Employment Law FAQs

Common statutory terms and conditions which apply within the UK

*Entitlements set out on this page are believed to be correct at time of publication, but should not be relied upon for legal purposes. If you consider that you have an employment law issue, legal advice should be taken on your particular circumstances.

What is the minimum wage?

The minimum wage for an adult aged between 21 and 24 inclusive is £7.70 per hour. Lower rates apply for younger workers, namely £6.15 for workers aged 18-20 inclusive and £4.35 for those under 18 but above compulsory school leaving age. Apprentices are entitled to at least £3.90 per hour.

Workers aged 25 and over are entitled to the National Living Wage.  For workers aged 25 and over their current mimimum pay entitlement is therefore £8.21 per hour.

How is a redundancy payment calculated?

Redundancy pay is calculated by year of service. Count back in whole years from date of dismissal. For years the employee was aged 41 or over, they get 1.5 week’s pay per full year. For years that they were between 22 and 40 inclusive, they get 1 week’s pay per full year. For years that they were 21 or under, they get 0.5 weeks of service per year. The week’s pay is subject to a statutory cap, which in 2019 is £525, and to a maximum of 20 years’ service.

When do employees get unfair dismissal rights?

Employees get unfair dismissal rights after two years. However, some forms of dismissal are automatically unfair and there is no threshold service requirement; employees can claim them from day 1. These include dismissal for whistleblowing or raising health and safety concerns; or for trade union related reasons, and a number of others.

How many holidays is an employee entitled to?

The contract of employment should set out in writing how many days an employee is entitled to. If it does not, the employee can ask for a statement in writing.

The Working Time Regulations require that workers be given at least 5.6 weeks per year, which for a 5 day a week full time worker, works out to 28 days. The Working Time Regulations minimum is inclusive of public holidays. A contractual entitlement can be higher than, but not lower than, the statutory minimum.

What is the maternity leave and pay entitlement?

All employees on maternity leave are entitled to 52 weeks of maternity leave regardless of service and 39 weeks of statutory maternity pay, so long as you have 26 weeks of service by the 15th week before the expected date of childbirth. Statutory maternity pay is 90% of contractual pay for the first six weeks, and £148.68 for the remaining 33 weeks.