Minimum Wage Rates: New minimum wage rates effective from 1 April 2025, with the National Living Wage for those 21 and over set at £12.21 per hour.
Employer Risk: Employers must ensure compliance with minimum wage laws, especially regarding salary sacrifice schemes and excess hours worked by salaried employees.
National Insurance Changes: From 6 April 2025, the secondary threshold for employer NICs drops to £5,000, and the rate increases to 15%. The Employment Allowance rises to £10,500.
Data Requirements Delay: New HMRC requirements for reporting employee hours are delayed until April 2026.
Employment Rights Bill: Significant changes include day one employment rights, flexible working, a new enforcement body, changes to SSP, and new rules on unfair dismissal and zero-hours contracts, effective from 2026.
Sexual Harassment Prevention: Since 26 October 2024, employers must take reasonable steps to prevent sexual harassment, with potential compensation uplifts for non-compliance.
