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Breedon Consulting LTD - HR updates 2020/21

The top five (non-Covid) human resources update 2020/21!

At the end of November, Nicki Robson – Managing Director at Breedon Consulting Ltd – was in the spotlight. 

Breedon Consulting are experts in human resource management, recruitment and training services for business owners and managers across the Midlands.


They’ve been in your shoes, so understand the struggle of finding a flexible and approachable solution to your HR management. Breedon consulting was built on this understanding and to put it simply – they are real people who you can rely on.

 

Life before Covid-19

1. April 2020 legislation changes

 

  • The right to a written statement of terms and conditions extended to workers

  •  Right to a written statement becomes a day one right

  •  Additional information required to be included in the written statement, such as terms relating to any benefits, conditions relating to probationary periods

  •  Introduction of Parental Bereavement Leave

  • Changes to the way holiday pay is calculated

  •  New IR35 rules (off-payroll working) extended to private sector large and medium-sized companies – this was delayed until April 2021

2. Changes to holiday pay calculations

 

  •  Any aspect of pay that is intrinsically linked to the performance of the work the employee does should be included in holiday pay

    • Overtime – guaranteed, non-guaranteed or voluntary

    •  Bonus payments such as attendance or productivity bonuses

    •  Commission payments

    •  Travel time allowances, provided they are intrinsically linked to the work

    •  Payments based on qualifications, experience or grade

    •  Flying allowances…

  •  This only applies to ‘EU Leave’ which is 4 weeks or 20 days for a 5 day week

  •  There is no binding authority on it, but it’s generally considered to be the first 20 days in the holiday year

  •  The remaining leave can be paid at the basic rate  

3. Brexit and the EU settlement scheme

 

New rules for EU, EEA and Swiss Nationals:

  • Until 30th June 2021, EU Passports will be suitable to prove right to work in the UK

  • After 30th June 2021, any EU citizens who have entered the country after 31st December 2020 or who have not applied for settled status will no longer be able to use their EU passport to prove right to work in the UK

  • Any EU citizen who does not have settled or pre-settled status will be put onto a points system, similar to that of non-EU nationals. From there, a company will need to apply to become a sponsor and then apply for individual sponsor certificates

  • Any employees that have lived in the UK for 5 years or longer and apply for the Settlement Scheme can achieve settled status, giving them the right to work

  • Any employees that have been in the UK for less than 5 years and apply for the Settlement Scheme can achieve pre-settled status, once they reach 5 years’ residency in the UK they can achieve settles status

What do employers need to do?

  • Identify impacted employees by checking right to work documents

  • Support employees through the application process

  • Make sure you track applications until completion

 

4. On the horizon…

 

  • Review of the furlough scheme in January 2021 – government to decide whether employers should make a contribution towards the cost of wages

  •  IR35 changes delayed to April 2021 

  •  Increase to National Minimum Wage in April 2021 – expected to be lower than  usual

  •  New rules on publishing modern slavery statements – guidance expected before the end of 2020

  •  Redundancy protection for pregnant mothers and new parents likely to be extended to 6 months post-return to work

  •  An increase in the length of time for continuity of employment to be broken is expected

  •  A right for workers to request a more predictable contract is expected

 

5. Other areas of focus…

  • Re-onboard furloughed staff

  • Efficiencies and new working practices

  • Need for robust people management

  • More flexible working options

 

If you would like more information on Breedon Consulting or the information above, contact the team on 01530 447 441 or drop us an email.

9/12/2020

Nicki Robson – Breedon Consulting Ltd