EMPLOYMENT RIGHT

AMOUNT

COMMENTS

Compensatory Limits

The limit on a week’s pay for the calculation of redundancy and the basic award for unfair dismissal

£464

Maximum basic award for unfair dismissal and Statutory Redundancy Pay (30 weeks’ pay subject to the limit on a week’s pay)

£13,920

Maximum compensatory award for unfair dismissal

£76,574 or 52 weeks’ gross pay*

*52 weeks' gross pay for the purposes of the statutory cap excludes pension contributions, benefits-in-kind and discretionary bonuses.

Maximum award for wrongful dismissal (breach of contract) to be made by a tribunal

£25,000

If the claim is more than £25,000 it can be made through the county court or high court

Limit on guarantee payments during lay off or short time working

£25 per day

Family Friendly Payments

Statutory Maternity Pay (SMP)

First 6 weeks – 90% of an employee’s average weekly earnings.  The remaining 33 weeks at the Statutory rate or 90% of employee’s weekly earnings if this is lower.

£138.18

Statutory Adoption Pay (SAP)

Statutory rate or 90% of employee’s weekly earnings if this is lower for a maximum of 39 weeks

£138.18

Statutory Paternity Pay (SPP)

Statutory rate or 90% of employee’s weekly earnings if this is lower for a maximum of 1 or 2 weeks

£138.18

Additional Paternity Pay (APP) can be provided for a maximum of 26 weeks but only if the mother/co-adopter returns to work

Statutory Sick Pay

Statutory Sick Pay (SSP)

Paid for a maximum of 28 weeks if an employee has been absent from work for 4 days or more in a row including non working days

£87.55

National Minimum Wage

Current

From 1.10.2014

Workers aged 21 or over

£6.31 per hr

£6.50 per hr

Development Rate for workers aged 18-20

£5.03 per hr

£5.13 per hr

Young workers rate for workers aged 16-17

£3.72 per hr

£3.79 per hr

Apprentices under 19 or if over 19 on the first year of their Apprenticeship

£2.68 per hr

£2.73 per hr

Income Tax/Tax Bands

Personal allowance for people born after 5th April 1948

£10,000

The personal allowance reduces where the income is above £100,000 by £1 for every £2 of income above the £100,000 limit

Basic rate – 20%

£0 - £31865

The personal allowance is added on to this figure minus any benefit in kind payments etc.

Higher rate 40%

£31,866 - £150.000

The personal allowance is added on to this figure minus any benefit in kind payments etc.

Additional rate – 50%

0ver £150,000

National Insurance Contributions

Lower earnings limit primary class 1

£111 per week

Upper earnings limit primary class 1

£805 per week