Employment spring 2023 update: News in brief

A quick round-up of recent employment law developments

New unfair dismissal rates

The Employment Rights (Increase of Limits) Order 2023 (SI 2023/318) revises compensation limits for certain tribunal awards and other statutory payments from 6 April 2023.

• The limit on a week’spay increases from £571 to £643.
• The maximum compensatory award for unfair dismissal increases from £93,878 to £105,707.
• The minimum basic award for certain unfair dismissals (including health and safety dismissals) increases from £6,959 to £7,836.

New guidance on gender pay gap reporting

The Government Equalities Office (GEO) has published new statutory guidance for employers on gender pay gap reporting to, it says, make it clearer and simpler, to locate it in one place, and to remove any unnecessary duplication and repetition. There have been no changes to factual content.

Ethnicity pay gap reporting guidance published

The government has published Guidance for employers on how to measure, report on and address any ethnicity pay differences within their workforce. It includes advice on:

• collecting ethnicity pay data for employees;
• how to consider data issues such as confidentiality, aggregating ethnic groups and the location of employees;
• the recommended calculations and step by step instructions on how to do them;
• reporting the findings;
• further analysis that may be needed to understand the underlying causes of any disparities; and
• the importance of taking an evidence-based approach towards actions.

New Acas guidance on reasonable adjustments for mental health at work

Acas has published new Guidance on reasonable adjustments for mental health at work for employers and workers, in conjunction with Affinity Health at Work. The guidance covers:

• what reasonable adjustments for mental health are;
• examples of reasonable adjustments for mental health;
• requesting reasonable adjustments for mental health;
• responding to reasonable adjustments for mental health requests;
• managing employees with reasonable adjustments for mental health; and
• reviewing policies with mental health in mind.

Changes to immigration rules

On 9 March 2023, the government published a Statement of changes to the immigration rules: HC 1160. The statement:

• replaces the current Innovator and Start-up routes with a new Innovator Founder route;
• introduces a new Electronic Travel Authorisation scheme for third party nationals intending to visit the UK who do not currently need a visa;
• increases the minimum salary requirements for skilled workers; and
• Changes the evidential requirements for applications under the Global Talent route, following feedback from the relevant endorsing bodies.

Please see our Immigration Update for more information.

New bands for injury to feelings awards

From 6 April 2023, new bands will apply for employment tribunal awards for injury to feelings. These are:

• a lower band of £1,100 to £11,200 for less serious cases;

• a middle band of £11,200 to £33,700 for cases which do not merit an award in the upper band;
• an upper band of £33,700 to £56,200 for the most serious cases; and
• amounts in excess of £56,200 can be awarded in the most exceptional cases.