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  • News in Brief – August 2022

News in Brief – August 2022

We round up the latest employment news.

COVID-19: one-in-25 people currently infected

Although there’s been a week-on-week decline in the estimated number of people with COVID-19, numbers are still high. In the week ending Friday 5 August 2022, the percentage of the population living in private households who had the virus was:

  • 3.86% in England (one-in-25 people)
  • 3.58%% in Wales (one-in-30 people)
  • 5.98% in Northern Ireland (one-in-17 people)
  • 4.95% in Scotland (one-in-20 people).

Unions challenge new legislation allowing agency workers to cover striking staff

Twelve major trade unions have instructed solicitors to start proceedings to judicially review new regulations which allow employers to use agency workers to fill staffing gaps caused by industrial action. The unions allege that the regulations breach Article 11 of the European Convention on Human Rights and the EU-UK Trade and Cooperation Agreement, which commits the UK to respecting, promoting and implementing internationally recognised core labour standards, including those relating to freedom of association and the recognition of the right to collective bargaining.

Miscarriage policies

Around one-in-eight pregnancies end in miscarriage according to the NHS. The Miscarriage Association wants discussions around miscarriage to be “less taboo” and for women to get the support they need. 

It has a written a policy which is free to download (and provides links to other published policies) to help organisations support staff members during this time. 

New data on working habits of parents with dependent children

The Office for National Statistics (ONS) has published data outlining employment rates and practices of people with dependent children using survey information from April 2021 to June 2021. 

The main findings of the survey include that:

  • 75.6% of mothers and 92.1% of fathers were in work (an increase from 66.5% and 89.6% respectively in 2020)
  • It’s more common for both parents to be employed in full-time work rather than one partner working part-time than it was in 2020
  • 57.7% of families with one child had both parents working full-time, compared with 39.5% of families with three or more children. 

The ONS data may be of interest to employers when considering family friendly workplace policies, flexible working arrangements (e.g. term-time working) and whether any working practices may be indirectly discriminatory on grounds of sex.

HMRC has received almost 14,000 whistleblowing complaints about furlough fraud

In February 2022, the Public Accounts Committee revealed that around 8.7% of money distributed under the furlough scheme (amounting to £5.3 billion) was lost to fraud and error.  

HMRC has made public the names of employers that have claimed furlough and is encouraging employees to report misuse via its digital reporting service. A recent survey indicated that around 14,000 complaints have already been made to HMRC from employees.

Directors or business owners found guilty of furlough fraud can face significant penalties, including being made personally liable to repay the overclaimed furlough funds and custodial sentences.

Government responds to report on lessons learned from IR35 reforms

The Public Accounts Committee has published a report setting out the lessons learned from implementing IR35. The government has accepted that HMRC need to undertake the following recommendations:

  1. Develop robust estimates of non-compliance in the public and private sectors
  2. Ensure that there’s a fast and independent process for contractors to resolve disputes over status
  3. Publish specific research into the impact of the reforms on contractors and labour markets and ensure that it’s not adversely affecting employment opportunities
  4. Proactively identify and work with sectors that have been particularly affected by the legislation and make it easier for them to comply
  5. Produce a cost benefit analysis of the reforms
  6. Review how the system is working and whether it can be made more efficient and effective.

Recommendations 1-5 have a target implementation date of December 2023.

New consultation on public sector exit payments

In 2020, the government introduced legislation which imposed a £95,000 cap on the amount public sector bodies can pay to an employee when their employment ends. However it led to, what the Treasury referred to, as “unintended consequences” and the legislation was revoked a few months later.

The government is still keen to restrict these payments and has launched a further consultation. It intends to introduce a new requirement for some exit payments to be approved by Secretaries of State.

The consultation ends on Monday 17 October 2022.

Office of Tax Simplification reviewing tax implications of hybrid and distance working

The Office of Tax Simplification has published a note setting out what it will look at as part of its review into the tax implications of hybrid and distance working. It will focus on arrangements which involve employees working across borders, including remote working within the UK.

Read more - August 2022

  • Holiday entitlement and pay of term-time and other part-year workers: top 10 questions answered
  • Can staff express gender critical beliefs if they upset or conflict with the views of their colleagues?
  • 80% work for 100% pay: what you need to know about the four-day working week
  • What can employers learn from the latest case on gender-critical discrimination?
  • Employment legislation update
  • Airport chaos: what options do employers have if holiday plans go awry?

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