Step 1: Statement of core terms for the Employment (Miscellaneous Provisions) Act 2018

The Employment (Miscellaneous Provisions) Act 2018 is one of the most significant pieces of employment legislation in a generation.

The government’s key objective in drafting it is to improve the security and predictability of working hours for employees on insecure contracts. It also protects those working variable hours.

Whether it’ll be effective in achieving this aim in a rapidly changing labour market we will see.

In the meantime, the Act imposes a range of new employment law compliance requirements on your business.

To help you adapt to these new regulation, we have a series of guides available. In them, we’ll take a look at practical steps you should take as an employer to ensure they remain on the right side of the new law.     

But, before we start, a quick reminder the Act will come into effect from 1^st March 2019.

Develop a Statement of Core Terms

You need to provide new and existing employees with a statement of core terms. Failure to comply with this new provision attracts criminal liability.

If you fail to provide your staff members with the five core terms (which are detailed further below) in writing within one month of employment starting, you could face criminal sanctions.

This can include 12 months’ imprisonment on summary conviction.

As a result, the first step we recommend you take is in developing a template document setting out the five key terms of employment. As we mentioned above, you should provide this to new and existing employees.

When the law comes into effect, you will be required to provide the following five key terms of employment to employees within five days of the start of employment: 

1. The full name of the employer and employee.
2. The address of the employer.
3. The expected duration of the contract (where the contract is temporary or fixed-term).
4. The rate or method of calculating pay.
5. What the employer reasonably expects the normal length of the employee’s working day and week will be.

Practical steps to take

Along with issuing the core terms, you should also take other steps to complement the process—this will ensure a smooth transition into the new regulations.

So here’s another quick five step procedure we recommend you follow:

1. Create a template document which sets out the five key terms set out above.
2. Issue every new employee with an offer letter which contains the five core terms before the new employee takes up employment.
3. Ask the staff member to provide a signed copy of the letter on their first day of employment. This approach is a straightforward way of ensuring compliance with the requirement to provide the five core terms in writing.
4. Adopt a practice (if not already in place) of issuing terms and conditions of employment to all new employees before they start work.
5. Provide all existing employees with a statement of the five key terms of employment.

You will also need to amend your employment documentation [link to second piece].

Looking for expert guidance?

To find out more about how to comply with these new employment law requirements, call our 24-hour advice line on 1890 252 923.