Thursday, 27 December 2012

New limits - this comes around quickly!

The new gross weekly pay limit and compensation cap, which will come into force on 1 February 2013, were announced last week.

The new gross weekly limit will be £450 (up from £430) and the new compensation cap will be £74,200 (up from £72,300).

The weekly pay limit applies to calculations of:
Statutory redundancy pay
Basic Award
Right to written particulars of employment
Right to be accompanied at a disciplinary hearing
Right to request flexible working
Award for failure by employer to comply with TUPE regulations
The limit does NOT apply to:
Rights during suspension
Right to written reasons for dismissal
in which cases the employee's actual gross weekly pay should be used in the calculation.