As we look ahead to later part of 2024 and the beginning of 2025, there are some potential changes to employment law that all businesses should be aware of, particularly with the Labour Party poised to make adjustments. From this autumn through to April 2025, there are several ‘quick wins’ they may focus on, addressing key areas of employment regulation. Let’s take a closer look at what changes could take place, and what they would mean for employers and employees alike.
National Living Wage
The Labour Government has announced plans to introduce a real living wage that is more in alignment with the cost of living. They also plan to get rid of the age-based wage levels for adult workers, which they believe are unfair. Since these changes do not need any new laws to be made, they could happen quickly, with the new cost-of-living-based minimum wage possibly starting in April 2025.
Statutory Sick Pay
As another change to ‘day one rights’, the new government has proposed to increase the rights of workers to Statutory Sick Pay. To do this, it would involve removing lower earning limits, as well as the current three-day waiting period that must pass before sick pay is payable. Just like the changes to the National Living Wage, this may be implemented quickly by April 2025.
The Tips Act
In October 2024, the Tips Act will come into effect. This means that employers need to make sure that any tips, service charges, and other gratuities are shared fairly between employees and that it is done so with transparency. The Act is designed to bring more trust between workers and employers, especially in sectors where tips make up a big part of workers’ income, such as hospitality. This change could also improve job satisfaction and employee retention in industries where tipping is common.
Predictable Terms Act
The Predictable Terms Act gives workers the right to ask for a more stable work schedule if their current one is unpredictable. However, this doesn’t guarantee they will get it. Although the Act is already approved, it still needs additional rules for it to become law. The act is set to start in September 2024, and Labour could use it to help zero-hours workers, but so far, Labour has not said much about their plans for this.
Is your Business Ready for the Changes?
With many of these changes to employment law imminent, now is the time to make sure your business is prepared. To ensure that you are compliant with the new rules, it is essential to review you policies and make changes where necessary.
At Ashton People Solutions, we are your friendly experts for all your HR needs. If you are unsure as to what the new legislation might mean for your business, we can provide you with professional HR consultancy to get your business ahead of the game. From helpful advice to HR documentation, we have the expertise you need to make sure your business stays compliant.
No matter what the size of your business, our team is ready for your call. Contact us today.
Please contact us on 01352 878535 or info@ashtonpeoplesolutions.co.uk
