Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+

Personnel Today

Register
Log in
Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+

Right to workIR35Modern slaveryNational living wageCoronavirus

Employment law: Seven key tasks for HR in 2021

by XpertHR 11 Nov 2020
by XpertHR 11 Nov 2020 Pic: Shutterstock
Pic: Shutterstock

2020 was the year that HR was required to react to the unexpected, but it’s now time to plan for the known challenges in the coming year. We look at what HR can do to prepare for 2021.

1. Be ready for the new immigration system

The end of the Brexit transition period means that there will be a new points-based immigration system in place from 1 January 2021. EEA nationals arriving in the UK from 1 January will need to comply with the same visa requirements as other non-UK nationals.

Employers should understand how the new system will affect their recruitment and should consider whether they will need to apply for a sponsor licence.

They should encourage their existing EEA employees to apply for settled or pre-settled status, if they have not already done so.

European nationals already in the UK before the end of the transition period have a grace period until 30 June 2021 to apply under the settlement scheme. Employers will need to understand the rules on right to work checks during this period.

  • Recruiting foreign nationals
  • Employment law manual: Employing foreign nationals
  • How to prepare for the end of the Brexit transition period
  • How to apply for a sponsor licence


2. Review your contracts for IR35 in the private sector

Statutory rates

Statutory rates usually change every April, including for sick pay, family-related pay and maximum redundancy pay.

Check XpertHR’s statutory rates tool for current rates and future developments.

Reforms to the IR35 rules on off-payroll working in the private sector come into force on 6 April 2021, having been delayed by a year due to the coronavirus crisis. The rules are aimed at reducing tax avoidance for contractors employed via personal service companies.

Under the new rules, the organisation engaging the contractor is responsible for determining their employment status and assessing whether or not IR35 applies. If it does, the organisation that pays the individual’s fees is deemed to be their employer for tax and national insurance purposes.

Employers should review their contracts and put in place the necessary procedures to ensure compliance.

  • IR35
  • Employment law manual: Pay As You Earn
  • IR35: Seven things private-sector HR needs to do now


3. Prepare for changes to the national minimum wage

The new national minimum wage rates to apply from 1 April 2021 have not yet been announced, but it is likely that the increase will be significantly less than in previous years due to the economic impact of the coronavirus crisis.

The age from which employees are entitled to the national living wage (the highest rate) is due to reduce from 25 to 23 from 1 April 2021 (although it is possible that this could be postponed).

Employers should look out for announcements on the new rates and the extension of the national living wage to 23-year-olds and be ready to comply with the new rules.

  • National minimum wage
  • Employment law manual: The national minimum wage
  • Quick reference: National minimum wage


4. Plan for changes to the Coronavirus Job Retention Scheme

Coronavirus will continue to present challenges for HR professionals, including how to manage homeworking, planning for business continuity, redundancies and ensuring the health and safety of staff.

Coronavirus (Covid-19)

Coronavirus will continue to present challenges for HR professionals, including how to manage homeworking, planning for business continuity, redundancies and ensuring the health and safety of staff.

The Coronavirus Job Retention Scheme, which was due to close at the end of October 2020, has been extended until 31 March 2021. Employers can furlough employees from November 2020 even if they had not previously made use of the scheme. The scheme will cover 80% of furloughed employees’ wages (capped at £2,500 per month) until 31 January 2021.

The government will review the terms of the scheme in January and decide if employers should be required to contribute a proportion of employees’ wages.

Employers will need to assess how any changes to the scheme will impact their business and plan how to respond when the scheme comes to an end.

  • Coronavirus Job Retention Scheme
  • Employment law manual: Coronavirus Job Retention Scheme


5. Comply with any new rules on publishing modern slavery statements

The government has committed to making changes to the rules on publishing modern slavery and human trafficking statements.

It will be mandatory for organisations to report on certain areas when publishing their statement. They will be required to publish their reports on a government-run reporting service and there will be a single reporting deadline.

The duty to publish a statement will be extended to public-sector bodies with a budget of £36m or more.

It is not yet known when the new rules will come into force. The Government has said that it will publish guidance before the end of 2020, including on best practice approaches to reporting.

  • Modern slavery
  • Modern slavery and human trafficking statement


6. Be aware that redundancy protection for pregnant employees and new parents may be extended

The government consulted in 2019 on extending redundancy protection (ie the right to be offered suitable alternative employment) for employees taking maternity leave and for other new parents. It committed to extending the period of protection so that it would apply from the point the employee informs their employer that they are pregnant and continue for six months after their return to work.

There would also be extensions to the protection periods for employees taking adoption leave and shared parental leave.

Legal timetable

XpertHR’s legal timetable provides summaries of all pending employment laws and regulations, with implementation dates.

An Employment Bill was announced in the December 2019 Queen’s Speech, to include measures to extend redundancy protection to prevent pregnancy and maternity discrimination. However, no date has yet been set for these changes to be brought into force.

  • Alternative employment for redundant employees
  • Enhanced redundancy protection for pregnant employees and new parents: Overview for employers


7. Look out for other changes on the horizon

Other employment law developments that the government has previously announced but not yet set out a timetable for include:

  • further reforms to exit pay in the public sector;
  • measures to ensure that tips left for workers go to them in full;
  • a new right for all workers to request a more predictable contract; and
  • an increase to the length of time required for continuity of employment to be broken.

XpertHR
XpertHR

XpertHR is the UK's most comprehensive online source of legal compliance, good practice and benchmarking information made available to HR professionals as a single subscription service.

previous post
Collapse in internships ‘worrying’ for talent pipeline
next post
Experience the future of HR

Leave a Comment Cancel Reply

Save my name, email, and website in this browser for the next time I comment.

You may also like

Kristie Higgs succeeds in bid to remove LGBT...

5 Jul 2022

‘Low flight risk’ designer wins £100k age discrimination...

5 Jul 2022

Rail signaller discriminated against by staff who watched...

5 Jul 2022

The ultimate guide to payroll for small businesses

5 Jul 2022

More government support to help over 50s back...

5 Jul 2022

NHS to end full pay for Covid-19 sick...

4 Jul 2022

Government childcare plans aim to reduce cost of...

4 Jul 2022

Whistleblowing lawyer awarded £423k by Foreign Office

4 Jul 2022

Diversity and inclusion: where does the buck stop?

4 Jul 2022

Quarter of workers feel unsupported after bereavement

1 Jul 2022
  • The ultimate guide to payroll for small businesses PROMOTED | You’ve started a business that has expanded to the point of requiring more staff to meet demand. Congratulations!...Read more
  • NSPCC revamps its learning strategy with child wellbeing at its heart PROMOTED | The NSPCC’s mission is to prevent abuse and neglect...Read more
  • Diversity versus inclusion: Why the difference matters PROMOTED | It’s possible for an environment to be diverse, but not inclusive...Read more
  • Five steps for organisations across the globe to become more skills-driven PROMOTED | The shift in the world of work has been felt across the globe...Read more
  • The future of workforce development PROMOTED | Northumbria University and partners share insight...Read more

Personnel Today Jobs
 

Search Jobs

PERSONNEL TODAY

About us
Contact us
Browse all HR topics
Email newsletters
Content feeds
Cookies policy
Privacy policy
Terms and conditions

JOBS

Personnel Today Jobs
Post a job
Why advertise with us?

EVENTS & PRODUCTS

The Personnel Today Awards
The RAD Awards
Employee Benefits
Forum for Expatriate Management
OHW+
Whatmedia

ADVERTISING & PR

Advertising opportunities
Features list 2022

  • Facebook
  • Twitter
  • Instagram
  • Linkedin


© 2011 - 2022 DVV Media International Ltd

Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+