April 2025 Employment Law Updates

Alex Russell
Apr 23
2 min read

April 2025 has brought significant changes to UK employment law, impacting wages, benefits, and worker rights.

1. National Minimum Wage Increases

Effective from 1 April 2025, the National Minimum Wage rates have been adjusted as follows:

Ages 21 and over: £12.21 per hour (previously £11.44)
Ages 18–20: £10.00 per hour (previously £8.60)
Ages 16–17 and Apprentices: £7.55 per hour

These increases aim to address the rising cost of living and inflation trends.

2. Statutory Pay and Compensation Limits

From 6 April 2025, several statutory payments and compensation limits have been updated:

Statutory Sick Pay (SSP): Increased to £118.75 per week.
Family-related pay (e.g., maternity, paternity, adoption): Increased to £187.18 per week.
Lower earnings limit for eligibility: Raised from £123 to £125 per week.
Maximum compensatory award for unfair dismissal: Increased to £118,223.
Limit on a week's pay (for redundancy calculations): Increased to £719.

These adjustments reflect the government's commitment to supporting workers during critical life events.

3. Introduction of Neonatal Care Leave and Pay

From 6 April 2025, eligible employees can take up to 12 weeks of neonatal care leave if their baby requires hospital care. Statutory pay is set at £187.18 per week, aligning with other family-related payments.

4. Employment Rights Bill (Pending Legislation)

The proposed Employment Rights Bill includes:

Day-one rights for unfair dismissal (subject to a 90-day probation period).
Restrictions on 'fire and rehire' practices.
Guaranteed hours for zero-hours contract workers.
Enhanced trade union powers.

While not yet law, HR professionals should monitor developments closely.

5. Supreme Court Ruling on Legal Definition of Womanhood

A recent UK Supreme Court ruling determined that, under the Equality Act 2010, the legal definition of a woman is based on biological sex. This decision has implications for policies in sports, healthcare, and public services, affecting access to single-sex spaces and accommodations.

These updates underscore the evolving landscape of UK employment law. HR consultancies play a crucial role in helping businesses navigate these changes, ensuring compliance and fostering positive workplace environments. If you need help with any of these changes please contact us by emailing the team at hello@ricohr.co.uk.