Employment Legislative Timetable for 2006

The timetable of legislative changes coming into force in 2006 has been published by the DTI. Some changes may be subject to revision. A further timetable will be published in July 2006.

2 April 2006

Revision of the standard rates of Statutory Maternity Pay (SMP), Statutory Paternity Pay (SPP) and Statutory Adoption Pay (SAP)

The current rates of SMP, SPP and SAP (£106.00 per week) will increase as from the week commencing Sunday 2 April 2006 to £108.85 per week.

6 April 2006

New TUPE Regulations

The new Transfer of Undertakings (Protection of Employment) Regulations 2006 have been published and come into force for transfers or on after 6 April 2006. Some transitional arrangements apply.

Information and Consultation Regulations

The Information and Consultation of Employees (Amendment) Regulations 2006 make minor amendments to the Information and Consultation of Employees Regulation 2004 (ICE Regulations). They impose new obligations to inform and consult employee representatives about particular changes to pension entitlements.

1 October 2006

Age Discrimination Legislation

The final Age Regulations were published on 9th March. The Employment Equality (Age) Regulations 2006 are due to come into force in October.

Statutory Redundancy Payments Scheme

The Government has been considering what amendments might be needed to the statutory redundancy payments scheme to bring it into line with the EU Employment Directive which requires Member States to outlaw discrimination on the grounds of age, among other things, in the employment field. The current scheme contains three age bands and directs greatest financial support to older workers and those with long service. The Directive provides for the possibility of Member States providing for different treatment on the grounds of age, where this difference of treatment is objectively and reasonably justified by a legitimate aim, including employment policy. On 2nd March The Government published a Written Statement stating that, in the light of this, it has decided to retain the age bands.

The Government has however decided to remove the lower and upper age limits in the redundancy scheme (at 18 and 65 respectively) and the taper at the age of 64 because it believes, as employees are living and working longer, these cannot be justified under the Directive.

Annual revision of National Minimum Wage

The Government has accepted the Low Pay Commission’s proposal for increasing the national minimum wage rates.

The proposed figures are:

• Standard (adult) rate: increase from £ 5.05 to £ 5.35
• Development rate (aged 18-21): increase from £ 4.25 to £ 4.45

Employment Act 2002 (Amendment Order) 2006

The scope of the statutory dispute resolution procedures will be extended to include a number of new areas. In particular the procedures will cover complaints from Information and Consultation representatives and representatives appointed under the Occupational Pension Scheme (Consultation by Employers) Regulations.

Work and Families Legislation

The Work and Families Bill is completing its passage through Parliament. Most significantly the extension of Statutory Maternity and Adoption paid leave from six to nine months will come into effect for employees where the expected week of childbirth (or date of adoption) is on or after 6 April 2007.

Amendment to the Trade Union and Labour Relations (Consolidation) Act 1992 (TULRCA)

Consultation on making some changes to the law relating to collective redundancies has been expected since January. The proposed consultation is to examine whether (and if so how) UK legislation should be changed to reflect the ECJ case of Junk v Kuhnel. According to this case the consultation period and notice period should no longer run concurrently. In the UK this has been interpreted that consultation must now begin at least 30 days (or 90 days if appropriate) prior to the date when notice of dismissal is given.