Awards, Wage and Benefit Rate Changes etc 2009

www.workrep.co.uk

 

Personal injury and injury to feelings awards arising from tortious acts (e.g. failure to make reasonable adjustments in a claim for disability discrimination ) are not taxable and are not subject to 'grossing up'.

But for the present this is only when the acts pre-date the termination of employment (Yorkshire Housing v Cuerden EAT 2010).

Pension and earnings loss awards will be grossed up by applying the appropriate marginal tax rates for each part of an award and not by applying the highest marginal tax rate on the entire sum.

No decision was made regarding the controversy in Orthet Ltd v Vince Cain [2004] IRLR 857 that held that awards for injury to feelings are never taxable notwithstanding the date when the discrimination occurred.


27/07/2010

The maximum compensatory award has been reduced


With effect from 1st February 2010 the employment tribunal maximum compensatory award will drop from £66,200 to £65,300.
19/12/09

Injury To Feelings Awards Increased


The EAT has ruled that the Vento damages bands will rise as follows (with immediate effect)
  • lower: from £5,000 to £6,000
  • middle: from £15,000 to £18,000
  • upper: from £25,000 to £30,000

29/09/09

Monies already paid not subject to uplift


A case in the EAT has decided that tribunal uplifts will discount moneys already paid to the claimant in anticipation of an award judgment. Only the outstanding sum will be subject to the uplift, not the whole award.
Although this case was decided according to the Employment Act 2002 provisions, the decision will apply under the 2008 Act.The same principle will apply to reductions in awards. Monies already paid will be disregarded when calculating a reduction.
Where dismissal is inevitable awards for loss of statutory rights will not be made. The case of Arrow & Sons v Onley [2009] UKEAT 0527_08 can be found: here
15/09/09

MED 3 Sicknotes Being Replaced By 'Fitnotes'


There is a consultation at the moment The Fit Notes haven't been finalised. The notes will probably be introduced in spring 2010.

It is intended that instead of the current 'fit / unfit' to work choice the new notes will be used to suggest how an unwell the worker is, and how he can be brought back to work.   More information  here

28/05/09

New Minimum Wage Rates


The government has accepted recommendations from the Low Pay Commission regarding increases in the National Minimum Wage rates. These will take effect in October.

For workers aged: 16 and 17 years the wage will rise from £3.53 to £3.57 an hour.
22 and over from £5.73 to £5.80 an hour.
For 18 to 21-year-olds £4.77 to £4.83.

Nearly one million people will benefit from October's increase.

12/05/09

Tips Are Not Wages


From 1st October 2009 restaurants and bars will be banned from using tips to top up the wages of staff paid less than the minimum wage.

Service charges, tips, gratuities and cover charges will be need to be paid as originally intended, in addition to the national minimum wage.

07/05/09

Redundancy Payments


The weekly maximum pay for reckoning statutory redundancy payments is increasing from £350 to £380 (the increase will apply to the basic award in unfair dismissal cases ). The maximum statutory redundancy payment will therefore rise from £10,500 to £11,400

22/04/09

Holiday and Maternity Pay


From today SMP, SSP and holiday entitlement are increasing.
SMP has increased to £123.06 and SSP is now £79.15.
Paid holiday entitlement is now 5.6 weeks (same as previously for a full-time worker - 20 days + 8 days bank holiday.
06/04/09

© 2005-2009 Workrep. All rights reserved      
Disclaimer
: articles and information published by WorkRep.co.uk are intended for general information purposes only.

News           Help WorkRep
Your web browser doesn't support frames