New employment law changes coming in 2024

2023 saw multiple announcements from the government in relation to new employment laws that will be coming into effect this year. This means that it’s looking to be a busy year in the world of new employment law that businesses should be aware of. Therefore, in this guide, we’ll be exploring the key employment law changes that are coming in 2024 and how employers can effectively prepare for them.

Minimum wage increase

In the autumn statement it was revealed that the national living wage will increase by nearly 10% in response to the continuing cost of living crisis and high inflation rates. This increase will come into effect from 1st April and see the wage increased from £10.42 to £11.44 per hour.

The most interesting part about this wage increase is that for the first time it will include 21- and 22-year-olds. Also, the national minimum wage rates will rise for younger workers (18–20-year-olds) by £1.11 an hour to £8.60.

Not only that but pay for individuals completing apprenticeships is also set to increase, with 18-year-old apprentices in industries, including construction, set to see a boost in hourly pay from £5.28 to £6.40.

Holiday pay, working time, and TUPE changes

Focusing on part-time workers and those with irregular hours, these employment law changes mean that rolled up holiday pay (at an accrual rate of 12.07%) is lawful for these workers. This means that it will be easier for employers to calculate holiday entitlement for these types of workers and the holiday entitlement more accurately reflects the hours that they work across the year.

The decision was made following the Supreme Court’s decision in the Harpur Trust v Brazel case, which led to part-year workers getting more holiday entitlements than part-time workers that had worked the same number of hours annually. It is an employment law change that will benefit employers and employers moving forward.

Additionally, changes will be made to Transfer of Undertakings Protection of Employment (TUPE) rights. These rights protect employees and their benefits when their company moves from one employer to another. The changes in this area allow small businesses with either less than 50 employees or transfers involving fewer than 10 employees to directly consult with employees, and not carry out a collective consolation during the transfer process.

The purpose of this change is to try and streamline TUPE transfers for small transfers. For specialist, tailored advice for employers about the new holiday pay and TUPE changes, contact the team at Employment Law Services (ELS) Ltd.

The Protection from Redundancy (Pregnancy and Family Leave) Act 2023

This Act is set to come into effect on 6th April 2024 and expands the current laws that protect pregnant employees and individuals that are on or coming back from maternity, adoption, or shared parental leave who are facing redundancy.

The current laws on the subject state that employees on family leave have better protection in the event of redundancies. This includes being offered a suitable alternative job, if there is one, over other at-risk employees. When the new act is introduced, it will now include pregnant employees, from the time they inform their employer of the pregnancy up until 18 months after childbirth.

Miscarriage leave bill

The bill proposing miscarriage leave aims to provide three days of paid leave for individuals who suffer a baby loss before 24 weeks. Present laws do not grant any paid leave to women who miscarry at this stage of pregnancy. The bill’s second reading has been deferred multiple times to date. The second reading was initially scheduled for 24th November but was delayed due to the parliament not convening.

Carer’s Leave Act 2023

The introduction of the Carer’s Leave Act is anticipated on April 6, which will present a fresh provision of yearly unpaid leave (one week) to employees tending for dependants with prolonged needs. This leave will be accessible to all employees from the commencement of their job. Long-term needs could be interpreted as old age, an ailment or injury that necessitates/or is expected to necessitate care for over three months, or any individual with a condition that aligns with the disability definition as per the Equality Act 2010.

Flexible Working Act

Employers can expect to see the changes from the Flexible Working Act to come into effect from around July 2024. It offers employees greater flexibility over when and where they work. So, employers will be required to consider any requests for flexible working and provide a valid reason before rejecting it. The Act will cover an employee’s rights to request flexibility over part time, flexitime, term time, compressed hours, and adjustable start and finish times. You can read more about the new Flexible Working Act in our other guide ‘When will the Employment Relations Bill come into effect?’.

The Worker Protection (Amendment of Equality Act 2010) Act 2023

The Worker Protection Act, which modifies the Equality Act, is scheduled to be implemented in October 2024. This Act will impose an obligation on employers to take “reasonable measures” to prevent sexual harassment against their employees in their workplace. The objective of this law is to increase the accountability of employers in making their workplace safer for all employees.

Conclusion

Those are some of the key employment law changes in 2024, but there are likely to be more developments as the year progresses. Also, there will be a general election this year and depending on the outcome of that, the direction of employment law may change. If you’re an employer and need support with these changes or any aspects of employment law, our employment law experts for businesses UK can help. Book a free consultation online today or contact our team if you have any questions about our services.