Employment and Immigration Law Legal Updates 14/4/2009

Welcome to the latest edition of steeles Employment Enews

Changes in Employment Law April 2009

April 2009 has already been a busy month in terms of changes in employment law. We remind you of some of the new legislation taking effect this month.

1. Abolition of the Statutory Dispute Resolution Procedures

The statutory dismissal/disciplinary and grievance procedures were repealed on 6 April 2009 and will no longer apply, subject to transitional provisions relating to disciplinary matters or grievances already in progress.

2. Revised ACAS Discipline and Grievance Code of Practice Now in Force

The revised ACAS Code of Practice on disciplinary and grievance procedures came into force on 6 April 2009. Tribunals can increase or decrease an award by up to 25% for breach of the new code. For more information click here or download our factsheet here.

3. Minimum Statutory Holiday Entitlement Increased

The minimum statutory holiday entitlement under the Working Time Regulations 1998 increased from 24 days (4.8 weeks) to 28 days (5.6 weeks) for full time employees on 1 April 2009. This minimum can include bank holidays.

4. Statutory Payments Increased

The standard rate for statutory maternity, paternity and adoption pay increased from £117.18 to £123.06 per week on 5 April 2009. Statutory sick pay increased from £75.40 to £79.15 per week on 6 April 2009.

5. Increased Penalties for Failure to Pay National Minimum Wage

On 6 April 2009 increased powers for the enforcement of the national minimum wage (NMW) were introduced. This includes a new method to calculate arrears of pay taking account of any increase in the rate of the NMW, and the imposition of a financial penalty at the same time as issuing a notice of underpayment (up to £5,000). Enforcement officers will also have additional powers to investigate alleged breaches of the NMW and offences under the Act are now triable in the Crown Court as well as magistrates' courts, with potentially unlimited fines.

6. Flexible Working Regulations 2009 Come into Force

The right to request flexible working arrangements was extended to parents of children up to the age of 16 on 6 April 2009. For more information, see our article here.

7. Changes to Employment Tribunal Rules of Procedure

A number of changes have been made to the employment tribunal Rules of Procedure from 6 April 2009. A judge will no longer have any discretion and must issue a default judgment if a respondent fails to present its response within the relevant time limit, unless the judge has insufficient information in order to do so. This makes it even more important for respondent employers to ensure they present their response to a claim on time. There are also changes to the rules relating to a request to an extension of time, and new rules relating to the withdrawal of proceedings.

8. Employers who Default on Tribunal Awards to be Named

Employers who fail to pay employment tribunal awards of compensation to claimants will, from 1 April 2009, be added to the Register of Judgments, Orders and Fines once enforcement proceedings are brought against them. This is intended to provide an incentive to employers to pay compensation in good time, as the Register can be searched by members of the public (including the press) and credit reference agencies, and might make it more difficult for an employer to obtain credit.

If you require advice on the issues raised in this article or on employment law in general please contact our London office on lonemp@steeleslaw.co.uk or 0207 421 1720 or Norwich office on noremp@steeleslaw.co.uk or 01603 598000.

This article copyright © 2009 Steeles Law llp. All rights reserved.