Posted on: 30 May, 17
Employers with more than 250 staff are now required by law to report gender pay gaps, following the introduction of new legislation.
Employers must publish the following figures by April 2018:
The requirements will allow employers to identify the gaps within their business and take action to close any gender pay gap.
According to government figures, the UK gender pay gap is at a record low of 18.1%. The government estimates that eliminating the gap could add £150 billion to annual GDP by 2025.
There are 3steps to gender pay gap reporting:
You will need data on employees, their full pay and bonuses to calculate your figures. Figures are based on a specific date each year which the government calls a 'snapshot date'. For public sector organisations this is 31 March and 5 April for businesses and charities.
Gender pay gap needs to be calculated in hourly pay. We can advise on how to do this.
Figures must be published on your website and the government’s website within a year of your organisation’s snapshot date.
Businesses and charities have to publish a written statement signed by an 'appropriate person'. The definition of an appropriate person varies according to the type of employer. For a corporate body (other than limited liability partnership) this is a director or equivalent.
Talk to us about your payroll and reporting obligations.
A lack of digital skills is affecting business productivity and growth, according to the British Chambers of Commerce (BCC).
More than 4 in 5 (84%) firms say digital and IT skills are more important than 2 years ago, however 76% say they are facing a digital skill shortage.
Adverse effects of skills shortages include:
Barriers to solving the problem include:
Adam Marshall, director general of the BCC, said:
"The evidence is clear: better digital skills make firms more productive and a lack of digital skills holds them back.
"Businesses themselves need to do a lot more to tackle the digital skills shortages they face and their leaders need to be alive to the fact that a failure to tackle this issue will have an impact on their bottom line.
"Too many firms are stuck in an unproductive cycle, where the failure to take action has serious consequences."
The government has created a digital strategy designed to help people get the skills businesses need and help business exploit digital opportunities. The strategy aims to give training to 2.5 million people by 2020. For businesses, the plan is to create 5 international hubs in emerging markets to connect UK companies and local tech firms.
More than half of adults don't understand ISA rules, research by Opinium has found.
ISA rules allow people to split the allowance between different types of ISA. For example, saving £10,000 into a cash ISA and £5,000 into a stocks and shares ISA and £5,000 into an innovative finance ISA. Lifetime ISAs and Help to Buy ISA have their own annual limits – both of which count towards the £20,000 threshold.
|Type of ISA||Annual limit|
|Stocks and shares||£20,000|
|Help to Buy||£200 per month plus an extra £1,000 in the first month|
Some ISAs are flexible which means which means you can take money out and put it back in during the same tax year without it affecting your allowance.
You can transfer savings between providers and into different types of ISA. However, if you want to transfer any money deposited in the current tax year you must transfer it all.
Talk to us about tax and ISAs.
Important changes to public sector contractors working under IR35 legislation have taken effect for 2017/18.
Individuals who work through intermediaries, such as personal service companies, are no longer subject to IR35 rules if they work in the public sector.
Public sector organisations or agencies paying off-payroll workers are now responsible for deciding whether the work falls within IR35. They must deduct income tax and national insurance (NI) if they deem the worker an employee within IR35.
Under previous rules, intermediaries were responsible for calculating and paying the contractor’s income tax and NI owed to HMRC.
The new rules apply to any payments made on or after 6 April 2017, including payments made for contracts entered into before this date.
These changes apply to the following:
Contractors working with any of the following public sector organisations will no longer have their IR35 status determined by their intermediary:
Contact us to discuss how these changes may affect you and your business.
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