or more employees will be required to file forms P45 and P46 online as well as forms P35 and P14.
Reporting requirements See EM ¶6898 From 6 April, a replacement of a car provided to an employee (e.g. an upgrade or newer model) is no longer a reportable event requiring the submission of form P46(Car). Trade unions, collective bargaining and industrial action Trade union rights – duty not to unlawfully exclude or expel a member See EM ¶7140 From 6 April, the new rules relating to the duty not to unlawfully exclude or expel a member come into force. Ending employment Unfair dismissal – Polkey reversal provision repealed See EM ¶8443 The Polkey reversal provision will be repealed on 6 April and will no longer apply after this date.
See EM ¶9013 From 6 April, with regard to any tribunal claim for the recovery of redundancy payments, tribunals have the power to order employers to compensate workers for any financial loss sustained as a result of the non-payment of redundancy awards. Handling disputes and alternative resolution Acas conciliation – extending time of involvement See EM ¶9219 From 6 April, Acas's duty to offer free conciliation services with regard to employment tribunal claims will continue throughout the proceedings until the tribunal delivers a judgment.
Acas conciliation – pre-tribunal dispute conciliation See EM ¶9219 Further, from 6 April, Acas officers will have a discretionary power to offer conciliation in a pre-tribunal dispute although they can refuse to do so, even if both parties request it, without having to give a reason.
Recovery of sums payable under Acas-supervised compromises See EM ¶9353 From 1 April, the recovery of sums payable under Acas-supervised compromises (i.e. an Acas-brokered settlement, or compromise, to avoid proceedings or bring proceedings to an end) will become directly enforceable in the county courts, removing the need to register such agreements with the county court before proceeding to apply for enforcement. Tribunal claims Determining cases without hearings See EM ¶9502 From 6 April, to facilitate early resolution of disputes, tribunals can decide cases without any hearing if all the parties have consented in writing.
ET1 Form See EM ¶9511 From 6 April, it will no longer be necessary to state on the form ET1 whether or not: » the claimant is or was an employee of the respondent; » the claim includes a complaint that the respondent has dismissed the claimant or has contemplated doing so; and » the claimant has raised the subject matter of the claim with the respondent in writing at least 28 days prior to presenting the claim to an employment tribunal and, if the claimant has not done so, why not. New Claim and Response forms and guidance will appear on www.employmenttribunals.gov.uk from 6 April 2009.
Entering a defence See EM ¶9521 From 6 April, where a respondent is legally represented, the respondent or his representative must, at the same time as the application is sent to the Employment Tribunal Office, provide all other parties with the following information in writing: » details of the application and the reasons why it is made; » notification that any objection to the application must be sent to the Employment Tribunal Office within 7 days of receiving the application or, if a hearing of any type is due to take place before then, before the date of that hearing; and » that any objection to the application must be copied to both the Employment Tribunal Office and all other parties. Further, the respondent or his representative must confirm in writing to the Employment Tribunal Office that this rule has been complied with. The above time limit of 7 days may be extended where the Employment Judge or tribunal considers it in the interests of justice to do so. Where a respondent is not legally represented, the Secretary shall send a copy of the application to all other parties and inform them of the matters listed above. New Claim and Response forms and guidance will appear on www.employmenttribunals.gov.uk from 6 April 2009.
Default judgments – automatic See EM ¶9526 Automatic default judgments will apply to proceedings which were commenced on or after 6 April where the claimant's claim is effectively uncontested. If the Employment Judge does not have enough information to issue a default judgment, he may require the respondent to provide additional information. He will then decide on whether to make a default judgment based on that information or, if the respondent fails to provide the information requested, will then make a default.
Default judgments – review See EM ¶9726 With regard to default judgments that are issued from 6 April, Employment Judges will be given the power to review default judgments without the need for an application by one of the parties if there has been an administrative error, a party did not receive notice of the proceedings or one or more of the parties was absent when the decision to enter default judgment was made. Further, from 6 April, a review of a default judgment need not be in public if all the parties to the proceedings consent in writing to a review without a hearing.
Employment Judge sitting on his own – stage 1 equal value claims See EM ¶9607 From 6 April, the Employment Judge can hear stage 1 equal value claims on his own.
Withdrawn claims – bar to future claims See EM ¶9631 From 6 April, where a claim is withdrawn and the respondent has applied to have the claim dismissed, the claimant may not commence a further claim based on the same or substantially the same cause of action, unless the decision to dismiss is later reversed on review or appeal.
Acas-conciliated settlement – automatic dismissal See EM ¶9631 Where the parties agree in writing to an Acas-conciliated settlement with regard to a claim on or after 6 April, the tribunal will automatically dismiss the claim within 28 days of receiving written notification of the settlement terms and of the withdrawal.
ET and EAT cost orders See EM ¶9709, ¶9801 From 6 April, the hourly rate used to calculate the amount of preparation time payable has increased to £29.
Enforcement of awards See EM ¶9715 From 1 April, the recovery of tribunal awards will become directly enforceable in the county courts and the High Court, removing the need to register such agreements with the county court or High Court before proceeding to apply for enforcement. |
|
FOCUS ON… LEGISLATIVE CHANGES IN APRIL 2009 |
