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Employment facts from April 2022

20 Apr 2022

New limits for various types of compensation, redundancy pay, sickness pay and the national minimum wage have come into force over the last few weeks. As a busy professional, whether that is as an employer or and employee, we appreciate that looking across a range of sources for this information can be frustrating. Below shows a summary of the the key information.

Statutory payments

Sickness absence

  • Statutory sick pay (SSP) – £99.35 per week for a maximum of 28 weeks

Parental payments

  • Statutory maternity pay (SMP) 6 weeks – 90% of nominal earnings
  • Statutory adoption pay (SAP) 33 weeks – £156.66 per week or 90% of nominal weekly earnings if lower
  • Statutory paternity pay (SPP) 2 weeks – £156.66 per week or 90% of nominal weekly earnings if lower
  • Shared parental pay 39 weeks – £156.66 per week

Statutory redundancy pay

Statutory redundancy pay is based on an employee’s age and length of employment. An employee must have at least two years service to qualify and only the 20 most recent years of employment are taken into account.

  • Under 22 – 0.5 weeks
  • Between 22 and 40 – 1 weeks pay per year
  • 41 or over – 1.5 weeks pay per year
  • A week’s pay has an upper limit of £571. The maximum payment is £17,130.

Maximum compensation limited

Unfair dismissal

  • Max basic award – £17,130
  • Max compensatory award – A year’s pay subject to max cap of £93,878

Discrimination

No limit – includes amount for injury to feelings of £990 – £49,300

Statutory weekly pay

  • £571 per week

National minimum wage

  • National Living Wage (23+) – £9.50 per hour
  • Adult rate (21-22) – £9.18 per hour
  • Development rate (18-20) – £6.83 per hour
  • School leavers (16-17) – £4.81 per hour
  • Apprentices – £4.81 per hour

Annual leave

  • 5.6 weeks paid leave per year for all workers. This entitlement can include bank and public holidays.

Further support

This information is correct from April 2022 and is intended as a summary. We would be happy to advise you further on how to protect your position (as an employer, employee or worker).

If you have any specific employment or HR issues we can help you with, please do get in touch with a member of our employment team today.

Written by

Rhona Darbyshire

Partner and Head of Employment

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