Recent Updates in Employment Law: May 2024

By Mohammed Balal, Employment Solicitor at Butcher & Barlow.

Butcher & Barlow is committed to ensuring that you are kept informed about the most significant developments in Employment Law.  Below is an overview of the recent changes to the National Minimum Wage, Agricultural Minimum Wage in Wales, compensation for injury to feelings, and statutory parental payments.

National Minimum Wage

The National Minimum Wage (NMW) establishes the minimum hourly rates that employers must pay their workers. Here is a comparison of the previous rates to the new rates, effective from April 2024:

Previous Rates:

• Aged 23 and over: £10.42 per hour (the National Living Wage)
• Aged 21 – 22: £10.18 per hour
• Aged 18 – 20: £7.49 per hour
• Under 18: £5.28 per hour
• For apprentices under 19 or in the first year of their apprenticeship: £5.28

New Rates:

• Aged 21 and over: £11.44 per hour
• Aged 18 – 20: £8.60 per hour
• Aged 16 – 17: £6.40 per hour
• The accommodation offset amount has been raised to £9.99.

Agricultural National Minimum Wage in Wales

Previously, agricultural workers in Wales were subject to the same NMW rates as workers in other sectors. The new Agricultural NMW in Wales acknowledges the unique needs of agricultural workers with specific rates, reflecting the distinct nature of agricultural work, ensuring fair compensation.

Effective from 1 April 2024, the minimum rates of pay for agricultural workers are as follows:

Category of Worker

A1 – Agricultural Development Worker (16-17 years)                       £6.56 per hour

A2 – Agricultural Development Worker (18-20 years)                       £8.82 per hour

A3 – Agricultural Development Worker (21 years+)                          £11.73 per hour

B1 – Agricultural Worker (16-17 years)                                              £6.56 per hour

B2 – Agricultural Worker (18-20 years)                                              £8.82 per hour

B3 – Agricultural Worker (21 years+)                                                 £11.79 per hour

C – Agricultural Advanced Worker                                                     £12.27 per hour

D – Senior Agricultural Worker                                                           £13.46 per hour

Agricultural Manager                                                                           £14.77 per hour

Vento Banding – Injury to Feelings

The Vento bands are used to calculate compensation for injury to feelings in discrimination cases. The updated bands, effective for cases presented on or after 6 April 2024, are as follows:

Previous Bands:

• Lower band (less serious cases): £1,100 to £11,200
• Middle band (cases not in upper band): £11,200 to £33,700
• Upper band (most serious cases): £33,700 to £56,200

New Bands:

• Lower band: £1,200 to £11,700
• Middle band: £11,700 to £35,200
• Upper band: £35,200 to £58,700
• Amounts above £58,700 may be awarded in exceptional cases.

Enhancement of Statutory Payments

The statutory payments for parents have been enhanced, effective from 6 April 2024.

Statutory Maternity Pay:

90% of your average weekly earnings (before tax) for the first 6 weeks

Then,

£184.03 or 90% of your average weekly earnings (whichever is lower) for the next 33 weeks.

Statutory Paternity Pay, Statutory Adoption Pay, Statutory Shared Parental Pay, and Statutory Parental Bereavement Pay:

£184.03 or 90% of your average weekly earnings (whichever is lower).

These updates aim to provide increased support for working parents during significant life events.

If you have any questions regarding these update, or how they affect you as Employee or Employer, please contact Mohammed on 0161 764 4062 or email mbalal@butcher-barlow.co.uk