UK: April 2018 changes to statutory benefits, tribunal compensation, minimum wage

From 6 April 2018, the cap on the unfair dismissal compensatory award increases from £80,541 to £83,682 and the cap on weekly pay (used to calculate the unfair dismissal basic award and statutory redundancy pay) increases from £489 to £508. This gives a maximum unfair dismissal award of £98,922. Note that since 29 July 2013 there has been an additional cap on the compensatory award of 12 months’ pay.

The bands for injury to feelings awards have also been increased for claims presented on or after 6 April 2018;  the lowest band starts at £900, the middle band at £8,600, and the highest band starts at £25,700 with a cap of £42,900 (save in exceptional cases).

From 6 April 2018 the weekly rate of statutory sick pay increases to £92.05 per week (from £89.35) and from 1 April 2018 the weekly flat rate of statutory maternity, paternity, adoption and shared parental pay increases to £145.18 per week (from £140.98).

The national minimum wage rates increases from 1 April 2018. Workers of 25 years and older will be entitled to be paid a minimum national living wage of £7.83 per hour (increased from £7.50).

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Filed under Jurisdiction: UK, Termination of employment, Workplace flexibility and family-friendly rights

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