This legal update has been received from Sandy Adirondack, voluntary sector legal expert.
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“Weekly pay” for redundancy and other awards; Unfair dismissal awards
In effect in England, Wales and Scotland for events taking place on or after 6 April 2016; in Northern Ireland for events taking place on or after 14 February 2016.
NJC pay scales 2016-17 (not)
For organisations whose salary scales are pegged to NJC national scales, the scales for 2016-17 have not yet been agreed. This is not surprising, since the scales for 2014-16 weren’t agreed until November 2014, seven months after they were due to come into effect.
Statutory national minimum wage and national living wage
£7.20 per hour national living wage (NLW) for workers aged 25 and over has been in effect since 1 April. This is a tier of national minimum wage (NMW) and is obligatory for all employers. The government has warned employers not to reduce workers’ hours, pay rates or other benefits in order to offset the cost of introducing NLW.
The usual NMW annual increases for workers under 25 have been announced and are expected to come into effect 1 October.
NLW will go up again next April, and is likely to be 50p more than the October 2016 rate for workers aged 21 and over.
The real living wage
£9.40 in London and £8.25 in the rest of the UK. This “original” living wage is based on the actual cost of living and is revised annually in November. There is no statutory obligation on employers to pay it, although some funders/purchasers of services are now requiring it as part of their contracts or grant agreements.
Statutory maternity, paternity and adoption pay
Rates for statutory maternity, paternity and adoption pay remain the same for 2016-17 as for 2015-16 (£139.58 per week, or 90% of the worker’s average weekly earnings if lower).
Statutory sick pay
The statutory sick pay rate is also frozen, at £88.45 per week.
Find more at Sandy Adirondack’s website: www.sandy-a.co.uk/legal.htm