Statutory rates for 2014/15: what we know and what we don’t
From 6 April 2014:
- statutory sick pay will increase to £87.55 (up from £86.70); and
- statutory maternity pay, adoption pay, and paternity pay will increase to £138.18 (up from £136.78).
The statutory limit on a week’s pay (used for calculating the basic award, statutory redundancy payments etc.) is currently £450. The rate for April 2014 – 2015 has not yet been confirmed.
The current maximum compensatory award for unfair dismissal is the lower of £74,200 or 52 weeks’ (actual) gross pay. Traditionally the statutory cap has been reviewed each February, however, the government decided last year to move the date of the change to 6 April. The government is not required to make an index-linked change where the power to vary the maximum has been exercised in the previous 12 months. As this was done in July 2013 (with the introduction of the new 52 week cap) it is possible that the maximum compensatory award will not be varied until April 2015. We’ll keep you updated.
The post Statutory rates for 2014/15: what we know and what we don’t appeared first on Brodies Blog.