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Key 2022 employment law and HR updates

Key 2022 employment law and HR updates

2022 is set to be another busy year for key updates and changes to Employment Law, including the introduction of the long-waited ‘Employment Bill’ – which is set to be the biggest review of workplace employment rights in over 20 years. FIS Associate Member Citation has put together an exclusive guide, including the Employment Bill, backdated holiday pay for self-employed workers, and the end of self-isolation.

Download your copy at https://tinyurl.com/fiselupdate22

FIS member benefit
If you’d like to chat about how Citation can help with the HR and Health & Safety side of your business, just give them a call on 0345 844 1111, or fill in their call-back form and they’ll get right back to you. Please quote ‘The Finishes and Interiors Sector’ when enquiring to access your member benefit and preferential rates.

Webinar: Employment Law update – key changes for 2022

Citation is also hosting a free 60-minute webinar to provide insight into updates already in effect that may have flown under the radar following the pandemic, to recent and upcoming changes that businesses owners need to be aware of and prepare for.

Join them to discuss:

  • The Good Work Plan – key changes to Employment Law you need to know about
  • Updates and considerations for 2022 – the new employment bill, holiday pay, flexible working, the Equality Act and Right to Work checks
  • COVID-19 case law – the lessons to be learned from how tribunals have approached these cases

The session will provide insightful advice from Citation’s experts on how to best prepare for the key Employment Law changes in 2022.

Legislation and tax changes to look out for in April

Legislation and tax changes to look out for in April

April sees a number of legislative and tax changes come into effect, we’ve included details in below to remind members and ensure they are complying.

Minimum wage rates
From 1 April, the National Living Wage will increase to £9.50 per hour, whilst the National Minimum Wage will rise to £9.18 for 21‐22 year olds, £6.83 for 18‐20 year olds, and £4.81 for 16‐17 year olds. The Apprentice Rate will also increase to £4.81.

End of Red Diesel rebate
From 1 April the entitlement to use rebated red diesel will be removed from most sectors, including construction, which means it will be illegal to put red diesel into the tank of a vehicle or machine being used for construction work. If HMRC finds traces of red diesel in such a vehicle or machine, it will ask for evidence to demonstrate that it was put in before the rules changed and is still being used up. HMRC has confirmed it will take a pragmatic approach to enforcement in this situation but can seize the vehicle or machine and issue a fine of £250. To help members manage this significant change, Build UK has published a series of Frequently Asked Questions covering the transition from red to white diesel which includes a checklist of the steps to take.

New Plastic Packaging Tax
The Plastic Packaging Tax comes into force on 1 April 2022 and will be charged at a rate of £200 per tonne. The CPA has produced a briefing paper on the effects of this new tax.

Gender pay gap deadline
Companies with 250 employees or more have until Monday 4 April to report their gender pay gap information for 2021/22. Employers that fail to report on time or report inaccurate data via the gender pay gap service could face enforcement action.

CLC guides firms on impacts of Ukraine crisis

CLC guides firms on impacts of Ukraine crisis

The Construction Leadership Council has published a document intended to support UK firms respond to the impacts of the current crisis in Ukraine.

Companies from across UK construction have reported emerging challenges that have arisen because of the conflict, including escalation in costs for materials and energy.

In response, the CLC has drawn together Industry response to the Ukraine Crisis. Guidance Note 1, which provides expert guidance to outline the practical steps that all parts of the industry can take to mitigate the market impacts.

As with its response to the Covid crisis, the CLC guidance reminds of the importance of early engagement and collaboration to secure both existing and planned projects. It also provides dedicated checklists for different types of organisation including clients, main contractors and specialists.

Arcadis partner and CLC member Simon Rawlinson said:

“We recognise that many businesses will be concerned about how the current situation in Ukraine will impact upon their company and the work that they do. The CLC hopes to help companies navigate through these current challenges with guidance and points to think about, supporting firms in what could be a challenging period for the sector.”

You can download the guidance note here.

Covid-19 – stay at home guidance to be removed

Covid-19 – stay at home guidance to be removed

From Friday 1 April, the Government guidance to stay at home for five days following a positive COVID‐19 test will be removed, along with the Working Safely During Coronavirus guidance and the health and safety requirement for employers to explicitly consider COVID‐19 in their risk assessments. As a result, the Build UK COVID‐19 flowchart will be withdrawn and the Site Operating Procedures and the Use of Face Coverings in Construction will remain available as reference documents only from 1 April.

The Coronavirus Statutory Sick Pay Rebate Scheme has now closed, and the deadline for submitting final claims is today at 11.59pm. Government guidance on travel to the UK has also been updated and people are no longer required to take any COVID‐19 tests or fill in a passenger locator form when arriving from overseas.

Prompt payment threshold to increase from 1 April

Prompt payment threshold to increase from 1 April

From next Friday 1 April, the prompt payment threshold will increase for suppliers bidding for Government contracts above £5 million per annum. In accordance with the updated Procurement Policy Note (PPN) 08/21, companies will be required to show that they pay 90% of invoices within 60 days and have an action plan in place to achieve a standard of 95% in future, otherwise they risk being prevented from bidding.

On average, Build UK Contractor members pay 95% of their invoices within 60 days, and the payment performance table shows the percentage of invoices paid within 60 days for more than 100 of the industry’s largest companies.

Potential economic impacts of the Ukraine invasion

Potential economic impacts of the Ukraine invasion

There remain considerable uncertainties regarding the economic impacts of Russia’s invasion of Ukraine as well as the effects of tightening sanctions on Russia.

Whilst demand in the UK economy and construction currently remains robust, strengthening supply chain constraints and higher inflation will inevitably hit growth.

The extent to which this occurs will be dependent on the extent of the conflict and markets’ uncertainty surrounding its impacts, the duration of the conflict and the length of time at which energy costs remain at post-financial crisis peak levels.

This guidance note from the Construction Products Association looks at the potential ramifications on the construction supply chain.