What Employers Need to Know About Changes to Employment Law in 2024
From 1 January 2024, new changes to the Working Time Regulations have been brought into force affecting holiday entitlements for people who work irregular hours for only part of the year. There are also proposed changes this year to parental leave pay rates, proposed changes to paternity leave rules and a new right to unpaid leave for carers.
For employers, it is essential to understand these changes and what they mean for your employees. Staying on top of these issues not only helps you to maintain compliance with UK employment law, but also means you will not be caught out by any new rights your employees have.
In this article, we cover the changes to holiday pay, parental leave and the right to unpaid leave for carers, as well as how Longmores can help employers with these and other employment law issues.
Are you an employer who needs expert help with employment law? Please contact our Employment team who will be happy to advise.
Key points for employers to know in 2024
Changes to holiday pay for 2024
- As of 1 January 2024, and for leave years from 1 April 2024, holiday entitlements for irregular-hours workers and part-year workers must now be calculated in hours rather than weeks
- New definitions have been provided for what constitutes irregular-hours workers and part-year workers
Changes to parental leave for 2024
- From 7 April 2024, new rates will apply for parental leave (which you can view here)
- The government has proposed various changes to parental leave to improve flexibility and gender equality in the Paternity Leave (Amendment) Regulations 2024
- These changes to paternity leave are anticipated to come into force on 8 March 2024 (subject to parliamentary approval)
The new right to unpaid carer’s leave in 2024
- From 6 April 2024, employees with caring responsibilities for a dependant will have the right to one week of unpaid carer’s leave each year
- This right applies from the first day of an employee’s employment
- Dependants are defined as anyone who reasonably relies on the employee to meet their long-term care needs
Changes to holiday pay for 2024
From leave years starting after 1 April 2024, employers must calculate holiday entitlements for irregular hours workers and part-year workers in hours rather than weeks. These workers will be entitled to holiday pay equal to 12.07% of their hours worked in a specific pay period.
New definitions have been provided for who falls into the category of irregular hours workers and part-year workers for the purposes of these new holiday entitlement rules.
Irregular hours workers are defined as those with contractual hours that are either wholly or mostly variable (e.g. those on zero hours contracts). Part-year workers are defined as those with contractual hours that cover only part of the year.
Employers now also have the option to roll-up holiday pay for irregular hours and part-year workers so that it is paid alongside their normal pay.
Holiday entitlements for other types of workers are not affected.
Changes to parental leave for 2024
New rates for parental leave pay will take effect from 7 April 2024. The new rates are published on the government’s website here.
Changes are also expected to rules for paternity leave, if new proposed legislation achieves parliamentary approval.
Under existing rules, new fathers and same-sex partners are entitled to two weeks of statutory paternity leave when the child is born. This leave must be taken within the first eight weeks after the child is born and must be taken all in one go.
This could all be about to change under the terms of the proposed Paternity Leave (Amendment) Regulations 2024 currently being considered by Parliament. The new rules would mean that fathers and same-sex partners could take up to two weeks leave at any point during the first year after a child is born and that this can be taken either all as a single block or as two separate weeks at different times during that first year.
The proposals also include reducing the notice employees need to give before the birth of a child. Currently, they must give their employers 15 weeks’ notice, but this would change to only 28 days’ notice if the new regulations come into force.
The new rules would also apply to adoptions and are expected to come into force from 8 March 2024 and will apply to babies with an expected week of birth or adoption that is after 6 April 2024.
Introducing unpaid carers leave for 2024
From 6 April 2024, employees with caring responsibilities for a dependant will have the right to one week of unpaid carer’s leave each year. This right was introduced by the Carer’s Leave Act 2023 and applies from the first day of an employee’s employment.
Dependants are defined as anyone who reasonably relies on the employee to meet their long-term care needs. Long-term care needs are defined as where either a person has a physical or mental illness or injury that means they need or are likely to need care for more than three months, they have a disability recognised under the Equality Act 2010 or they are experiencing issues related to old age.
A key point to note is that the new rules clarify that employees do not need to provide evidence of dependant’s care needs.
How Longmores can help employers with employment law
At Longmores, we have extensive expertise working alongside employers from a wide range of businesses and organisations. We can provide expert support for managing your employees while protecting your interests.
Our Employment Law team can assist employers with all aspects of HR and employment law, including in relation to holiday pay, parental leave and carer’s leave.
To discuss how we can help you, please contact Richard Gvero who will be happy to advise.
Find out more about our Employment Law Packages, Employment Law Health Check, HR and Employment Law Training and the Longmores Employer Assistance Package (LEAP) with optional insurance to protect you against the costs of employment tribunals, legal fees, settlements and financial awards in the event of a dispute.
Please note, the contents of this blog are given for information only and must not be relied upon. Legal advice should always be sought in relation to specific circumstances.
