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Employment Law Rate Changes from April 2019

Increase in compensatory award limit from 6 April 2019

The maximum compensatory award set by the Government for loss of earnings in an unfair dismissal claim increases from the 6 April 2019 to £86,444, or one year’s gross pay, whichever is the lower. This is up from £83,682.

There is no limit on certain dismissals, such as for whistleblowing, raising certain health and safety issues, TUPE, or dismissals relating trade union, pension and employee representatives.

Increase in maximum weekly wage used for calculating statutory redundancy payments from 6 April 2019

The maximum weekly gross pay used for calculating a statutory redundancy payment increases to £525 from the 6 April 2019. This means an increase of £36 per week over the last two years.

This is also the figure used to calculate a basic award at an employment tribunal.

Increases for Statutory Maternity, Paternity, Adoption and Shared Parental Leave from 7 April 2019

The rates for these family related leave will increase on the 7 April 2019 to £148.68.

To be eligible, employees must earn more than the Lower Earnings Limit, which increases to £118 per week.

Increases to Statutory Sick Pay from 6 April 2019

The SSP rate set by the government each year will increase on the 6 April 2019 to £94.25.

The Lower Earnings Limit, being the minimum earnings each week to qualify for SSP will increase to £118.

Increases to national minimum wage and national living wage from 1 April 2019

The minimum rates set by the government each year will increase on the 1 April 2019:

National Minimum Wage (hourly)

● Adult rate (aged 21 to 24) - £7.70

● 18-20 years old - £6.15

● 16-17 years old - £4.35

● apprentice - £3.90

● accommodation off-set - £7.55

National Living Wage (hourly for aged 25+) - £8.21

Please contact us for our updated Rates Chart.

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