A series of employment law changes have come into force, and it is crucial that businesses take a proactive approach to implementation. The three key pieces of legislation to be aware of are:
- Employment Rights (Flexible Working) Act 2023
- Carer’s Leave Act 2023
- Protection from Redundancy (Pregnancy and Family Leave) Act 2023
The changes involve:
- Rolled Up Holiday Pay/Holiday Pay Calculations
- Statutory Paternity Leave
- National Minimum Wage
- Flexible Working Regulations
- Right to Leave for Carers
- Extending Redundancy Protection for Pregnant Women and New Parents
Rolled Up Holiday Pay/Holiday Pay Calculations
Rolled Up Holiday Pay means an employer pays workers an additional sum on top of their hourly rate of pay, so that the additional sum is intended to represent their holiday pay, instead of the worker taking time off work at the time they receive their holiday pay. This will be limited only to workers with irregular hours or who work part of the year.
The calculations:
- Re-introducing the 12.07% of hours worked calculation method for irregular hours and part-year workers
- Changes to the definition of a week’s pay for holiday pay calculations
- Changes to carry over of holiday rules
- Subject to a maximum of 28 days each year
Statutory Paternity Leave
The Paternity Leave Amendment Regulations 2024, which will apply in all cases where the expected week of childbirth falls on or after 6 April 2024, will allow paternity leave to be split into two blocks of one week at any point in the first year after the birth or adoption of their child.
- Currently fathers or partners can only take one continuous block of paternity leave of one or two weeks, and this must be taken within the first eight weeks after birth.
- The notice period required for each period of leave will be shortened to 28 days, or four weeks. Under the current legislation, employees must give notice that they intend to take leave 15 weeks prior to the expected week of childbirth.
- The new rules say that employees MUST declare their eligibility and the legitimate purpose of their leave.
National Minimum Wage
For the first time, the top rate National Living Wage (NLW) will apply to workers aged 21 and over, previously that rate applied to those aged 23 and over.
For the first time, the top rate (NLW) will apply to workers aged 21 and over, previously that rate applied to those aged 23 and over.
Employers must ensure the correct minimum wage payments are made. Not doing so risks claims from staff, paying arrears, significant penalties and reputational damage.
Flexible Working Regulations
Employees will have the right to request flexible working arrangements from day one of employment (under the current law, workers have to have been employed for at least 26 weeks before making a request to work flexibly).
‘Flexible working’ can refer to working patterns or hours, including part time, flexi-time, term time, compressed hours and adjusting start and finish times, as well as location; for example, working from home.
- The Act will require employers to consult with the employee when they make a flexible working request before rejecting it.
- It will also mean the time employers have to respond to a request will be reduced to two months, from the three months they are allowed under current rules.
- Employees will be able to make two requests within a 12-month period, compared to the single request they are currently allowed.
- There will also no longer be any requirement for the employee to explain what effect their request will have on the employer or how the impact might be dealt with.
Right to Leave for Carers
Carer’s leave will be available to eligible employees from the first day of their employment. Staff will be able to take the leave flexibly to suit their caring responsibilities and will not need to provide evidence of how the leave is used or who it will be used for, ensuring, the Government said, a smoother process for both businesses and their employees.
The one week of carer’s leave is to be taken within a 12 month rolling period with employees given the option to take the leave as half or full days, up to and including taking a block of a whole week of leave at once.
Extending Redundancy Protection for Pregnant Women and New Parents
There will be extended protection from redundancy during pregnancy and for 18 months after birth or placement of a child for employees taking maternity, adoption or shared parental leave. These employees will have prioritised rights to be offered suitable, alternative employment vacancies.
The new law extends the priority already granted to those on maternity and adoption leave to now include an extended “protected period” of pregnancy along with 18 months from the first day of the estimated week of childbirth.
This protected period can be amended to be 18 months from the precise date of birth, if the employee gives their employer notification of this date before the end of their maternity leave.
Similar protection will also be given to parents taking adoption leave for a period of 18 months from placement for adoption.
For employees taking shared parental leave, the protected period will be 18 months from birth, subject to the parent having taken a period of at least six consecutive weeks of shared parental leave.
Based in Sunderland Oculus HR are a team of specialists and operations support, providing innovative and flexible HR solutions to SMEs regionally and nationally through their dedicated and holistic approach. Covering all aspects of employment, including employment contracts, policies and procedures, performance reviews, disciplinary and grievance meetings, and building an extensive client list along the way which includes the Foundation of Light, Queensway Orthodontics, Tyne Coast College, Midas Cladding and Glendale Transport.
To find out more about the support packages available for businesses contact the team at Oculus HR: louise@oculus-hr.co.uk
