suggested that after that point, workers may need to pay social security contributions both in the country they are working in as well as continuing to pay NI contributions in the UK.
The latest publication confirms that for those working in Switzerland, workers will continue to pay UK NI with no requirement to pay social security contributions in Switzerland until 31 December 2020. A transitional agreement was signed with Switzerland to ensure protection of how social security payments are currently treated. The latest update does not, however, refer to UK employees who are working in the EU or EEA so the advice previously provided for individuals in that situation still stands. It states that if the date on an A1/E101 form surpasses the date that the UK leaves the EU, employers will need to contact the relevant EU / EEA authority to confirm whether or not their employee needs to start paying social security contributions in that country from that date. The European Commission’s website will help to find the relevant country’s authority. The UK government has already confirmed that it is working to protect the current social security rules in the event of a ‘no deal’ Brexit but there hasn’t been any further information relating to what will happen in relation to UK employees working in the EU or EEA.
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Brexit bill will allow Briti sh judges to depart from previous rulings of EU’s top court 20 December 2019
A Downing street official has confirmed that the government’s Brexit bill will enable courts below the Supreme Court to depart from previous rulings of the European Court of Justice (ECJ).
The plans are laid out in the Withdrawal Agreement Bill (WAB), which MPs will vote on this Friday after the Conservatives were re-elected last week. The BBC reports how the PM’s spokesman stated that this would mean that judges at lower courts would not be “inadvertently” tied to the rulings “for years to come”. To date, only the Supreme Court and the High Court of Justiciary in Scotland were able to depart from the rulings of the ECJ, and the spokesman went on to say that extending the ability to do this to lower courts was an “important change” to ensure that they do not face a “legal bottleneck”. He also commented:
"We will take back control of our laws and disentangle ourselves from the EU's legal order just as was promised to the British people."
Critics have commented that the proposals could cause significant confusion, with crossbench peer Lord Pannick QC stating it would "cause very considerable legal uncertainty.” There are concerns that the new legislation will mean substantial additional work for lawyers but more importantly, that it could have potentially detrimental effects on many workers. Clive Coleman, legal affairs correspondent at the BBC, provides an example of how this might apply and how it could affect payroll professionals, and it relates to holiday pay. The ECJ includes overtime in holiday pay and UK courts are currently bound to this. The pledge could mean that UK courts no longer must comply with this ruling, which could have significant impacts on employees and employers alike across the UK. After the 11 month transition period that is to be observed after Brexit, an employer could present a case at one of the lower civil courts in the UK and a judge could consider applying a less generous interpretation of the right to paid holidays - one that does not take overtime into consideration.
Former Conservative leader and pro-Brexit European Research Group figure, Iain Duncan Smith applauded the proposal and said:
"This is a critical pledge that puts sovereign rights back in the hands of the UK government and of course the British people."
Boris Johnson is hoping to get a Brexit deal passed through Parliament in the new year, and the intention is for the UK to leave the EU by 31 January 2020. If successful, the UK would adhere to EU rules for an 11-month transition period,
The Chartered Institute of Payroll Professionals
Payroll: need to know
cipp.org.uk
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