What May Change in Employment Law This Year?

12 Feb What May Change in Employment Law This Year?

Yes, we have Labour’s changes, but as noted in our previous updates, most of those changes won’t come in for some time.

So, what will happen in employment law this year?

Here’s a table with a summary of what we think may well change this year:

What may change? When? What is it? What should we do?
Neonatal care leave and pay 6 April 2025 From day 1 of employment:
  • If the baby is admitted to hospital;
  • In their first 28 days;
  • For a week…
Then parents can take 12 weeks leave (and, if eligible, receive pay too).
Check details required and update policies – we can supply an updated policy for a fixed fee.
A right to switch off May well be some time this year Likely a new Statutory Code of Practice on its way later in 2025. We’ll update further – policy and systems likely needed here but all subject to the new code requirements.
Fire & re-hire 20 January 2025 Where employers fail to comply with the codes of practice already in place, the protective awards (up to 90 days uncapped pay per employee) can be uplifted by 25% by the Tribunal. Check you are familiar with the ACAS codes of practice on dismissal and re-engagement – we will be issuing a video update on this soon!
National minimum wage (NMW), SSP, and Employer NI increases NMW: April 2025
SSP & NI: TBC
NMW is going up from:
  • Age 21 or above = £11.44 to £12.21 per hour
  • SSP from £116.75 to £118.75 p/w
  • Employers NI goes from 13.8% to 15% with the relief threshold reducing from £9,100 to £5,000.
Planning for most businesses began some time ago – awareness is key here for financial planning and compliance.
Cap for unfair dismissal compensation TBC This may well increase too, exceeding £115,000. We will update.