Overview of recent and proposed employment legislation
2008 and future developments
29 February 2008
Draft Immigration (Employment of Adults Subject to Immigration
Control) (Maximum Penalty) Order 2007
Increased the maximum penalty for employing an illegal worker to
£10,000. Employers who knowingly hire an illegal worker risk an
unlimited fine and a prison sentence of up to two years.
Made changes to the documents which have to be provided to prove
the right to work in the UK, and introduced annual checks for those without
an indefinite right to work in the UK.
See: checking the right to work in the UK
29 February 2008
The Immigration (Restrictions on Employment) Order 2007
Sets out what an employer has to do to defend an offence.
See: checking the right to work in the UK
1st quarter 2008 - 2009
Immigration, Asylum and Nationality Act 2006
Introduces a 5-tier points based immigration system - workers from
countries outside the EEA will be graded on their qualifications, previous
earnings, age and UK experience.
See: foreign nationals
6 April 2008 (excepting deaths that occur in police custody or prison which
will come into effect at a later date)
Corporate Manslaughter and Corporate Homicide Act
Created a new corporate manslaughter offence ("corporate homicide" in
Scotland) and seeks to make it easier for companies to be convicted of
manslaughter for work-related deaths and injuries.
6 April 2008
Sex Discrimination Act 1975 (Amendment) Regulations 2008
Definition of sex-related harassment is broadened.
Employers are required to protect female employees from
harassment by customers and clients.
Women on maternity leave should be consulted about any changes to
their jobs.
Women do not need a comparator in cases of alleged pregnancy or
maternity discrimination.
See: employee consultation
6 April 2008
Information and Consultation of Employees Regulations 2004
Establishes minimum requirements for informing and consulting
employees about prospective job losses, mergers or reorganisation plans
that could affect them.
Now extended to apply to all employers with 50 or more staff.
See: employee consultation
6 April 2008
Occupational and Personal Pension Schemes (Consultation by Employers)
Regulations 2006
Employers are required to consult for at least two months if they wish to
make significant changes to an occupational or personal pension scheme.
Now extended to apply to employers with 50+ employees.
6 April 2008
The Conduct of Employment Agencies and Employment Businesses
(Amendment) Regulations 2007
A number of amendments to tighten the existing regulations:
Agency charges - those who choose to accept the offer of additional
services will be able to subsequently withdraw from them (on notice), without
suffering any detriment.
Drivers - clearer guidance regarding their working hours and limits on these.
Short-term assignments - the requirements for information will be
relaxed for assignments of fewer than five days provided the agency's terms
are sufficiently clear.
References - an agency that is unable to disclose the appropriate
references will not only have to inform the hirer but also explain the steps it
has taken to try to obtain these.
6 April 2008
The Employment Equality (Age) Regulations 2006 (Amendment) Regulations 2008
Deal with continuity of service for the service-related benefit exception; and
close a loophole in connection with time limits (the original Regulations did
not properly provide for the three month extension of time under the
dispute resolution regulations).
April 2008
Companies Act 2006
Private companies are no longer required to have a company secretary
Autumn 2008 onwards (phased rollout)
Safeguarding of Vulnerable Groups Act
Employers of people who work with children or vulnerable adults
will be required to follow a centralised, integrated pre-employment vetting
procedure, which builds on the existing Criminal Records Bureau checks.
Will allow employers (and parents who employ child minders etc) to do a
simple online check of an applicant's barred status, and they will also be
informed immediately if someone they employ becomes barred.
Employers' failure to carry out the checks could result in a five-year
prison sentence or fines of up to £5,000.
1 October 2008
National Minimum Wage Regulations 1999 (Amendment) Regulations 2008
Increases to the National Minimum Wage
See National Minimum Wage.
1 October 2008
Companies Act 2006
The minimum age for a director is 16. All companies must have one natural
person as a director - ie they cannot have all corporate directors.
The remaining provisions of the Companies Act 2006 relating to
director's duties take effect, namely the duties:
to avoid conflicts (s175)
not to accept benefits from 3rd parties (s176)
to exercise independent judgement (s173)
to declare any interest in proposed transactions/arrangements with the
company (s177).
1 October 2008
The rules on trade union membership are changed in light of a decision by
the European Court of Human Rights that a trade union could expel a member
of the British National Party.
1 October 2008
Companies Act
The minimum age for a director is 16 (any directors under 16
automatically cease to be a director) and all companies must have one
natural person as a director - ie they cannot have all corporate directors.
5 October 2008
Amendments to the Maternity and Parental Leave Regulations
Amendment to remove the distinction between entitlements to non-pay
benefits during ordinary maternity leave and during additional maternity leave.
See maternity.
27 October 2008
Fixed Term Employees (Prevention of Less Favourable Treatment)(Amendment) Regulations 2008
Agency workers are eligible for SSP from day one of their employment.
See sick pay.
Late 2008/early 2009
Amendments to the Working Time Directive
New rules on the opt-out and the definitions of on-call time.
See working time
1 April 2009
Work and Families Bill - remaining changes
Increases statutory holiday entitlement to 5.6 weeks (28 days for someone
working a five day week)
April 2009
Flexible working
It is proposed that the right to request flexible working will be extended
to parents with children up to the age of 16.
April 2009
Employment Bill (will eventually be known as the Employment Act 2008)
Includes:
repealing the statutory dismissal and grievance procedures
allowing tribunals to increase awards by up to 25% if an employer
unreasonably fails to comply with the new ACAS Code of Practice on discipline
and grievance
extending ACAS's powers of conciliation and removing the fixed conciliation
periods
changing the methods used to enforce the national minimum wage and
calculate arrears
an unlimited fine for underpayment of the national minimum wage or
employment agency offences
strengthening the investigative powers of the Employment Agency
Standards Inspectorate
Due to take effect for babies due on or after 1 April 2010
Date not yet confirmed - not likely to be before April 2010
Work and Families Bill - remaining changes
Extends maternity and adoption leave and pay to a year
Allows mothers to transfer part of their maternity leave (and pay) to
the father
April or October 2010 (expected)
Agency Workers Directive
Gives agency workers the right to the same pay and conditions after 12
weeks' employment.
See agency workers
No implementation date known
Health and Safety Offences Bill
Will raise the maximum penalties available to the courts in respect of
certain health and safety offences.
The maximum fine for both companies and individuals which may be
imposed by the lower courts would be increased to £20,000 for most
health and safety offences.
A prison sentence may be given for most health and safety offences
in lower and higher courts, rather than being restricted to certain cases.
Certain offences that can currently only go to trial in lower courts
could be heard in either the lower or higher courts - thus opening up more
offences to unlimited fines.
No implementation date known - unlikely to be before 2009
Single Equality Bill
Aims to streamline all the different bits of discrimination legislation into
one.
The draft Bill has been published and also includes proposals on positive
action, extension of age discrimination to suppliers of goods and services,
extension of duties on public bodies to promote anti-discrimination in all areas,
requirement to publish statistics on gender pay gaps.
No implementation date - likely to be 2010 if passed
Right to request time off for training
Proposal to give employees with six months' service the legal right to request
(unpaid) time off for training.
2012
Pensions Bill
It will be compulsory for employers to contribute to the new personal
account pension scheme, which employees will automatically join when
they start a new job, unless the employer provides an alternative which is
as good or better.
2013 and 2015
Education and Skills Bill
Will raise the school leaving age to 17 in 2013, and 18 in 2015.
Those who take jobs before they are 18 will have to do at least one day of
accredited training.
Will give suitably qualified young people a new right to get an
apprenticeship.
Includes a proposal to give every worker the right to request (unpaid)
time off work to undertake training that will benefit them and their employer.
Different rules apply to access to the labour market for Bulgarian and
Romanian workers from 1 January 2007 to 31 December 2011.
See: foreign nationals and work permits
1 February 2007
Tribunal awards and statutory payments
Annual increase in tribunal award limits, including unfair dismissal,
a "week's pay" for the purposes of calculating a statutory redundancy
payment, and guarantee pay.
See: key statistics
For all those whose babies are due on or after, or who expect to adopt
on or after 1 April 2007
as above
6 April 2007
phased increase in entitlement, starting October 2007
Work and Families Bill
Extends maternity and adoption leave to a year
Extends maternity and adoption pay to 39 weeks
Extends the right to request flexible working to all carers of elderly or
sick adult relatives.
Extends statutory holiday entitlement so that bank or public holidays
to which employees are entitled will be in addition to
the minimum four weeks under the Working Time Directive.
Annual increase in statutory maternity, paternity, adoption, and sick pay.
See: key statistics
Came into force on 1 October 2006 but applies to expected date of
birth or placement on or after 1 April 2007
Maternity and Parental Leave etc and the Paternity and Adoption Leave
(Amendment) Regulations 2006
An employee no longer needs to have six months' service to qualify for
additional maternity leave (AML)
An employee intending to return early from AML or additional adoption
leave (AAL) must give her employer eight weeks' notice of her intended
return date (increased from four weeks).
An employee on maternity leave can agree with her employer to work
for up to ten days during the maternity leave period without it bringing her
period of leave to an end or affecting her SMP during the rest of that week.
Employers are allowed to maintain reasonable contact with an
employee whilst on maternity leave.
See: maternity and adoption and paternity
6 April 2007
Information and Consultation of Employees Regulations 2004
Establishes minimum requirements for informing and
consulting employees about prospective job losses, mergers or reorganisation
plans that could affect them.
Will eventually apply to all employers with more than 50 staff.
Applies to
employers with 100+ staff - by 6 April 2007
employers with 50+ staff - by 6 April 2008
See: employee consultation
6 April 2007
Equality Act
Creates a duty on public authorities to promote equality of opportunity
between men and women, and to prohibit sex discrimination in the
exercise of public functions. Known as the Gender Equality Duty, and
similar to the already existing obligation in regards to race (brought in by the
Race Relations (Amendment) Act 2003) and the Disability Equality Duty.
See: discrimination
30 April 2007
Equality Act
Makes discrimination unlawful on the grounds of sexual orientation or
religion or belief in the provision of goods, facilities and services, the disposal
and management of premises, education, and the exercise of public
functions; extends the scope of the religion/belief
discrimination to clearly cover those who hold NO recognised religion or belief;
and broadens the definition of "religion or belief" to "any religion, religious
belief or similar philosophical belief".
April 2007
Occupational and Personal Pension Schemes (Consultation by Employers)
Regulations 2006
Employers are required to consult for at least two months if they wish to
make significant changes to an occupational or personal pension scheme.
Applies to
employers with 100+ employees: from April 2007
employers with 50+ employees: from April 2008
2 April in Wales
20 April in Northern Ireland
1 July in England
Smoking ban
A ban on smoking in enclosed public places, including most workplaces.
See: smoking
1 August 2007
Working Time (junior doctors)
Limits the working hours of junior doctors to 56 hours per week
(until 31 July 2009).
See: working time
14 September 2007
Employment Equality (Sexual Orientation) (Religion or Belief) (Amendment)
Regulations 2007
Make it unlawful for training providers to discriminate in the arrangements
they make "for the purpose of determining to whom [they] should offer training."
See: sexual orientation
1 October 2007
Work and Families Bill
Increased from four to 4.8 weeks (24 days for someone working a
five day week)
See: working time.
1 October 2007
Commission for Equality and Human Rights
The Commission for Racial Equality, the Equal Opportunities Commission,
and the Disability Rights Commission merged into a single body
overseeing all equality issues called the Commission for Equality and Human
Rights (CEHR). The name of this body was then promptly changed to
the Equality and Human Rights Commission (EHRC).
The EHRC is able to bring proceedings in its own name, set its
own priorities over what cases to support, conduct inquiries into named
bodies or sectors, assess a public body's performance of its duty to promote
equality and also recommend changes to discrimination legislation.
See: discrimination
1 October 2007
Flexible Working (Eligibility, Complaints and Remedies) (Amendment) (No 2) Regulations 2007
Extends the types of adopter and foster carer who are entitled to make a
request for flexible working to care for a child.
See: flexible working
1 October 2007
Racial and Religious Hatred Act 2006
Extends the crime of incitement to commit racial hatred to cover religious
hatred, and creates a new criminal offence of stirring up hatred against a
person on the grounds of their religion (or lack of religion).
See: religion or belief
24 October 2007
Data Protection Act
Comes fully into force, and all manual files are now covered.
See: data protection
1 December 2007
Tribunals, Courts and Enforcement Act 2007
Tribunal chairmen became known as 'employment judges'.
The act also aims to make the enforcement of tribunal awards easier.
See: employment tribunals