As part of our popular “quick guides” series, our team of employment law experts has produced an easy to use guide to key payments by employers. For more comprehensive advice on payments which should be made as well as when employees qualify for them, please contact a member of our team using the details below.
STATUTORY WEEKLY PAYMENTS DURING ABSENCES FROM WORK |
April 16 |
| Maternity/adoption pay prescribed rate (max) |
£139.58 |
| Paternity pay (max) |
£139.58 |
| Shared parental pay (max) |
£139.58 |
| Sick pay |
£88.45 |
| Lower earnings limit (a) |
£112.00 |
NATIONAL MINIMUM WAGE RATES (HOURLY) |
April 16 |
October 16 |
| Apprentices (b) |
£3.30 |
£3.40 |
| Age 16-17 |
£3.87 |
£4.00 |
| Age 18-20 |
£5.30 |
£5.55 |
| Age 21-24 |
£6.70 |
£6.95 |
| National Living Wage (Age 25+) |
£7.20 |
£7.20 |
KEY COMPENSATION LIMITS |
April 16 |
| Week’s pay |
£479 |
| Statutory redundancy payment: up to 30 weeks’ pay |
£14,370 |
| Unfair dismissal basic award: up to 30 weeks’ pay |
£14,370 |
| Unfair dismissal compensatory award (c) |
£78,962 |
| Breach of right to be accompanied: up to 2 weeks’ pay |
£958 |
| Breach of flexible working regulations: up to 8 weeks’ pay |
£3,832 |
| Failure to give written particulars of employment: 2 or 4 weeks’ pay (d) |
£958 or £1,916 |
| Breach of contract claim in employment tribunal |
£25,000 |
| Failure to inform or consult: collective redundancy (e) |
90 days’ pay |
| Failure to inform or consult: TUPE transfer (e) |
13 weeks’ pay |
…….
Key:
(a). To qualify for these payments, in addition to other criteria such as length of service, the employee must earn the same or more than the weekly lower earnings limit (“LEL”), which is set by the government. The LEL from April 2016 is £112.00 before tax.
(b). Only applicable to those under 19 or in the first year of their apprenticeship. For all other apprentices, refer to age bands.
(c). Maximum compensatory award is lower of statutory limit or 52 weeks’ actual gross pay at the time of dismissal. Limit does not apply where reason for dismissal or redundancy selection is carrying out health and safety activities or making a protected disclosure.
(d). Please see our guide to essential contracts.
(e). Calculated by reference to employee’s actual gross pay – the limit on a week’s pay does not apply.
Contact Details
For more details about amending handbooks or contracts of employment or consulting with your workforce please contact:
+44 (0) 808 172 93 22
This update is for general guidance only and does not constitute definitive advice.
As part of our popular “quick guides” series, our team of employment law experts has produced an easy to use guide to key payments by employers. For more comprehensive advice on payments which should be made as well as when employees qualify for them, please contact a member of our team using the details below.
STATUTORY WEEKLY PAYMENTS DURING ABSENCES FROM WORK |
April 16 |
| Maternity/adoption pay prescribed rate (max) |
£139.58 |
| Paternity pay (max) |
£139.58 |
| Shared parental pay (max) |
£139.58 |
| Sick pay |
£88.45 |
| Lower earnings limit (a) |
£112.00 |
NATIONAL MINIMUM WAGE RATES (HOURLY) |
April 16 |
October 16 |
| Apprentices (b) |
£3.30 |
£3.40 |
| Age 16-17 |
£3.87 |
£4.00 |
| Age 18-20 |
£5.30 |
£5.55 |
| Age 21-24 |
£6.70 |
£6.95 |
| National Living Wage (Age 25+) |
£7.20 |
£7.20 |
KEY COMPENSATION LIMITS |
April 16 |
| Week’s pay |
£479 |
| Statutory redundancy payment: up to 30 weeks’ pay |
£14,370 |
| Unfair dismissal basic award: up to 30 weeks’ pay |
£14,370 |
| Unfair dismissal compensatory award (c) |
£78,962 |
| Breach of right to be accompanied: up to 2 weeks’ pay |
£958 |
| Breach of flexible working regulations: up to 8 weeks’ pay |
£3,832 |
| Failure to give written particulars of employment: 2 or 4 weeks’ pay (d) |
£958 or £1,916 |
| Breach of contract claim in employment tribunal |
£25,000 |
| Failure to inform or consult: collective redundancy (e) |
90 days’ pay |
| Failure to inform or consult: TUPE transfer (e) |
13 weeks’ pay |
…….
Key:
(a). To qualify for these payments, in addition to other criteria such as length of service, the employee must earn the same or more than the weekly lower earnings limit (“LEL”), which is set by the government. The LEL from April 2016 is £112.00 before tax.
(b). Only applicable to those under 19 or in the first year of their apprenticeship. For all other apprentices, refer to age bands.
(c). Maximum compensatory award is lower of statutory limit or 52 weeks’ actual gross pay at the time of dismissal. Limit does not apply where reason for dismissal or redundancy selection is carrying out health and safety activities or making a protected disclosure.
(d). Please see our guide to essential contracts.
(e). Calculated by reference to employee’s actual gross pay – the limit on a week’s pay does not apply.
Contact Details
For more details about amending handbooks or contracts of employment or consulting with your workforce please contact:
+44 (0) 808 172 93 22
This update is for general guidance only and does not constitute definitive advice.