The jobless rate has now reached 4.9%, which is an increase from the 4.8% recorded in September. The number of UK workers on payrolls has fallen by 819,000 between February and November 2020, which has been largely due to the effect of the outbreak of coronavirus.
Additionally, the ONS estimates that approximately 4.5 million workers are currently on furlough.
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The Employment Rights (Increase of Limits) Order 2021 published 2 March 2021
The Employment Rights (Increase of Limits) Order 2021 has been laid before parliament, and the maximum statutory weekly redundancy pay figure will increase from £538 to £544 from 6 April 2021.
This is applicable in England, Wales and Scotland. There has been no update for Northern Ireland at the time of publication, but the maximum rate operative in tax year 2020-21 was £560 per week. As soon as there are any further updates, the CIPP will advise members via News Online. The employment protection daily rate figure will remain at £30, the same as the previous tax year in England, Wales and Scotland. No figure for tax year 2021-22 has been specified for Northern Ireland, but the figure for tax year 2020- 21 was £30. Again, once further information is made available, members will be notified accordingly. Employees are ordinarily entitled to statutory redundancy pay in situations where they have been working for an employer for two years or more. The amount of pay that a person is entitled to receive is partially based on their age, as follows:
• Half a week’s pay for each full year that an employee was under 22 years old • One week’s pay for each full year that an employee was 22 or older, but under 41 years old • One and a half week’s pay for each full year that an employee was 41 or older
Length of service is capped at 20 years, and the maximum statutory compensatory award a person in England, Wales and Scotland can receive is increasing from £88,519 to £89,938 from 6 April 2021.
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Tax Agents and Advisers
HMRC publishes Agent Update 77 17 April 2020
The latest Agent Update issue has been published by HMRC and includes articles that discuss the delay to the off- payroll working rules, updated guidance on disguised remuneration, Construction Industry Scheme (CIS) filing dates and refunds and questions that should be asked of cyber security experts.
The Agent Update is published by HMRC as part of its Working Together programme for Agents and provides a wide range of updates that span all tax types.
There is a caveat that, as with everything at the moment, guidance is constantly being updated to help support businesses and individuals through the outbreak of COVID-19, and the issue includes the most up-to-date information that was available prior to going to publication.
The Chartered Institute of Payroll Professionals
Payroll: need to know
cipp.org.uk
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