April 2013 Employment Law Changes

Many employment law changes anticipated for April 2013 have now been postponed until summer and autumn 2013. However, April still looks set to be a busy month for changes to employment law.

Redundancy

As of 6 April, reforms to collective redundancy will be implemented, reducing the 90-day minimum consultation period to 45 days for collective redundancy consultation involving 100 or more employees. As of the same date, fixed-term contracts that have reached their agreed termination date will be excluded from the collective consultation requirement.

Statutory benefits increases

• The standard rate of statutory sick pay increases from £85.85 to £86.70 per week, with the weekly earnings threshold for these payments rising from £107 to £109. This new rate is effective as of 6 April 2013.

• The rate of statutory maternity pay, ordinary and additional statutory paternity pay and statutory adoption pay increases from £135.45 to £136.78 per week, with the weekly earnings threshold for these payments rising from £107 to £109. These new rates are effective as of 7 April 2013.

Pensions

Earnings thresholds for pensions auto-enrolment will change on 6 April 2013 as follows:

• the lower level of qualifying earnings increases to £5,668; 

• the earnings trigger for auto-enrolment increases to £9,440; and

• the upper level of qualifying earnings decreases to £41,450.