Following the release of the Employment Rights Bill, its Impact Assessment was published last week showing that the new Bill will have a “positive direct impact on economic growth.”
The Bill received a majority vote at its second reading in the House of Commons last week, and now goes to committee stage, where it will be given a detailed examination.
The government has now launched consultations on 4 areas of the proposed legislation, which will become part of amendments that will be made to the Bill in the early part of 2025.
The consultations are as follows:
1. Strengthening Statutory Sick Pay (SSP)
The Bill will remove the waiting period for SSP as well as the Lower Earnings Limit, so that all employees, regardless of how much they earn, will have SSP available from day one of their employment.
The consultation is considering what the percentage replacement rate should be for those who earn below the current rate.
The consultation, which will close on 4 December 2024, can be found here.
2. Application of zero hours contracts measures to agency workers
This consultation is looking for views on how the zero hours contracts measures in the Employment Rights Bill can best be applied to agency workers without causing unintended consequences. It will close on 2 December 2024.
The consultation can be viewed here.
3. Creating a modern framework for industrial relations
The government is consulting on various specific measures to modernise the legislative framework that underpins trade unions. This consultation will also close on 2 December 2024 and can be viewed here.
4. Collective redundancy and fire and rehire
This fourth consultation is looking for views on measures to strengthen the collective redundancy framework and protections for employees against fire and rehire practices. The consultation closes on 2 December 2024 and can be viewed here.
See: https://www.gov.uk/government/news/up-to-600-cash-boost-for-britains-lowest-paid-to-help-kickstart-the-economy
The tax rules on Benefits in Kind (BIKs) are changing. From 6 April 2027, Phase 1 of HMRC’s ‘Mandatory payrolling of Benefits in Kind and expenses’ comes into force. Phase 1 will apply only company cars, car fuel, vans, van fuel and medical benefits.
Energy regulator Ofgem has announced a 4% increase in the energy price cap for the period covering 1 October to 31 December 2026. This increase reflects higher wholesale gas prices due to the ongoing conflict in the Middle East, with volatile global gas markets remaining the dominant driver of price changes.