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Employment Contract Compliance

Employment Contract Compliance

October 03, 20224 min read

“Not only are bloggers suckers for the remarkable, so are the people who read blogs.” - Seth Godin

Did you know that all employees and workers have a statutory right to receive a statement of employment particulars from day one of their employment?

Did you know that your statement of employment particulars must contain specific information as required by the Employment Rights Act 1996?

Did you know that where those mandatory areas are changed, a written statement confirming such changes must be provided within one month of the change?

We have summarised the main areas of compliance for the employer.

  1. From 6 April 2020, the right to receive a written statement of particulars for ‘employees’ was extended to all ‘workers’, which can cover a wider range of individuals, including employees, zero hours’ workers, casual and seasonal workers.

  2. Also from 6 April 2020, it is also a requirement under the Employment Rights (Employment Particulars and Paid Annual Leave) (Amendment) Regulations 2018 that an employee is entitled to receive the written statement from day-one of their employment and it should not be given any later than their first day.

  3. Section 1 and 2 of the Employment Rights Act sets out the information which is legally required to be included within the statement. The information to be provided includes:

  • the employee and employer name

  • the start date of employment and the date the employee’s continuous employment started

  • the method, rate or scale in place for remuneration calculations and the intervals for payment

  • terms and conditions relating to working hours such as normal working hours

  • holiday entitlement and details relating to public holidays and holiday pay

  • sick pay and incapacity for work provisions

  • details of pensions and pension schemes

  • the duration of notice to be given to, or provided by, the employee to terminate employment

  • job title or description of the role

  • the expected duration of non-permanent work or the date upon which fixed-term work will end

  • the normal place of work or address details of the employer

  • details of any collective agreements which directly affect the terms and conditions of the individual

  • rules and procedures relating to disciplinary (or referring to a separate accessible document where these are located) and

  • identifying the person to whom to raise a grievance or appeal against a disciplinary decision.

Where the employee receiving the statement of main terms will be required to work in a non-UK location for over a month, the statement must also include information relating to:

  • the expected duration of this work

  • the payment currency to be received

  • any additional pay terms relating to their non-UK work and

  • any conditions which apply to the employee’s return to the UK.

From 6 April 2020, the Employment Rights (Employment Particulars and Paid Annual Leave) (Amendment) Regulations 2018 extended the mandatory information which has to be included within the statement. From this date, additional information has to be included on the below:

  • the terms and conditions relating to work will extend to cover terms relating to normal hours of work, days of the week the worker will be required to work and whether these days/hours may vary

  • terms relating to other forms of paid leave such as family-friendly leave

  • details of other employee benefits, not just those relating to pay, such as benefits in kind or financial benefits

  • terms relating to probationary periods including those in relation to length and conditions

  • details of training provision and requirements.

These changes will only apply to statements provided where employment begins on or after 6 April 2020.

4. Where the mandatory terms and conditions are subsequently changed during employment, under section 4 Employment Rights Act the employer is required to provide a written statement which particularises the change.

The statement setting out the change has to be provided to the employee at the earliest opportunity but within one month of the change or, where the change means that the employee will now work outside of the UK, at the point where the employee leaves the UK to carry out this work if this is earlier than one month.

Change in sickness rules, pensions, and disciplinary rules or procedures

Where the change relates to any of the above terms, the written notice can direct the employee to an accessible separate document. For example, the employer may provide a written notice informing the employee that the updated rules or procedures are contained within the Employee Handbook.

Change to employer identity

Where the name of the employer changes, but the employee remains employed by the same business or their employment is transferred under the TUPE regulations, the employee’s date of continuous employment will remain the same and the employer will only have to provide written notice of the change in name.

Where the employer’s identity changes which causes a subsequent change in the start date of continuous employment, these new terms will have to be set out within the written notice of change.

Change to notice periods

Where the notice period contained within the original statement is changed, employers can use the written notice of change to notify employees of the statutory notice periods or point them towards a collective agreement affecting this term.

employment lawstatement of main termsemployment rights actemployment contract
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