THE FACTS
The following annual changes in rates and limits will take effect this month in Great Britain.
|
RATE/LIMIT |
OLD RATE |
NEW RATE |
DATE OF CHANGE |
|
Limit on a week’s pay |
£571 |
£643 |
6 April 2023 |
|
Maximum statutory redundancy pay |
£17,130 |
£19,290 |
6 April 2023 |
|
Maximum basic award for unfair dismissal |
£17,130 |
£19,290 |
6 April 2023 |
|
Maximum compensatory award for unfair dismissal |
£93,878 |
£105,707 |
6 April 2023 |
|
Statutory sick pay weekly rate |
£99.35 |
£109.40 |
10 April 2023 |
|
Statutory maternity, paternity, shared parental and adoption pay weekly rate |
£156.66 |
£172.48 |
10 April 2023 |
|
National Minimum Wage |
|
|
1 April 2023 |
|
Ø Age 23 and over |
£9.50 |
£10.42 |
|
|
Ø Age 21-22 |
£9.18 |
£10.18 |
|
|
Ø Age 18-20 |
£6.83 |
£7.49 |
|
|
Ø Age 16-17 |
£4.81 |
£5.28 |
|
|
Ø Apprentice rate |
£4.81 |
£5.28 |
WHAT DOES THIS MEAN FOR EMPLOYERS?
For the first time, the maximum compensatory award in employment tribunal claims has risen to above £100,000. This is a significant increase, driven by inflation, and should be noted by employers facing unfair dismissal claims this year.
Employers should factor the increases in rates into workforce planning.
