The Chancellor Rishi Sunak announced measures in the summer statement to help the UK recover from the effects of the coronavirus.Below we have put together a summarised brief of the announcements.Jobs Retention Bonus: If an employer brings back a furloughed employee and keeps them in the job to January, then the Government will pay a £1,000 bonus per employee. Sunak stated, "It's vital people aren't just returning for the sake of it - they need to be doing decent work.”For businesses … [Read more...]
EU Settlement Scheme Applications: Important Message About COVID-19
The EU Settlement Scheme continues to perform well and more than 3 million have already been granted status with more than a year left to go until the deadline for applications.While applications continue to be processed, during this challenging time they will take longer than usual. In addition, in line with the latest Public Health England advice some of our support services and application routes have temporarily changed. Please find an outline of these changes below. This situation is … [Read more...]
COVID-19: Changes to standard and enhanced ID checking guidelines
Due to current measures that have been put in place as a result of the coronavirus outbreak, we’re aware that organisations are having difficulty following the DBS ID checking guidance.Currently, when validating ID documents, it is best practice to carry the examination out face-to-face with a live video link as an alternative method. Under the current guidance, the ID checker must be in physical possession of the original documents so they can be checked for indicators of fraud.As the … [Read more...]
Off payroll working rules: The conclusions
For the last 10 years, the government have taken various steps to improve the effectiveness of the IR35 rules, with limited success. In April 2017 the government reformed the public sector rules which meant the responsibility to determine employment status changed from the contractor to the organisation whom they engaged with. This was put in place to increase compliance with the existing rules and not introduce a new tax liability.The government recognised that shifting responsibility is a … [Read more...]
Are you calculating holiday pay at 12.07%? If so, you need to read this!
The position regarding holiday entitlement for workers with varying work patterns (particularly those who don’t work every week) was considered by the Court of Appeal in the recent case of Harpur Trust v BrazelMs Brazel is a clarinet and saxophone teacher, she worked at schools providing individual lessons to pupils. Her average working week was between 10 – 15 hours and paid by the hour and did not work during the school holidays. She was required to take her holiday entitlement during the … [Read more...]
Naming employers who fail to pay minimum wage to be resumed under revamped rules
Businesses that fail to pay their workers the National Minimum Wage or National Living Wage will continue to be publicly named by the government, following a review of the scheme. The naming scheme will resume calling out businesses failing to pay their workers the National Minimum Wage, while increasing support for employers to comply with NMW legislation. The changes, which will see naming rounds occur more often, will enhance the effectiveness of the … [Read more...]
Why recruitment agencies are outsourcing their payroll
It has never been a better time to be a freelance contract worker within the UK, growing numbers of agencies are becoming more and more reactive to the countries growing demand for a more flexible workforce. We have seen over a 40% growth in our business each year for the past 2 years, which is a clear sign of a change in which hirers are addressing their recruitment needs. With growth, comes further burdens to continue to grow unless processes are in place to support these … [Read more...]
HMRC announces change to the off-payroll working rules
Changes to the operation of the off-payroll working rules will only apply to payments made for services provided on or after 6 April 2020, HMRC has announced today ahead of the publication of the government’s review.The formal publication of a review into the implementation of changes to the off-payroll working rules is due to conclude in February.A common issue raised over the course of the review has been businesses’ concerns over what payments the rules apply to and from when. The … [Read more...]
Off- Payroll Reforms 2020
Major reforms to off-payroll (IR35) rules within the Private Sector are scheduled to take effect from April 2020.This will mean that the responsibility will be switched from many contractors to the end client. Their IR35 status of being inside or outside will have significant affects.The rules are not exactly straight forward but it is important to understand what they will mean to your agency as well as your end clients and contractors, so that you can make an informed decision about … [Read more...]
IR35 Guidance – April 2020 changes to off-payroll working for clients
Overview Off-payroll working rules change on 6 April 2020 and are applied differently. From this date, all public authorities and medium and large sized clients will be responsible for deciding the employment status of workers. Who the rules apply to Some rules already apply to all public sector clients, but from 6 April 2020 medium and large-sized private sector clients also need to apply them. The private sector includes third sector organisations, such as some charities.The rules apply … [Read more...]