Good Work Plan Reminder
As we start the New Year , I thought it would be a good time to remind you about two key changes that will be happening in April 2020, as an outcome of the ‘Good Work Plan’.
Written Statement of Employment (often contained in the Contract of Employment)
This change will require employers to issue the written statement of employment (normally part of the contract of employment) on the first day of work, rather than within two months.
It will also extend the right to a written statement to workers.
Comment: Practical HR have always recommended that the contract of employment (that would include the written statement) is issued before employment begins or at the very latest on the first day of employment.
If you do not currently do this, then you will need to review your current practices to ensure you have robust procedures in place to make sure you comply with this.
If you have ‘workers’, this would be a good time to make sure you have written agreements in place and if you do not, please contact us.
This could mean an increase in your administration processes, especially for those who have short term seasonal staff or casual workers.
Practical HR can provide support with the drafting of documentation and the issuing of documents to new employees. It may also be a good time to consider YourHR.space, which can provide considerable assistance with HR administration and even automate this process to ensure you are not in breach.
A further change relates to the calculation of a week’s pay for holiday pay purposes, where an employee or worker has variable pay. Currently holiday pay is based on the average pay for the 12 weeks before the holiday. This reference period will increase to 52 weeks (i.e. their average pay for the year).
Comment: You should take regular overtime or other regular payments into consideration when calculating holiday pay.
If you currently pay using an average of 12 weeks, you need to review your processes and adjust this to 52 weeks.This will mean a change to your contracts of employment if you have any employees who have variable pay.
How Can We Simplify These Changes?
If you use YourHR.space, and your contracts have been drafted by Practical HR, we will be able to automate the process for you with new functionality being developed for this purpose. Once set up, you will simply have to assign the type of contract (or contract category) you want to issue to the employee (literally a click of a button), and the document will automatically be produced, populating the document from the employee database. The employee can then access this by logging in and sign it electronically. A .pdf copy is then available from their area of the employee database.
If you feel that you need guidance or advice on this matter, please call Practical HR on 01702 216573 or email Paula on the above.