The Government is claiming, following the Taylor Review, there will be the “largest upgrade in workers’ rights in over a generation”. But what exactly does this mean?
Right to a written statement of terms from day one
Currently, only employees are entitled to a written statement within two months of starting the job. However, this is all set to change from 6 April 2020, when both employees and workers will be entitled to a statement of terms on their first day of the job and specific information for agency workers.
The statement must set out the days of the week workers are required to work, as well as whether working hours and/or days may be variable and how they may vary. Statements will also include other paid leave such as maternity and paternity leave, duration and condition of probationary periods, details of other paid benefits such as vouchers, as well as training (including where the employer is not paying). All this information will need to be agreed and in place from day one.
Existing employees can also expect the same level of information (if not already in place) from April 2020 and agency workers are entitled to a Key Facts page from employment businesses to give them clear information about who is paying them, any deductions or fees and other factors that can sometimes be buried in the small print.
Producing a written statement of terms is not a case of replacing the word “employee” with “worker”; it means the employer realistically evaluating who is an employee and who is self-employed using Government guidelines to assess.
Right to request a more stable work contract
All employees and workers (including agency workers) will have the right to request a more stable contract eg guaranteed number of working hours, after 26 weeks’ service.
Aligning tax and employment status
The Government plans to produce legislation to improve clarity of employment status tests and improve guidance and online tools. This is in a bid to combat the gig economy and the definition of employees/workers. The more stable employment is, the more people are regularly paying tax and National Insurance which can only be good for the Government and the country.
Extension of gap which breaks “continuous service”
This is an area we get asked quite a lot about. It appears the Government is trying to stop employers terminating contracts and re-employing employees in another form, such as Consultants, by extending the time required to break “continuous service” from one week to four weeks for the purposes of unfair dismissal and other rights.
Next steps
- be aware of these changes
- get your contracts reviewed in light of these
- be ready when existing employees ask for a new-style statement on or after 6 April 2020
- prepare contracts that reflect what must be given in one go and include the new additional requirements
- review employee/worker status
If you feel it is time to review your contracts, or want to get ahead of this new legislation, please contact our employment specialists at emphasis hr & training where we can talk you through the process. Call 01794 874232 or email: info@emphasis.uk.com
