The Chartered Institute of Payroll Professionals ……………………………………………………………Policy News Journal
Statutory Payments
Weekly rate of statutory redundancy pay 8 April 2016
The weekly rate of statutory redundancy pay increased to £479 on 6 April 2016. Please be aware that GOV.UK guidance is still showing the 2015-16 rate of £475 and we have asked that this information be updated as soon as possible.
The Employment Rights (Increase of Limits) Order 2016 increases from 6 April 2016 the weekly rate of statutory redundancy pay to £479 and the maximum compensatory award to £78,962.
See our news item from 9 March 2016 for full details.
Northern Ireland is governed by different legislation. The Employment Rights (Increase of Limits) Order (Northern Ireland) 2016 revises the limits on awards and payments under certain employment rights legislation and came into effect on 14 February 2016.
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Statutory Sick Pay recovery period under the Percentage Threshold Scheme ends 14 April 2016
The Percentage Threshold Scheme, which allowed employers some employers to recover and element of Statutory Sick Pay (SSP) they’d paid to their employees came to an end on 5 April 2014.
However, employers had until 5 April 2016 to recover any SSP paid in respect of periods up to 5 April 2014. This date has now passed and employers should no longer seek to make any claims for recovery of SSP.
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The Continuity of Employment Test 8 August 2016
The Statutory Paternity Pay, Statutory Adoption Pay and Statutory Shared Parental Pay (Amendment) Regulations 2015 , which came into force on 1 February 2016, alter the general regulations concerning the continuity of employment test that is a condition of entitlement to these statutory payments. Previously, if the employee’s employment start date falls in the 26th week before the end of the Qualifying Week (in birth cases) or Matching Week (in adoption cases), so that the employee has a total of 25 complete weeks of continuous service, the employee would not be entitled to the statutory payment. This differed from the Statutory Maternity Pay legislation. The regulatory change means that, in this particular situation only, the first partial week is now rounded up, as it is in the maternity rules, so that the employee has exactly 26 weeks’ service and passes the Continuity of Employment Test.
This regulatory change extends and applies to England, Scotland and Wales.
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The Chartered Institute of Payroll Professionals
Policy News Journal
cipp.org.uk
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