Employee Statutory Rates

Usually there’s an increase in employee statutory rates every year to stay in line with the consumer price index.  Until April 2017, these rates have been frozen since April 2015.

From April 2017, the new employee statutory rates are proposed to be:

• £113 per week from £112 for the Lower Earnings Limit.  This amount is the minimum rate employees need to be on the qualify for statutory benefits
• £140.98 per week SMP/SAP instead of the current remainder paid at £139.58 (or 90%) of the employee’s weekly pay – whichever is lower)
• £140.98 from £139.58 for SPP or (90%) of employees weekly pay, whichever is lowest
• £89.35 SSP, payable for a maximum 28 weeks

Wurkplace advises that employers should be using this information to prepare, by reviewing current pay practices and policies.  These new rates will have to be recorded/included in employment documentation such as contracts and handbooks.

Once the government has given final confirmation, Wurkplace will inform it’s readers.  To get a head start with updating and reviewing documentation, get a HR quick quote or call 0330 400 5490