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Following the government’s publication of the Good Work Plan, amendments have been made to Section 1 of the Employment Rights Act 1996 which impose several new obligations on employers in relation to written statements of particulars of employment.
What does this mean for you? I explain below what this means for employers in respect of those individuals starting employment on or after 6 April 2020 and for existing employees.
Up to 5 April 2020, employees were entitled to receive a written statement of their key terms of employment within 2 months of the date on which they started work.
From 6 April 2020, the following key changes came into force:
The new changes from 6 April 2020 only apply in relation to contracts which started on or after 6 April 2020. Despite this, existing employees and workers will be entitled to request a newly compliant contract of employment. As an employer, you will need to ensure that you provide this within one month of such a request. Also, it is worth bearing in mind that if there are any changes made to any of the new information required to be given as set out above or where an employee or worker is re-engaged, then an updated contract of employment will need to be provided.
Consequences of failing to comply with the new changes
If you fail to comply with the new rules, then an employee or worker will be able to bring a claim for two to four weeks’ pay. However, it is worth noting that this is not a stand-alone claim which can be brought by an employee or worker as it must be brought together with another claim e.g. unfair dismissal or unpaid wages.
What should you be doing now?
Existing contracts may not contain all the information which is required. This is therefore a good opportunity to review your contracts of employment and update where necessary. The team and I can help you with this. If you would like us to undertake a free initial review of your existing contract of employment, please email email@example.com.