Finance | 31 March 2016
The following changes come into force in April 2016:
1 April 2016
- The government is introducing a new mandatory national living wage (NLW) for workers aged 25 and above. The NLW will initially be £7.20 per hour – a rise of 50p on the current national minimum wage (NMW). The NMW will continue to apply for those aged 21 to 24 – see below for five things you need to know about the NMW.
6 April 2016
- The maximum compensatory award for unfair dismissal will rise from £78,335 to £78,962.
- The maximum amount of a week’s pay, used to calculate statutory redundancy payments and the basic award for unfair dismissal, will rise from £475 to £479.
- There will be no increase to the current limits applicable to leave payments for Statutory Maternity, Paternity, Adoption and Shared Parental Pay, Maternity Allowance, and Statutory Sick Pay (or the qualifying earning thresholds) for 2016-17.
- A new scheme for penalising employers who fail to pay tribunal awards or settlement sums will come into effect. Under the scheme, unpaid tribunal awards will attract penalties in respect of costs and accrued interest, and unpaid settlement amounts will include accrued interest.