Category Archives: Legislation Updates

Irregular hours and part-year workers will now have their holiday pay calculated as 12.07 per cent of actual hours worked in a pay period, for leave years starting on or after 1 April 2024. This calculation is based on the fact that all workers are legally entitled to 5.6 weeks’ leave, though may be entitled to more than the minimum if specified in their contract.

What is an irregular hours or part-year worker?
The new regulations set out a definition for irregular hours workers and part-year workers, which the reforms apply to.  

An irregular hours worker works wholly or mostly variable paid hours under the terms of their contract in each pay period. This means they could be on a casual or zero-hours contract. Workers with fixed hours even if over different days, would not qualify as an irregular hours worker. They have to work a different number of hours each week to be classified as an irregular hours worker.

A part-year worker is required to work only part of the year and there are periods in that year of at least a week during which they are not required to work and for which they are not paid. Unlike irregular hours workers, part-year workers may have fixed hours and it is the work pattern that is applicable, e.g. they work term time only.

Annual leave for irregular hours or part-year workers
Under the new rules, workers who have been unable to take the annual leave they were entitled to because they were on maternity or other family-related leave can carry over all their holiday entitlement to the following leave year. The regulationsalso set out that workers could carry forward leave to the next year if their employer refused to pay them their entitlement, they did not give the worker a ‘reasonable opportunity’ to take their leave or encourage them to do so, or the employer did not inform the worker that untaken leave must be taken by the end of the year to avoid it being lost.

An irregular or part-year worker could potentially carry over up to 28 days leave as a result of being off sick, so it’s crucial that employers familiarise themselves with the detail and that workers are made aware of their rights.

Holiday Pay
Under the reforms, four weeks of the minimum 5.6 weeks’ paid holiday entitlement carried forward must be paid at a worker’s normal rate of pay, while the rest can be paid at a basic rate of pay. The guidance says that the normal rate of pay must include payments, including commission payments, intrinsically linked to the performance of tasks that a worker is contractually obliged to carry out, as well as payments relating to professional or personal status relating to length of service, seniority, or professional qualifications. Payments, such as for overtime, which have been regularly paid to a worker in the 52 weeks preceding the calculation date, must also be included when calculating the normal rate of pay.

For holiday leave years beginning 1st April 2024, employers will be able to cover a worker’s holiday pay through including an additional amount in their payslips, instead of paying holiday pay when they take annual leave.  Rolled-up holiday pay was previously ruled unlawful by the European Court of Justice because of concerns that workers might be de-incentivised from taking annual leave.

The reforms now allow rolled-up holiday pay to be made, though it is not obligatory, and employers can choose not to implement this. If they do decide to implement rolled up holiday pay for existing workers, they will need to apply a variation to contractual terms for existing workers to amend their contract (with notice) and apply the new contractual terms for new irregular hours/part-year workers. There are concerns that employers who do chose to apply rolled up holiday pay may not comply with their duty of care to ensure workers are taking the required time off. Those employers are going to need to have robust and closely monitored leave arrangements to avoid those workers not taking appropriate time off.

It is well known the government has a goal of reducing net migration and in support of that, have introduced a number of immigration reforms. These immigration reforms hold significant implications for individuals, businesses, and families. To help businesses understand the swathe of reforms and the impact of them, we have set out a timeline of the main amendments made to the UK’s Immigration Rules so far this year as well as the scheduled implementation dates for forthcoming changes to the UK Immigration system during the first few months of 2024.

The key dates and relevant changes to the Immigration Rules to be aware of are follows:

1 January 2024: UK Student Visa rules amended to prevent most international students from being accompanied or joined by a dependent whilst studying in the UK

•  The new student dependent rules apply to students who applied after 3pm on 17
  July 2023 for a course of study commencing on or after 1 January 2024.  
• Under the new rules, a student who commences their studies on or after 1 January
  2024 may only bring dependents to the UK if they are either a full-time student on a PhD or doctorate degree or a research-based higher degree course that lasts 9 months or longer, or they are a government-sponsored student studying a course that lasts for more than 6 months.

31 January 2024: Permitted activities for Visitors expanded, right to work conditions for Visitors amended to allow remote working, Permitted Paid Engagement Visitor route merged into the Standard Visitor route and new Appendix Bereaved Partner, Appendix Victim of Domestic Abuse and Appendix Statelessness introduced

• The range of permitted activities for Visitors was expanded, with the aim of making it easier for Visitors to do business in the UK. Notably, the prohibition on BusinessVisitors working directly with clients for intra-corporate activities was removed (although client-facing activity must be incidental to the visitor’s employment abroad and should not amount to the offshoring of a project or service to their overseas employer) and scientists, researchers, and academics can now engage in research activities beyond independent research for individual purposes.
• The Permitted Paid Engagement (PPE) Visitor route was merged into the Standard Visitor route. This means that all visitors can now undertake permitted paid engagements without the need for a special visa.
• It’s crucial to note, however, that individuals intending to participate in a PPE must have arranged their activity before travelling to the UK. Additionally, the activity must be completed within 30 days of entry to the UK, even though the Visitor’s visa will be valid for 6 months.
• The newly introduced Appendix Bereaved Partner took the place of existing provisions for bereaved partners and their dependent children. Appendix Bereaved Partner includes provisions for dependent children of Bereaved Partners, recognising the interconnected nature of family units affected by bereavement.
• The Appendix Victim of Domestic Abuse replaced existing provisions for Victims of Domestic Abuse and their dependent children. Appendix Victim of Domestic Abuse allows victims of domestic abuse and their dependents to apply for entry clearance from outside the UK. This is particularly crucial for individuals who have been abandoned overseas as part of the domestic abuse they have endured.
• The Appendix Statelessness replaced existing provisions for Stateless Persons.

1 February 2024: Electronic travel authorisation (ETA) application process opened for nationals of Bahrain, Kuwait, Oman, the United Arab Emirates, Saudi Arabia, and Jordan

• Electronic Travel Authorisation (ETA) is a new requirement for passengers visiting or transiting through the UK who do not currently need a visa for short stays or who do not already have any other UK immigration status.
• Qatari nationals have needed to apply for a UK Electronic Travel Authorisation since 25 October 2023.
• The electronic travel authorisation (ETA) application process opened for the remaining nationals of the Gulf states (Bahrain, Kuwait, Oman, the United Arab Emirates and Saudi Arabia) and Jordan. Nationals of these countries will be required to hold a UK ETA in order to visit or transit the UK from 22 February 2024.
• Electronic Travel Authorisation will become mandatory for all other non-visa nationals before the end of 2024.

6 February 2024: Immigration Health Surcharge (IHS) will increase by 66%

The Immigration Health Surcharge is an upfront cost paid alongside the submission of (most) visa applications so that the individual is entitled to have full access to the National Health Service (NHS) whilst in the UK. There is no limit to how often a person can access the NHS. Additionally, there is no option to opt out of the Immigration Health Surcharge even if an applicant believes that they will not use the NHS or would prefer to pay for private health care.

• On 13 October 2023, the UK Government announced a substantial 66% increase in the Immigration Health Surcharge (IHS)
•  The Immigration Health Surcharge is increasing for students, student dependants, those applying for entry clearance or leave to remain under the Youth Mobility Scheme, and applications made by children under the age of 18 from £470 per year to £776 per year.
• For all other relevant immigration categories for entry clearance or leave to remain in respect of persons aged 18 years or over at the date of application the Immigration Health Surcharge is increasing from £624 per year to £1,035 per year.

13 February 2024: Fines for illegal working will triple under a new Civil Penalty regime

• Currently, the civil penalty for employing an illegal worker is a maximum of £15,000 per illegal worker, where this is the employer’s first offence. If the employer is a repeat offender, the maximum fine increases to £20,000 per illegal worker.
• The new civil penalty regime will increase the fine for employing an illegal worker to a maximum of £45,000 per illegal worker, for a first time offender. Repeat offenders will be subject to a maximum fine of £60,000 per illegal worker.

11 March 2024: Care workers (SOC code 6145) and senior care workers (SOC code 6146) will not be permitted to bring dependents to the UK and care homes in England will be required to be regulated by the Care Quality Commission (CQC) in order to sponsor migrants under the Health and Care Worker visa route

• The Health and Care Worker Visa is open to qualified doctors, nurses and other health and adult social care professionals who wish to undertake an eligible job with the NHS, an NHS supplier or in adult social care. Currently, all Health and Care Workers may be joined or accompanied by a dependent partner over the age of 18 and/or a dependent child under the age of 18.
• From 11 March 2024 care workers (SOC code 6145) and senior care workers (SOC code 6146) will not be permitted to bring dependents to the UK.
•  Care workers and senior care workers already in the Health and Care Worker route will be able to remain with their dependants, including extending, changing employer (within the above SOC codes) and settlement.​
• Where a care worker or senior care worker is in the route before the Immigration Rules change, but has not yet brought dependents, they will still be allowed to bring dependents during their sponsorship on the route.
• Additionally, from 11 March 2024, care homes in England will be required to be regulated by the Care Quality Commission (CQC) in order to sponsor migrants under the Health and Care Worker visa route.
• Care providers who were sponsoring workers in exclusively non-regulated activities (and therefore were not required to be registered with the CQC) before the rules change will be able to continue to sponsor these workers, including for extensions to their visa on those terms, but not hire new ones.
• These changes to the Health and Care Worker route will be brought in on 11 March 2024 via a Statement of Changes to the Immigration Rules that will be laid before Parliament on 19 February 2024.
• 14 March 2024: A new Statement of Changes to the Immigration Rules will be laid before Parliament which will replace the existing Shortage Occupation List (SOL) with a new Immigration Salary List
• A new Statement of Changes to the Immigration Rules will be laid before Parliament on 14 March which will replace the existing Shortage Occupation List (SOL) with a new Immigration Salary List.
• The new Immigration Salary List will remove the 20% going rate discount to the minimum salary for shortage occupation roles.
• This follows a recommendation from the Migration Advisory Committee (MAC), which will now advise the government on which occupations should be temporarily added to the new list.
• Employers should anticipate a reduction in the number of occupations on the list, potentially impacting recruitment strategies in specific industries.

4 April 2024: The minimum salary threshold for a Skilled Worker visa will rise from £26,200 to £38,700 per annum

• The minimum salary threshold for a Skilled Worker visa will rise from £26,200 to £38,700 per annum and individual occupation ‘going rate’ thresholds will rise in line with the median full-time wage for equivalent jobs in 2023.
• Those already on the Skilled Worker visa route before the Immigration Rules change will not be subject to the new threshold when they change employment, extend their stay, or settle in the UK. The Home Office will, however, expect their pay to progress at the same rate as resident workers when they next make an application to change employment, extend their stay, or settle.
• Those coming on the Health and Care Visa route will be exempt from the £38,700 salary threshold applicable to Skilled Workers, as will education workers in national pay-scale occupations.
• These changes to the Skilled Worker route will be brought in on 4 April 2024 via a Statement of Changes to the Immigration Rules that will be laid before Parliament
  on 14 March 2024.

6 April 2024: The requirement to renew Sponsor Licences will be removed

• The Home Office has recently announced that from 6 April 2024, the requirement to renew Sponsor Licences will be removed.
• At present, Sponsor Licences are valid for four years. If licence holders wish to keep their licence beyond the four years, they must make a paid renewal application.
• From 6 April 2024, Sponsor Licence holders will no longer need to make a renewal application or pay a renewal fee. Instead, the expiry date of all sponsor licences will automatically be extended to expire in 10 years’ time.
• This removal of the renewal requirement is being applied to all sponsor licences that are due to expire on or after 6 April 2024, and not only to new licences obtained after this date. The extension of the expiry date will be automatic, and Sponsors will not be required to take any action.

1 April 2024: The minimum income requirement for partners applying under Appendix FM will be increased from £18,600 to £29,000

• The minimum income requirement for partners applying under Appendix FM will increase from £18,600 to £29,000.
• Appendix FM is a UK immigration route for people seeking to enter or remain in the UK on the basis of their family life with either a British citizen, someone settled in the UK or has refugee status or humanitarian protection.
• Under Appendix FM, a ‘partner’ is someone who is the applicant’s spouse or civil partner, fiancé(e) or proposed civil partner, or if the couple are unmarried and have been cohabiting for at least two years prior to the date of the visa application.
• This change to the minimum income requirement for partners applying under Appendix FM will be brought in via a Statement of Changes to the Immigration Rules that will be laid before Parliament on 14 March 2024.
•  Individuals who are already on the five-year partner route before the minimum income requirement is increased on 11 April 2024 and who wish to apply to extend their stay or settle in the UK will continue to be assessed against the £18,600 income requirement and will not be required to meet the increased threshold of £29,000.
• Similarly, individuals who apply for a partner visa on the five-year partner route before the minimum income threshold is raised from £18,600 on 11 April 2024, will have their applications assessed against the current £18,600 income requirement and will not be required to meet the increased threshold of £29,000

The Government has now published draft legislation in the form of the Paternity Leave (Amendment) Regulations 2024. The new legislation will apply in all cases where the Expected Week of Childbirth (EWC) is on or after 6 th April 2024.

Employers should look at updating their Paternity Leave policy with the following changes accordingly:

Employees will be able to take their two-week paternity leave entitlement as two separate one-week blocks (rather than having to take just one week in total or two consecutive weeks).

Employees will be able to take paternity leave at any time in the 52 weeks after birth (rather than having to take leave in the 56 days following birth). Employees will only need to give 28 days’ notice of their intention to take paternity leave (reduced from the previous position that required notice to be given 15 weeks before the EWC.

These proposed changes are due to take effect at the same time as other family-friendly legal changes which is from 6 th April 2024. The other changes include the introduction of carer’s leave, changes to flexible working rights, and the extension of redundancy protection to include pregnancy, and a period of time following maternity, adoption and shared parental leave.

For more information and support with making changes to your organisation’s Paternity Leave or any of your other family-friendly policies, please contact Kingswood Group HR Solutions for a free, informal chat on 01245-204450 or email us on enquiries@kingswoodgroup.org

More new employment legislation coming our way in 2024 – what will that mean for employers? The government has announced draft legislation that will come into effect for most employers from 1st January 2024 although some employers will not need to act on the changes until 1st April to coincide with the start of their holiday leave year.

The new legislation seeks address concerns held by employers about a number of aspects of employment law, simplifying areas such as calculations for holiday entitlements those working irregular or part-time hours, and agency workers. Holiday entitlements and pay for irregular hours and part-year workers. The first significant change is the new method of holiday entitlement accrual for part-time and irregular hours workers. This follows confusion that arose from the Supreme Court’s decision in the Harpur Trust v Brazel case last year that resulted in part-year workers receiving more holiday entitlement than part-time workers who worked the same number of hours on an annual basis.

For those workers on irregular hours, part-time hours or agency workers, their holiday pay will be calculated at 12.07% of their pay and will be able to be paid at the same time as their ordinary pay and the amount of holiday pay will need to be itemised separately on their payslips. The reforms will also see the overturning of the 2006 European Court of Justice (ECJ) ruling that made rolled-up holiday pay for part-time workers and those who work irregular hours illegal. Rolled- up holiday pay is where employers pay workers a sum in addition to their normal hourly rate of pay to represent their holiday pay entitlement. Under the new legislation, rolled-up holiday pay will be allowed once again, but only for part-time workers, irregular hours workers and some agency workers.

It will not be allowed for full-time workers. TUPE Changes Another change will be to the Transfer of Undertakings Protection of Employment (TUPE) rights, which protect employees and their benefits when their employment transfers from one company to another (in part or in full). The changes with the TUPE regulations means that employers with fewer than 50 employees, and businesses of any size carrying out a small TUPE transfer of fewer than 10 employees, will be able to inform and consult directly with affected employees where there are no existing worker representatives in place.

Support and Guidance If you need any support or guidance with developing and implementing these changes – or any other changes – to your policies, procedures, and employment arrangements, please contact Kingswood Group. We will work with you to ensure you have fully compliant documents, policies, and procedures! For a free, no obligation conversation call us on 01245-204450 or email us on
HR@kingswoodgroup.org . We are here to help!