The launch of the new Fair Work Agency (FWA) next April will see the introduction of a raft of new employment rights with businesses risking fines and other penalties if they do not comply, experts from Azets have warned.
“The creation of the FWA marks a step change in the government’s attitude towards proactive enforcement of employment rights” said Hannah Jane Dobbie, head of HR consultancy at Azets.
“Many of the areas the FWA will enforce, such as Statutory Sick Pay, statutory holiday entitlement, and agency worker protections, are areas in which employers should already be complying. The consequences of non-compliance will become more serious from the spring of next year.”
The FWA’s new powers include the ability to enforce employers to pay workers for holiday and statutory sick pay (SSP). The agency will also be able to issue notices of underpayment to employers if employees have not received the payments, which can be backdated up to six years and must be paid within 28 days of being issued.
It will also be able to investigate employers it believes are not complying with employment law and will be able to enter a business’ premises, interview staff and check documents, computers and equipment.
Julie Gunnell, associate director of payroll growth at Azets, said: “The Fair Work Agency will have the authority to impose financial penalties, publicly identify employers who fail to comply, and represent workers in employment tribunal proceedings.
“It signals a major shift...
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