National living wage increases
In March 2020, the government committed to the national living wage reaching two-thirds of median earnings and be extended to workers aged 23 and over by April 2021, and to those aged 21 and over by 2024. In the Chancellor’s November 2020 Spending Review, he confirmed that there will be increases to the national living wage and the national minimum wage in April 2021. The Low Pay Commission had been monitoring whether an “emergency brake” on planned increases would be needed due to economic uncertainty created by COVID-19. However, the following increases will be effective from April 2021:
• national living wage will apply to individuals aged 23 and over and will rise from £8.72 to £8.91;
• national minimum wage changes include: age 21 to 22 rate increases from £8.20 to £8.36/ age 18 to 20 rate increases from £6.45 to £6.56/ age 16 to 17 rate increases from £4.55 to £4.62/ apprentice rate increases from £4.15 to £4.30.
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April 2021 |
Equality and diversity
In December 2020, Liz Truss, Minister for Women & Equalities set out a new equality strategy with a move towards a focus on social mobility. The impact of this initial strategy statement will become clearer as the government further develops its position and businesses and interest groups consider and make public their response.
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2021 |
Employment Bill
In the Queen's speech in December 2019 the government announced its intention to bring forward an Employment Bill containing the following provisions:
• creating a new, single enforcement body, offering greater protections for workers (following the 2019 Good Work Plan consultation on a single enforcement body which encompasses tribunal/ court practice and procedure; NMW, sick pay; health & safety, although the government is yet to formally respond);
• ensuring that tips left for workers go to them in full;
• introducing a new right for all workers to request a more predictable contract. This follows the 2019 Good Work Plan consultation on one-sided flexibility in the gig economy which encompassed reasonable notice of work schedules and compensation for cancelled shifts, although the government is yet to formally respond;
• extending redundancy protections to prevent pregnancy and maternity discrimination so that women have a preferential right to any suitable available vacancy while pregnant or on maternity leave and for six months on their return. There will be new adoption leave and shared parental leave redundancy protections too. This follows the government's response to the 2019 Good Work Plan consultation on pregnancy and maternity discrimination;
• allowing parents 12 weeks neonatal pay and leave. This follows the government's partial response to the 2019 Good Work Plan consultation on proposals to support families;
• introducing an entitlement to one weeks leave for unpaid carers, although the March 2020 budget announced that there would be a consultation on carers’ leave which is awaited;
• subject to consultation, the Bill will make flexible working the default unless employers have good reason not to.
There are also general references to the following objectives although no detail is provided:
• protecting and enhancing workers’ rights as the UK leaves the EU; and
• building on existing employment law with measures that protect those in low-paid work and the gig economy.
Read more:
Good Work Plan: establishing a new single enforcement body for employment rights
Good Work Plan: consultation on measures to address one-sided flexibility
Government response - Good Work Plan: pregnancy and maternity discrimination consultation
Government response - Good Work Plan: proposals to support families (neonatal leave and pay) |
2021 |
Good Work Plan: proposals to support families
The government has partially responded to 2019 three chapter consultation on:
• reforming parental leave to achieve greater balance (no formal response),
• entitlements for parents of babies requiring neo-natal care (response given), and
• transparency relating to flexible working hours and family-related pay & leave (no formal response).
Aspects of these will be introduced in the Employment Bill (see above). |
2021
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'Health is everyone’s business'
A 2019 government consultation aimed at making it easier for disabled people to stay in work and find work; and consulted on proposals to reduce ill health-related job loss. New statutory guidance is likely, and SSP may change to make phased returns easier. There has been no government response. |
2021
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References
The government has committed to consulting on a new legal obligation for employers to provide basic references for all employees to avoid the threat of no reference being used to force a settlement. |
2021 |
Non-compete clause consultation
The government has launched a consultation on whether non-compete clauses should be unenforceable or enforceable only when compensation is provided during the term of the clause. Consultation closes on 26 February 2021. |
2021 |
Human rights reviews
The government has launched a review which will consider how the Human Rights Act 1998 is working in practice and whether any change is needed.
The Parliamentary Joint Committee on Human Rights has also launched an inquiry into freedom of expression. It is wide ranging but will consider what “obligations does an employee have to their employer when expressing views on social media, and to what extent can, and should, employers respond to what their employees say on these platforms?”
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2021 |
Disability employment gap
The Parliamentary Work and Pensions Committee launched an inquiry into the disability employment gap. Disability pay gap reporting may attract greater attention but there is no current policy proposal.
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2021 |
Ethnicity pay gap reporting
The government consulted on ethnicity pay gap reporting in 2019 and a response is awaited. A petition calling for such reporting reached 100,000 signatures in June 2020 and is now eligible for a Parliamentary debate. This is not the same issue as reporting on Gender Pay Gaps. It throws up particular problems, for example, what is monitored in terms of categorisation of ethnicity. |
2021 |
Sexual harassment in the workplace
The government's 2019 consultation asked:
• whether there should be a specific duty for employers to prevent harassment, and what more could be done to ensure that employers do take all reasonable steps to prevent harassment, including consideration of whether transparency on figures is desirable;
• whether the current regime provides protection from harassment by third parties; and whether more is required in terms of protecting interns and volunteers.
• whether the three-month time limit for bringing harassment claims before an ET should be extended.
Although a response is awaited, in January 2020 the government took forward its pledge to commission a survey to gather data on the prevalence of sexual harassment.
Read more:
Government news: sexual harassment victims to "have their say" on laws designed to protect them
Gender equality at every stage: roadmap for change
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2021 |
Consultation on confidentiality clauses (NDAs)
The government's 2019 consultation asked a range of questions in relation to the use of employee confidentiality clauses. The consultation sought responses on any NDA clause in an employment context, regardless of whether it is in a settlement agreement, contract of employment or elsewhere. It covered a variety of matters including:
• whether disclosures to the police and other, as yet unspecified, organisations should always be permitted;
• how to ensure clarity for workers as to the limits of confidentiality clauses;
• appropriate enforcement of any limits set.
The government's 2019 response confirms that NDAs are not to be used to prevent disclosures to policy, healthcare and legal professionals. Transparency on the extent/ effectiveness of such clauses will also be required. Draft legislation is awaited.
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2021 |
Domestic abuse and workplace support
In 2020 the government issued a call for evidence on how employers can support survivors of domestic abuse at work. Questions included what practical circumstances arise in relation to domestic abuse/ work and what workplace support can be offered? A response is awaited.
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2021 |
Social value and awarding government contracts
The government consulted in 2019 on a proposed model to take account of social value in the award of central government contracts. From an employment perspective, the policy outcomes that may be considered, and which will determine award criteria, include measuring diversity in supply chains; improving employability and skills; and encouraging improved: gender pay balance, representation of disabled/ ethnic minority employees, and staff mental health/ wellbeing. The government responded in September 2020 and will proceed with the new social value model making training and support available. |
2021 |
Good Work Plan
The government committed to take "forward virtually all the recommendations" in the 2017 Taylor Review on modern employment practices in its 2018 Good Work Plan. Many of the proposals have been implemented or have been signaled for inclusion in the Employment Bill (see above). Outstanding proposals include:
• extending the time required to break a period of continuous service - from one week to four weeks; and
• aligning the employment status frameworks for the purposes of employment rights and tax. |
2022 |
Overhaul of whistleblowing legislation
An All Party Parliamentary Group (APPG) on whistleblowing set out 10 recommendations for change, including focusing the legal definition of whistleblowing on the harm, or risk of harm, to the public. The APPG said a mandatory internal and external reporting mechanism should be implemented, and recommended the establishment of an Independent Office for the Whistleblower as a regulatory body. |
TBC |
Dismissal and re-employment
This private member's bill seeks to prohibit employers from dismissing and re-engaging employees "for the purpose of diminishing the terms and conditions of employment". Although it is scheduled for a second reading on 29 January 2021, private member's bills often do not make it through Parliament. During PMQs on 16 December, the Prime Minister refused to support proposals for such legislation. |
TBC |