New law introduced in May under the Small Business, Enterprise and Employment Act 2015

The first commencement order made under the Small Business, Enterprise and Employment Act 2015 has been published. From 26th May 2015, this brought into effect the following:

Section 153 which inserts a new section 27A into the Employment Rights Act 1996 to prohibit clauses that prevent exclusivity in zero hours contracts and a new section 27B which gives the Secretary of State power to make further provision dealing with the anti-avoidance aspects.

Section 152 which inserts section 19A into the National Minimum Wage Act 1998, to provide that the financial penalty in a notice of underpayment will be set at 100% of the arrears owed to each worker to who the notice relates, subject to a maximum of £20,000 per worker. Previously the £20000 limit applied to each notice of underpayment.

Section 149 which inserts section 49B in the ERA 1996 to provide the Secretary of State with a power through regulations to prohibit defined NHS employers from discriminating against a job applicant because it appears to the NHS employer that the applicant has made a protected disclosure.

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