Increase to Employment Law Payment Limits

The Employment Rights (Increase of Limits) Order 2014 SI 2014/382 came into effect from 6 April 2014. The notable changes to payment limits include:

  • the limit on the amount of a week's pay for the purposes of calculating, among other things, statutory redundancy payments (and the basic award for unfair dismissal) increases from £450 to £46;
  • the maximum compensatory award for unfair dismissal goes up from £74,200 to £76,574;
  • guarantee pay increases from the rate of £24.20 a day to £25; and
  • the minimum basic award in cases where the dismissal was unfair by virtue of health and safety, employee representative, trade union, or occupational pension trustee reasons will increase from  £5,500 to £5,676.

 

Nick Barnett

Published on 07/04/2014

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