HR Update - February 2021
Government's Kickstart SchemeIn September last year, the Government launched a new scheme to help young people into work called the 'Kickstart' scheme which provides funding to employers to create job placements for 16 to 24 year olds on Universal Credit and who are at risk of long term unemployment. Employers of all sizes can apply for funding which covers:
- 100% of the national minimum wage (or the national living wage) depending on the age of the participant) for 25 hours per week for a total of 6 months
- associated employer National Insurance contributions
- employer minimum automatic enrolment contributions
Further funding is also available for training and support so that young people on the scheme can get a job in the future. More information can be accessed here:
- https://www.gov.uk/guidance/apply-for-a-kickstart-scheme-grant-29-or-less-job-placements
- https://www.coventry.gov.uk/info/153/employment_support/1881/employer_hub/4
The Government published their Covid-19 Secure Guidelines in May 2020 which were applicable for eight different types of workplaces and which were designed to support employers with ensuring their workplaces were safe for employees to return to work, following last year's first national lockdown.
On Friday 29 January 2021 the BBC reported that Public Health England (PHE) figures, obtained via a Freedom of Information request by the '5 Live' investigation team, suggested that offices had more outbreaks of Covid-19, in comparison to other workplaces. The data showed there were more than 500 outbreaks, or suspected outbreaks, in offices in the second half of 2020 - more than in supermarkets, construction sites, warehouses, restaurants and cafes combined. In addition, the BBC reported that the Health and Safety Executive (HSE) received nearly 4000 Covid-related complaints about workplaces in January.
The current lockdown rules for England are that 'you may only leave your home for work if you cannot reasonably work from home'. Professor Cath Noakes, who sits on the government's Scientific Advisory Group for Emergencies (Sage) committee, said poorly ventilated offices could increase the chances of contracting Covid-19, from tiny airborne particles by up to 70%. More information can be accessed here:
- http://hasslefreehr.co.uk/wp-content/uploads/2021/01/Workplace-Infection-Prevention-and-Control-Policy.docx
- http://hasslefreehr.co.uk/wp-content/uploads/2021/01/COVID19_Guidance_Employers_and_businesses_.pdf
On 18 March 2020, it was announced that changes to the IR35 rules for the private sector, would be postponed until April 2021, as a result of the 2020 Coronavirus pandemic. The Government have now confirmed that these changes (which came into force in the public sector in 2017) will come into effect for the private sector, on 6 April 2021, despite concerns expressed during a Government review.
It will mean that private sector companies (clients) who have workers (contractors) who provide their services through a private limited company (or other intermediary such and an agency) will be responsible for determining the status of the worker i.e. are they really 'self-employed' or are they 'employed', based upon the HMRC 'off payroll working rules'. The HMRC tool to help clients determine the status of their worker can be accessed here: If it is determined that the worker's status is that of an 'employee' rather than 'self-employed' then the client is responsible for issuing a 'Status Determination Statement (SDS)' and the worker will be 'employed' for the purpose of the services provided, and the client will be required to deduct tax and national insurance before the workers fee is paid to them. More information can be accessed here:
- https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/928805/Contractor_flowchart_off-payroll_working_IR35.pdf
- https://www.gov.uk/guidance/understanding-off-payroll-working-ir35
If you have any queries relating to the content of this newsletter, or any other HR related topic, please don’t hesitate to contact us via [email protected].