An Employer of Record (EOR) plays a vital role in managing employment responsibilities in the United Kingdom (UK), including England, Scotland, Wales, and Northern Ireland. Often referred to as a Global Professional Employer Organization (Global PEO), the EOR ensures legal compliance and facilitates various aspects of employment. This includes guaranteeing that employees adhere to local labor laws and regulations, overseeing critical tasks such as payroll processing, tax compliance, benefits mandated by law, and the creation of employment contracts.
The Employer of Record (EOR) in the UK takes on several crucial responsibilities, including:
- Ensuring strict adherence to the country’s employment laws.
- Managing the intricacies of local payroll procedures.
- Handling the filing of employment-related taxes and essential documentation.
- Providing employees with accurate and timely payslips.
- Disbursing employee salary payments promptly.
Simplify your global expansion endeavors with our Global PEO services, offering a hassle-free solution without the need for establishing a legal entity. Mercans serves as your trusted Employer of Record (EOR) in the United Kingdom, guaranteeing legal compliance, intellectual property protection, and allowing your business to concentrate on its core operations. Our services facilitate seamless global mobility and work visas while enabling the recruitment of a diverse and efficient global workforce.
Things you need to know before hiring in United Kingdom (UK)
EOR Solutions in the United Kingdom (UK)
EOR for Prospective Employees
Mercans offers seamless Employer of Record (EOR) solutions for businesses that have already identified their ideal candidates in the United Kingdom (UK). Our services encompass every aspect of the employee lifecycle, ensuring compliance with the United Kingdom (UK) labor laws and regulations.
EOR + Recruitment
For those seeking assistance in talent acquisition, our EOR and recruitment services provide a holistic solution. We tap into our extensive network and expertise to help you find, onboard, and retain top talent, streamlining your expansion into the United Kingdom (UK) market.
Visa Sponsorship and Global Mobility
Navigating the intricacies of expatriate employment is simplified through our visa sponsorship and global mobility services. We facilitate the relocation of your international workforce, ensuring compliance with the United Kingdom (UK) immigration and employment laws.
AOR for Contractor Payments
Businesses grappling with contractor payments can leverage our Assistance on Record (AOR) services. We handle the complexities of contractor payments, guaranteeing accuracy and compliance.
Converting Freelancers to Employees
Mercans supports the transition from independent contractors to permanent employees in the United Kingdom (UK). Our expertise ensures smooth conversions while adhering to legal requirements.
HCM Integration
Integrate Mercans’ EOR services seamlessly with your HCM system in the United Kingdom (UK) for real-time data exchange, enhanced compliance, and cost-efficiency. Trust our expertise for a unified, compliant, and efficient approach, elevating your workforce management and payroll operations.
Employment in UK
The United Kingdom has been a driving force in Europe’s thriving startup ecosystem, which has witnessed substantial growth over the past turbulent 18 months. Supported by state-backed initiatives and robust funding, the UK’s startup sector has been on the rise, with the Future Fund playing a pivotal role in supporting equity deals. Europe, as a whole, is showcasing impressive results, with ecosystems contributing over $4 billion in value, challenging North America’s dominance. Brexit has introduced potential friction, raising questions about its impact on the startup landscape. Still, London, Berlin, and Amsterdam continue to shine in the Top 5 for their international relationships and innovation exchange. Climatetech presents a significant investment opportunity, driven by initiatives like the EU Commission’s partnership with Bill Gates and the UK government’s funding for Greentech. However, attracting diverse technical talent and streamlining visa processes remain essential for Europe’s success on the global stage.
Employees vs Independent Contractors in UK
In the UK, individuals participating in the job market are classified into three distinct categories: employees, workers, and independent contractors. While there exist statutory definitions for employees and workers, these definitions are not all-encompassing, and the current delineation has largely evolved through legal precedents. Individuals who do not fall within the employee or worker categories are considered self-employed for employment law purposes.
This differentiation in employment law holds substantial significance due to several factors:
Hiring and Recruitment in UK
Top #5 Cities to hire remote talent in UK
When it comes to hiring remote talent in the UK, here are the top 5 cities to consider:
Belfast: Northern Ireland’s capital takes the top spot with excellent internet download speeds, averaging 64.1mbps, ensuring smooth remote work experiences.
Birmingham: Known as the UK’s “second city,” Birmingham secures the second position with robust internet download speeds (24.1mbps) and reliable 4G coverage.
Nottingham: Nottingham ranks third, offering a relatively low average living cost (£890) and an average internet download speed of 62mbps.
Manchester: Manchester claims the fourth spot, primarily due to its strong 4G signal strength (23.4mbps).
Leicester: In fifth place, Leicester combines a low cost of living with an average internet download speed of 53.1mbps.
These cities provide favorable conditions for remote work, including reliable internet connectivity and affordability, making them attractive choices for businesses looking to hire remote talent in the UK.
Top #5 Skills on Demand
The UK government maintains a shortage occupation list, which encompasses a variety of skilled positions, including computer engineers, nurses, geoscientists, and architects. If you’re uncertain about which educational path to pursue for a successful career, consult our list of the most sought-after jobs in the UK to align your degree and course choices accordingly.
Software Developers and Programmers
The UK, along with many nations worldwide, grapples with a scarcity of digital expertise. Consequently, individuals with IT and software proficiencies are in high demand, with starting salaries hovering around £26,000. If you seek a future-proofed tech career, pursuing a degree in computer engineering or software engineering is a sound strategy.
Cybersecurity Experts
In line with digital skills, cybersecurity is another prominent occupation in the UK, featuring numerous job openings and attractive salaries. Cybersecurity plays a pivotal role in safeguarding sensitive public data for both private companies and government organizations, with salaries commencing at around £25,000.
Health Services and Residential Care
The healthcare sector experiences significant demand, particularly for managerial roles and full-time nursing positions. If you aspire to make a positive impact on people’s lives through care and attention, consider a nursing career, possibly complemented by an MBA specializing in healthcare.
Architects
Architectural roles also rank among the UK’s most sought-after professions. This occupation requires a blend of skills, including mathematics, engineering, creativity, communication, and teamwork. While the training duration can span a minimum of seven years, the long-term prospects are promising.
Graphic Designers
In our rapidly evolving communication landscape, visual content plays a pivotal role. Whether designing logos, digital banners, websites, packaging, or traditional print materials, the skills of design-savvy professionals are highly coveted. Although the starting salaries may be slightly lower than some other roles on this list (around £18,800), they can rapidly increase with experience and outstanding work.
Physical Scientists
The oil, gas, and mining sectors are crucial for sustainability and reducing environmental impact. However, these industries face a shortage of skilled scientists capable of spearheading sustainable development. This demand positions physical science roles among the most sought-after jobs in the UK, providing excellent opportunities for STEM students.
Sales Assistants
Sales assistants serve as the primary point of contact for customers, helping them find products, answering inquiries, and providing product information. Qualifications matter less than skills and experience in this role. The ability to stay composed under pressure, think on your feet, possess computer literacy, and exhibit effective communication skills are valuable traits for success as a sales assistant.
Operations Managers
Operations managers hold a broad scope of responsibilities with competitive salaries, although their specific duties vary by industry and employer. Generally, they are responsible for ensuring an organization’s smooth operations. A business-related degree is often favored for this role, and MBA graduates may explore opportunities through graduate trainee schemes.
Business Analysts
Business analysts play a pivotal role in helping organizations plan for future growth. This entails assessing the company’s current status, anticipating future requirements, and devising solutions for success and expansion. While this often involves working with IT and software solutions, it may also encompass aspects like staffing and budgets.
Employee Onboarding in UK
Employee onboarding in the United Kingdom typically involves several key steps to ensure a smooth transition for new hires. Firstly, it’s essential to complete all the necessary paperwork, including employment contracts and tax forms, in compliance with UK employment regulations. Next, HR teams need to introduce new employees to the company culture, policies, and procedures, which often includes anti-discrimination training, health and safety briefings, and an overview of employee benefits. Providing proper training and access to necessary tools and resources is crucial. Finally, ongoing support and clear communication are vital for successful onboarding, helping employees integrate into the workplace effectively and contribute to the organization’s success.
Background Verification in UK
Employers in the UK must conduct several essential checks on job applicants to ensure legal compliance. Firstly, it’s crucial to verify the right to work in the UK, with potential fines for not doing so. For EU citizens and their non-EU family members, settled status applications are necessary post-2020. Criminal record checks can be requested, particularly for certain roles in healthcare or childcare. Health checks are permissible only if legally required or the job demands it. These checks should be clearly communicated in offer letters, and written consent is needed for health reports from candidates’ doctors. Furthermore, employers should ensure that their checks do not discriminate, and they must adhere to data protection regulations when handling applicant information. Violations can result in prosecution.
Payroll in UK
Payroll Essentials for the UK
Registration Requirements
Registration for Pay-As-You-Earn (PAYE): Employers in the UK must operate a PAYE scheme to collect and record Income Tax and National Insurance contributions from employee earnings. Registration is required when employing staff or subcontractors for construction work, even if only employing oneself (e.g., as the sole director of a limited company). Before registering for PAYE, the entity must be registered with Companies House.
Ongoing Compliance Requirements
Full Payment Submission (FPS): An electronic submission to HMRC required every pay period (weekly, fortnightly, monthly, or annually). It must be sent on or before each payday and includes employee PAYE details and personal data. Failure to submit on time can lead to penalties.
Employer Payment Summary (EPS): A monthly electronic submission due by the 19th of the following month. It reports recoverable statutory payments, CIS deductions, employment allowances, apprenticeship levy charges, and periods of nil pay.
Remittances: Employers must pay HMRC the tax and National Insurance owed as reported on FPS and EPS from the previous month. Payment is due by the 22nd of the following month (19th if paying by check). Late payments will incur penalties and interest.
Registration Requirements
Automatic Enrolment: Under the Pensions Act 2008, employers must automatically enroll qualifying employees into a workplace pension scheme if they employ at least one person. Employees must be classed as “workers,” aged between 22 and State Pension age, earning at least £10,000 per year, and usually working in the UK.
Ongoing Compliance Requirements
Employers must make periodic deductions for pensions and manage employee opt-outs and re-enrollments. They are also required to complete a re-enrollment exercise every three years and file a declaration of compliance with the pensions regulator.
Employers must adhere to statutory obligations concerning payments during maternity leave, paternity leave, sick leave, adoption leave, or shared parental leave. Each employee must have an employment contract that outlines their employment conditions, rights, responsibilities, and duties.
Payroll Requirements
Pay Slips
Employers are required to provide pay slips on or before the payment date, showing gross pay, deductions, and hours worked if applicable.
P45
A leaver’s statement form provided to employees who leave during the tax year.
P60
An end-of-year statement that must be provided by 31 May to employees employed on 5 April.
P11Ds
Employers must submit an end-of-year P11D form to HMRC for each employee receiving expenses or benefits during the tax year ending 5 April, due by 6 July. Penalties may occur for late submissions.
Payrolling Benefits and Expenses
Since 6 April 2016, employers can payroll benefits in kind (PBIK), allowing HMRC to collect tax on these benefits within the financial year. This eliminates the need to report them on a P11D form, but a P11D(b) must still be submitted for Class 1A payable.
National Living Wage
The UK has National Minimum Wage (NMW) regulations based on employee age, with the National Living Wage applicable to workers over 23. Employers must comply with these rates, and HMRC has the right to conduct checks.
Employment Allowance
This allows most private sector employers to reduce their Class 1 National Insurance contributions by up to £5,000 annually if certain criteria are met.
Compensation
Paid at a rate of 0.5% of an employer’s annual pay bill for employers with annual pay bills exceeding £3 million.
Banking Requirements Related to Payroll
Payroll net payments can be made through any method and from either a UK or overseas bank account. In the United Kingdom, Payroll Cycle, Tax Codes, and Minimum Wages are integral aspects of the General Employee Pay Regulations.
Payroll Cycle/ Payroll Period
The frequency of payroll cycles in the UK is typically determined by the company, with bi-weekly and monthly schedules being the most common. However, regardless of the chosen frequency, it is mandatory to specify it in the written statement of employment particulars. Payroll periods typically conclude with payday, which is typically set at the end of the month, often falling between the 25th and 30th or the last working day of the month.
Tax Codes
Tax codes are essential for the calculation of income tax in the UK. These codes are provided by HM Revenue and Customs (HMRC) and are based on various factors, including the individual’s earnings and any applicable tax reliefs. The tax code determines how much income tax should be deducted from an employee’s pay, ensuring that tax contributions are accurate and in compliance with UK tax regulations.
Minimum Wages
The UK enforces minimum wage regulations, and changes to these rates typically take effect on April 1st each year. As of the most recent update, employees aged 23 or older are entitled to a minimum wage of £10.42 per hour, while those aged 21 to 22 should receive at least £10.18 per hour. These minimum wage rates are designed to ensure fair compensation for workers and are subject to annual reviews and adjustments.
These components collectively form the framework for payroll management and employee compensation in the United Kingdom, ensuring that employers comply with regulations and employees receive their rightful earnings.
Statutory Filings & Contributions
If the employee is departing within the current tax year (before the next 6 April) and the employer will not be making pension contributions, record their leaving date in the payroll system at the time of their final payment. Continue to make deductions as usual for the next Full Payment Submission (FPS). However, if the employee’s last payment occurs after the current tax year (on or after the next 6 April), do not include their leaving date in the same FPS as their final payment. Instead, add them to the first FPS of the new tax year. The employer is required to provide the employee with a P45 upon their departure.
As an example, let’s break down the financial components for an employee with an annual salary of 10,000 GBP in the UK:
- Gross Annual Salary (GBP 9,999.96): The gross annual salary represents the total amount the employee earns before any deductions. In this case, the employee’s gross annual salary is 9,999.96 GBP. It’s slightly less than the original salary amount due to various deductions and taxes.
- Total Annual Employer Costs (GBP 474.72): These are the costs that the employer incurs beyond the employee’s salary. They include expenses such as taxes, benefits, and other contributions made by the employer on behalf of the employee. In this case, the total annual employer costs amount to 474.72 GBP.
- Total Annual Cost (GBP 10,474.72): This figure represents the overall financial impact of employing this individual. It includes both the gross annual salary (what the employee receives) and the total annual employer costs (what the employer pays on behalf of the employee). The total annual cost is 10,474.72 GBP.
So, when you add the employee’s gross salary (9,999.96 GBP) to the total annual employer costs (474.72 GBP), you get the total annual cost (10,474.72 GBP), which represents the complete financial commitment associated with employing this individual in the UK.
Statutory Payments in the United Kingdom
Statutory Payments in the United Kingdom are essential provisions that ensure employees are financially supported during various life events and circumstances. These statutory payments are designed to provide financial assistance when employees are unable to work due to sickness, are expecting a child, or are adopting a child. Here are the key statutory payments in the UK:
Statutory Sick Pay (SSP)
Statutory Sick Pay is a crucial benefit for employees who are unable to work due to illness. It provides financial support when employees are too unwell to carry out their duties. Eligible employees can receive SSP for up to 28 weeks, and it is paid by their employers.
Statutory Maternity Pay (SMP)
Statutory Maternity Pay is intended to support expectant mothers during and after childbirth. Eligible employees can receive SMP for up to 39 weeks. During this period, new mothers can take time off work to recover and bond with their child while still receiving financial support from their employer.
Statutory Adoption Pay (SAP)
Statutory Adoption Pay is designed to help employees who are adopting a child. Like SMP, it provides financial assistance for up to 39 weeks, allowing adoptive parents to take time off work to care for and bond with their newly adopted child.
Shared Parental Pay (ShPP)
Shared Parental Pay is a flexible provision that allows eligible parents to share the care responsibilities of a child. Parents can choose how to divide the leave and pay between them, enabling a more balanced approach to parenting.
These statutory payments are a valuable part of the UK’s social security system, ensuring that employees are supported during significant life events. They not only provide financial assistance but also promote employee well-being and work-life balance.
In the United Kingdom, social security payments are referred to as ‘national insurance contributions’ (NICs). NICs are payable by employees, employers, and the self-employed
National Insurance Contributions (NICs)
In the United Kingdom, social security payments are referred to as ‘national insurance contributions’ (NICs). NICs are payable by employees, employers, and the self-employed. The rates and thresholds for NICs can vary and are subject to change. Below, we provide a concise overview of NICs in the UK.
Employee Contributions (Class 1 NICs)
For the 2022/23 tax year, Class 1 NIC rates for employees’ salaries increased by 1.25% due to the Health and Social Care Levy. However, this increase was in effect until 5 November 2022, when the Levy was removed. During this period, no contributions were payable on the first £190 per week. Beyond that, contributions ranged from 13.25% (for earnings above £190.01 up to the upper earnings limit) to 3.25% (for earnings above the upper earnings limit). After 5 November 2022, the rates reverted to 12% (for earnings between £190.01 and the upper earnings limit) and 2% (for earnings above the upper earnings limit).
Employer Contributions (Class 1 NICs)
In 2022/23, employers’ NIC on employees’ salaries was at a rate of 15.05% until 5 November 2022 and remained at 13.8% thereafter.
Self-Employed Contributions (Class 4 NICs)
Self-employed individuals pay Class 4 NIC contributions based on their profits. For the 2023/24 tax year, the rate is 9% on profits above the lower profits limit of £12,570 and up to the upper profits limit of £50,270. A 2% rate applies on profits above the upper profits limit. Additionally, self-employed individuals pay a flat-rate, Class 2 contribution of £3.45 per week in 2023/24 when their profits exceed £6,725.
Child Benefit and Capital Gains Tax (CGT)
Aside from NICs, the UK imposes Capital Gains Tax (CGT) on capital gains. For the 2023/24 tax year, there is an annual exempt amount of £6,000, and most gains are taxed at 10% for gains falling within the basic rate band and 20% for gains above the higher rate threshold. Stamp Duty Land Tax (SDLT) applies to property acquisitions, and an additional 2% surcharge is applicable to non-resident purchasers from April 2021.
Compliance and Summary
Compliance with tax laws is essential to navigate these contributions and taxes in the UK. Understanding the different tax rates, thresholds, and obligations can help individuals, employers, and the self-employed make informed financial decisions. It is important to stay updated with the latest tax regulations and changes to ensure full compliance with the law.
What are the employee categories in the UK?
In the United Kingdom, employee categories are designated by National Insurance (NI) category letters. These category letters serve as a crucial mechanism to determine the contributions both employees and employers must make to the National Insurance fund. The categorization is based on specific criteria, and it plays a significant role in the calculation of contributions for different employee types.
Category A
This category encompasses all employees, excluding those falling under other specific groups (B, C, J, H, M, X, and Z). Employees in this category are liable to pay National Insurance contributions based on their earnings. The contribution rates are as follows:
- For earnings between £120 and £184 per week (£520-£797 per month): 0% contribution.
- For earnings between £184.01 and £967 per week (£797.01-£4,189 per month): 12% contribution.
- For earnings over £967 per week (over £4,189 per month): 2% contribution.
Category B
This category includes married women and widows who are entitled to pay reduced NI. The contribution rates for this group are similar to Category A.
Category C
Employees over the State Pension age do not make National Insurance contributions.
Category H
This category is designated for apprentices under 25 years old. Similar to Category A, these employees contribute at different rates based on their earnings.
Category J
Employees eligible to defer National Insurance because they are already paying it in another job fall under this category. The contribution rates mirror those of Category A.
Category M
This category comprises employees under 21 years old. Similar to Categories A and H, they contribute at varying rates depending on their earnings.
Category X
Employees in this category do not have to pay National Insurance contributions either because they are under 16 years old or they earn less than £120 per week (£520 per month).
Category Z
Similar to Category J, this category includes employees under 21 who can defer NI because they are already paying it in another job.
Employer Contributions
Employers are also categorized based on their employees’ category letters, and they are responsible for contributing to the National Insurance fund. The employer contribution rates are as follows:
Category A
Employers of employees in this category contribute at varying rates according to their employees’ earnings.
Category B
Employers of employees under Category B contribute at a rate of 13.8% regardless of their employees’ earnings.
Category C
Employers of employees in Category C contribute at a rate of 13.8%.
Category H
Employers of apprentices under 25 (Category H) do not contribute for those earning below £170 per week (£737 per month). However, for those earning above this threshold, the employer’s contribution is 13.8%.
Category J
Employers of employees who can defer National Insurance (Category J) contribute at a rate of 13.8%.
Category M
Employers of employees under 21 (Category M) do not contribute for those earning below £170 per week (£737 per month). For those earning above this threshold, the employer’s contribution is 13.8%.
Category X
Employers of employees under Category X do not have to pay National Insurance contributions regardless of their earnings.
Category Z
Employers of employees under Category Z contribute at a rate of 13.8%.
These National Insurance category letters play a pivotal role in determining both employee and employer contributions, ensuring that the National Insurance fund is adequately funded while taking into account various employee types and their financial circumstances.
National Insurance is a fundamental component of the UK’s social security system, requiring both individuals and employers to make compulsory contributions.
National Insurance is a fundamental component of the UK’s social security system, requiring both individuals and employers to make compulsory contributions. These contributions are designed to finance various state benefits and services, including the National Health Service (NHS) and state pensions. National Insurance plays a vital role in providing financial support during significant life events and ensuring access to essential healthcare services.
National Insurance Categories
National Insurance contributions are divided into different categories, each corresponding to various individuals and their contributions. Here are some key National Insurance categories:
Class 1
Applicable to most employees and employers. Contributions are income-based and fund a range of benefits, including the State Pension and statutory sick pay (SSP).
Class 2
Typically for self-employed individuals with profits exceeding a specified threshold. Class 2 contributions help individuals qualify for certain benefits and the State Pension.
Class 3
Voluntary contributions that individuals can make to fill gaps in their National Insurance record, ensuring eligibility for benefits and the State Pension.
Class 4
For self-employed individuals with profits above a particular threshold. These contributions fund the same benefits as Class 2 but are income-based
Special Categories
These categories include Class 1A, Class 1B, and others, each serving specific purposes, such as benefits for mariners and share fishermen.
Contribution Rates
Contribution rates are determined by an individual’s category and income. Understanding these rates is crucial for individuals, self-employed workers, and employers. Here are some key points:
Class 1
These are individuals under the State Pension age earning over £242 per week from a single job. In this category, deductions are made directly by the employer.
Class 1A or 1B
Employers are responsible for directly covering these contributions as part of their employees’ expenses or benefits.
Class 2
This category includes self-employed individuals with annual profits equal to or exceeding £12,570. They are required to make these contributions.
Class 3
Voluntary contributions that individuals can choose to pay to either address gaps in their National Insurance record or avoid future gaps.
Class 4
Self-employed individuals with annual profits of £12,570 or more must also make these contributions.
Benefits and Services
National Insurance contributions entitle individuals to various state benefits, including:
State Pension
Contributions determine an individual’s eligibility for the State Pension, which provides financial support in retirement.
Statutory Sick Pay (SSP)
Employees can claim SSP during periods of illness, with contributions from employers funding this benefit.
Maternity Allowance
This benefit offers financial support to expectant or new mothers based on their National Insurance record.
Bereavement Support Payment
Available to individuals who’ve lost a spouse or civil partner, providing financial assistance.
Jobseeker’s Allowance
Contributions-based Jobseeker’s Allowance is accessible to those seeking employment.
Understanding National Insurance and the relevant categories and rates is essential for individuals and employers to fulfill their obligations and ensure access to these vital benefits and services. For specific details and guidelines, consult official government resources.
Employment law encompasses a body of legislation that governs the relationships between employers, employees, and trade unions in the United Kingdom.
What is Employment Law?
Employment law encompasses a body of legislation that governs the relationships between employers, employees, and trade unions in the United Kingdom. These laws are instrumental in defining and safeguarding the rights of workers and employees in the UK. Employment rights are outlined in various acts, regulations, and laws, and it is crucial for employers to have a strong understanding of their obligations under this framework.
Failing to adhere to employment law can have serious consequences, potentially leading to employees filing claims with employment tribunals if their rights are violated.
Why Does Employment Law Exist?
The primary purpose of employment law is to regulate and oversee the interactions and relationships between employers and employees. These regulations are designed to ensure fairness and equity in all aspects of employment, ranging from recruitment procedures to dismissals. Without employment laws, employees in the UK might be vulnerable to unfair treatment at the hands of their employers, with no recourse for rectifying the situation. As such, employment laws are a crucial aspect of protecting the rights of employees in the UK.
What Does Employment Law Cover?
Employment law addresses a broad spectrum of issues related to the workplace and employment processes. Here are several key areas covered by employment law:
Age Discrimination
Laws that prohibit discrimination based on age, ensuring equal treatment for employees of all age groups.
Disability
Provisions that protect the rights of disabled employees and ensure they receive appropriate accommodations.
Discrimination Based on Race, Religion, Sexuality, or Gender
Laws that prohibit discrimination based on these characteristics, promoting diversity and inclusion in the workplace.
Dismissal and Employee Grievances
Guidelines governing fair dismissals and procedures for handling employee grievances.
Employment Contracts
Regulations that define the rights and responsibilities of both employers and employees in employment contracts.
Equal Pay
Laws aimed at eliminating pay disparities between genders and ensuring that employees receive equal pay for equal work.
Holiday Pay
Provisions related to annual leave and holiday pay entitlements for employees.
Minimum Wage
Legislation defining the National Minimum Wage, regularly reviewed to keep it in line with economic factors such as inflation.
Parental Leave
Laws governing maternity and paternity leave, allowing parents to balance work and family life.
Redundancy
Guidelines related to redundancies and the rights of employees facing job loss.
Working Hours
Regulations that define the maximum working hours, rest breaks, and overtime for employees.
Key UK Employment Laws
Understanding the core employment laws in the UK is vital for employers to ensure compliance. Here are some of the most important pieces of employment law legislation:
Employment Rights Act 1996
This act covers various employee rights, including dismissal, unfair dismissal, paternity leave, maternity leave, and redundancy
National Minimum Wage Act 1998
Sets the National Minimum Wage rates for employees and employers in the UK.
Employment Relations Act 1999
Establishes rights at work, including those related to trade union recognition, derecognition, and industrial actions.
The Maternity and Parental Leave etc. Regulations 1999
Governs employees’ rights to time off work for maternity and parental leave.
Part-Time Workers (Prevention of Less Favourable Treatment) Regulations 2000
Ensures that part-time workers receive comparable treatment to full-time counterparts in similar roles.
Transfer of Undertakings (Protection of Employment) Regulations 2006
Protects employees’ rights and employment contracts during business transfers.
The Equality Act 2010
Prevents workplace discrimination and identifies protected characteristics, such as disability, race, and religion, that cannot be used as reasons for workplace decisions.
Agency Workers Regulations 2010
Prevents discrimination against agency workers and mandates equal treatment in pay and working hours compared to full-time counterparts.
Compliance with these fundamental UK employment laws is essential for creating a fair and equitable work environment and ensuring the rights of employees are upheld. Employers should continuously educate themselves about these laws and their responsibilities.
Employers must offer a pension scheme to all employees within three months of starting work. Employees have the option to join or decline.
Mandatory Employee Benefits in the United Kingdom:
Pension
- Employers must offer a pension scheme to all employees within three months of starting work. Employees have the option to join or decline.
- Employers are required to contribute a minimum of 3%, and employees must contribute at least 5%, resulting in a total minimum contribution of 8%.
- Employees are automatically re-enrolled every three years if they’ve previously opted out.
Flexible Working
- All employees with at least 26 weeks of employment can legally request flexible working arrangements.
- Flexible options include job sharing, working from home, part-time, flex time, compressed hours, staggered hours, and annualized hours.
- Employers must respond within three months and assess the request reasonably, considering pros and cons. Refusal is allowed with a valid business reason.
Non-Mandatory Employee Benefits in the United Kingdom:
Cycle to Work Scheme
Employers can provide tax-free access to bikes and accessories through government-approved providers.
Private Healthcare Plan
Employers commonly offer healthcare insurance, covering 70%-100% of the cost, sometimes extending coverage to employees’ immediate family.
Dental & Vision Plan
Companies frequently cover 70%-100% of dental and vision plan expenses.
Home Allowance
Employers can provide a tax-free allowance of £26 per month to employees working from home, in addition to tax-free home office equipment allowances. Note: Tax relief doesn’t apply outside of COVID-19-related remote work.
Sick Leave & Disability Protection Insurance
Companies often provide comprehensive sickness coverage, including:
- Company sick pay from day one to week 10, covering 80%-100% of the base salary.
- Company sick pay from week 11 to week 26, covering 50%-70% of the salary.
- From week 27 onwards, employees receive 40%-60% of their salary.
- Employers continue contributions to the group pension plan.
Additional Pension Contribution
Many employers contribute beyond the statutory minimum to pension funds, offering various schemes like defined benefit and defined contribution options.
Life Insurance
Standard life insurance coverage provided by companies is typically £500,000.
Full Pay Paternity Leave
Employees are entitled to two weeks of paternity leave with statutory pay of £172.48 or 90% of their average weekly wage (whichever is lower). However, many companies choose to offer full pay during paternity leave.
Interest-Free Travel Loan
Employers can offer interest-free loans of up to £10,000 to employees during any tax year.
Fuel Reimbursement
Business travel-related fuel costs can be reimbursed, with varying rates based on mileage.
Gym Membership
Some companies include gym memberships as an employee benefit.
Counselling Service
Many companies provide counseling services or Employment Assistance Programmes (EAP) to all employees.
Extra Holiday
Some companies reward long-serving staff with additional vacation days.
Income Protection
Income protection policies typically pay a percentage (60%-80%) of an employee’s monthly income if they become physically unable to work after the Statutory Sick Pay period ends, usually one to six months following the illness.
Every employee in the UK is entitled to a comprehensive written employment contract before commencing work
Employment Agreement
- Every employee in the UK is entitled to a comprehensive written employment contract before commencing work. This contract covers various aspects governed by British employment law, including work hours, duties, benefits, wages, pension schemes, sick pay, leave, notice periods, and disciplinary procedures.
- Employers can include additional clauses relevant to their business, such as confidentiality provisions.
Flexible Working
- In the UK, all employees can request flexible working arrangements after working for the same employer for at least 26 weeks. New legislation may extend this right to day one of employment.
- Flexible working options include job sharing, working from home, part-time work, flex time, compressed hours, staggered hours, and annualized hours.
- Employers must respond within three months and assess the request reasonably, allowing discussions and appeals. A valid business reason is required to refuse the request.
Health & Safety
- Employees in the UK have the right to a safe workplace, and employers are responsible for maintaining health and safety standards.
- Employers must provide a safe work environment, secure work systems, and safe-to-use equipment.
- Employers must also ensure employees have the necessary resources for remote work, including proper workspace and equipment, following health and safety regulations.
Protection from Discrimination
- The Equality Act 2010 protects employees in the UK from workplace discrimination, covering areas such as hiring, redundancy, and pay, based on gender, age, or religion.
- Discrimination, harassment, and victimization related to age, disability, gender reassignment, marriage & civil partnership, pregnancy & maternity, race, religion & belief, sex, and sexual orientation are prohibited.
- Types of discrimination include direct or indirect harassment, victimization, and failure to make reasonable adjustments.
Whistleblower Protection
- The Public Interest Disclosure Act 1998 (PIDA) protects whistleblowers in the UK from penalties or dismissal for disclosing information they reasonably believe is in the public interest.
- Whistleblowers have the right to claim compensation if penalized or dismissed for making a protected disclosure.
Protection Against Dismissal
- Employees with two or more years of continuous employment have the right not to be unfairly dismissed. Statutory reasons for dismissal include conduct, capability, redundancy, breach of a statutory restriction, or some other substantial reason.
- Employers must demonstrate that the dismissal was for a valid reason and was handled reasonably and legally.
Personal Information Protection
- While the EU GDPR no longer applies to UK residents’ data, UK organizations must follow its principles, as enacted in the Data Protection Act 2018 (DPA 2018).
- Employees have rights to their personal data, including access, correction, erasure, and data processing restriction. Employers must handle data lawfully, transparently, and securely.
- Data breaches must be reported to the Information Commissioner’s Office (ICO), and employees can complain to the ICO if they have concerns about data protection.
Required Employee Benefits in the United Kingdom
Pension
- Employers in the UK are obligated to provide a workplace pension scheme to employees, with employees having the option to opt in or out.
- Exceptions apply if employees are already enrolled in an eligible scheme, have previously opted out more than 12 months before the staging date, or are part of an EU cross-border pension scheme.
- Minimum contributions are 3% from employers, 4% from employees, and 1% from government tax relief, totaling 8%.
- Employees can switch pension schemes when changing jobs or combine old and new schemes.
Redundancy Payment
- Employees with over two years of continuous employment in the UK are entitled to a Statutory Redundancy Payment (SRP).
- SRP calculations include half a week’s income for each year of employment at age 22 or younger, one week’s income for each year from age 22 to 41, and one and a half week’s income for each year at age 41 or older.
- The maximum employment length considered is 20 years, with a weekly pay cap of £525 and a maximum SRP of £15,750.
When an employer decides to terminate an employee’s contract in the United Kingdom, it is imperative that the dismissal is valid and justified
Termination of Employment
When an employer decides to terminate an employee’s contract in the United Kingdom, it is imperative that the dismissal is valid and justified. If the employee has completed more than two years of service with the company, they possess the right to request a written statement detailing the reasons for their dismissal. The employer is legally obligated to provide this statement within 14 days.
If the employer terminates employment due to gross misconduct, which entails a serious violation of workplace conduct, no notice is required.
However, in cases of termination for reasons such as poor performance, misconduct, or redundancy, the employer must adhere to a notice period, which varies depending on the employee’s length of service.
Unfair Dismissal in the United Kingdom:
Employee protection is of utmost importance when it comes to dismissal. An employee’s dismissal can be considered unfair if the employer lacks a valid reason for the action or fails to follow the company’s formal disciplinary or dismissal procedures.
Instances where dismissal is likely to be deemed unfair include situations like:
- Following a request for flexible working
- Refusing to grant working time rights
- Properly resigning and adhering to the correct notice period
- Joining a trade union
- Applying for or being on maternity, paternity, or adoption leave
- Exposing workplace misconduct or wrongdoing
- Being compelled to retire
- If an employee believes they have been unfairly dismissed, they have the option to seek mediation from a third party, such as a union representative. They can also escalate the matter to an employment tribunal.
Redundancy Pay & Entitlement
Employees in the United Kingdom who have continuously worked for over two years are entitled to a Statutory Redundancy Payment (SRP). They also have the right to receive a written statement outlining the amount of redundancy payment and the calculation method used. The SRP is determined as follows:
- Half a week’s pay for each full year of employment when the employee was 22 years of age or younger
- One week’s pay for each full year of employment when the employee was between 22 and 41 years of age
- One and a half week’s pay for each full year of employment when the employee was 41 years of age or older
- The maximum years of service considered are 20, with a weekly pay cap at £643 and a statutory redundancy pay cap at £19,290.
Resignation Procedure:
When an employee decides to resign, it is advisable for them to submit a written notice of their resignation to the employer. The employer should acknowledge the resignation in writing, confirming the termination date and any other arrangements, including financial matters between the parties.
Other End of Employment Guidelines:
Notice Period
There are two types of notice periods in the United Kingdom: statutory notice, required by law, and an enhanced contractual notice period. The notice period applied by the employer should be specified in the employee’s contract, with the longer of the two notice options prevailing.
- Statutory notice for employees with less than two years of service: one week’s notice
- Statutory notice for employees with more than two years but less than 12 years of service: one week’s notice for each year of employment
- Statutory notice for employees with more than 12 years of service: 12 weeks’ notice
Contractual notice periods are at the discretion of the employer. Commonly, regular employees have a one-month notice period, while senior employees may have up to three months. Contracts often include a provision for pay in lieu of notice.
Severance
In the United Kingdom, there is no statutory requirement for severance pay. Typically, severance arrangements are subject to negotiation and agreement between the employer and employee, with the terms outlined in a Settlement Agreement.
The vast majority of individuals classified as workers are legally granted a yearly paid holiday entitlement of 5.6 weeks, often referred to as statutory leave or annual leave
The vast majority of individuals classified as workers are legally granted a yearly paid holiday entitlement of 5.6 weeks, often referred to as statutory leave or annual leave.
This encompasses various categories of workers, including:
- Agency workers
- Workers with irregular working hours
- Workers under zero-hours contracts
Employers have the option to include bank holidays as part of the statutory annual leave.
In the context of the coronavirus (COVID-19) pandemic, workers’ entitlement to holiday pay and leave remains unaffected, except with regard to carrying over leave.
Statutory annual leave entitlement
For the majority of workers on a typical 5-day workweek, a minimum of 28 days of paid annual leave is a legal requirement. This translates to 5.6 weeks of annual holiday.
Part-time work
Part-time workers are entitled to a minimum of 5.6 weeks of paid holiday, although this may result in fewer than 28 days.
For instance, if someone works 3 days a week, they should receive at least 16.8 days of annual leave annually (3 × 5.6).
Individuals with irregular hours
Individuals working irregular hours, such as shift workers or those employed during term times, have the right to paid time off corresponding to the hours worked.
For a rough estimation based on the number of days or hours worked in an average week, they can utilize the holiday entitlement calculator.
Limits on statutory leave
Statutory paid holiday entitlement is capped at 28 days. For instance, employees working 6 days a week are still only entitled to 28 days of paid leave.
Bank Holidays
The inclusion of bank or public holidays as paid leave is at the discretion of the employer.
It is possible for an employer to designate bank holidays as part of a worker’s statutory annual leave.
Additional Leave
Employers can opt to provide more leave than the legal minimum requirement. Extra leave does not need to adhere to all the rules governing statutory leave. For instance, certain conditions may need to be met by the worker before they become eligible for additional leave.
Other Aspects of Holiday Entitlement
Workers possess the following rights:
- The right to receive holiday pay
- The ability to accrue holiday entitlement during maternity, paternity, and adoption leave
- The capacity to accumulate holiday entitlement while on sick leave
- The option to request holiday leave simultaneously with sick leave
Resolution of Disputes
Paid annual leave is a legal entitlement that employers are obligated to provide. If a worker believes their right to leave and corresponding pay is not being met, there are various mechanisms available to address and resolve such disputes.
Various Types of Leave in the UK
There are numerous forms of leave provided to employees in the United Kingdom, each designed to address distinct situations and needs. These include:
Paternity Leave
Paternity leave is granted to fathers, partners, and secondary adopters, allowing them to take time off work to care for a new baby or child. During this leave, individuals may receive Paternity Pay.
Sick Leave
In situations where employees are ill or physically incapable of working, they are entitled to sick leave. This provides financial support to help cover their absence during times of illness.
Maternity Leave
Maternity leave is designed for expectant mothers, providing them with the opportunity to take time off work before and after giving birth. Maternity Pay is often offered during this period.
Neonatal Care Leave
Neonatal care leave is intended for parents with newborns who require intensive care. It permits them to take time off work to support their child’s health and well-being.
Parental Leave
Parental leave enables parents to spend quality time with their children and is often taken as unpaid leave. It is available to both mothers and fathers.
Shared Parental Leave
Shared parental leave allows parents to share and divide their leave following the birth or adoption of a child. This offers flexibility for couples in how they choose to allocate their leave.
Bereavement Leave
Bereavement leave is granted to employees who have experienced the loss of a loved one. It provides time off to grieve and attend to matters related to the bereavement.
Work-Related Injury
In cases where an employee sustains an injury while performing their job, they may be entitled to leave and compensation to aid in their recovery.
Public Holidays in UK
In the United Kingdom, public holidays are commonly referred to as bank holidays. The number of bank holidays varies across the different regions of the UK: England and Wales have eight, Scotland has nine, and Northern Ireland has ten.
Below are the 2023 holiday calendars for England & Wales, Scotland, and Northern Ireland:
England & Wales Public Holiday Calendar 2023
- 2/1/2023 (Monday) – New Year’s Day
- 7/4/2023 (Friday) – Good Friday
- 10/4/2023 (Monday) – Easter Monday
- 1/5/2023 (Monday) – May Bank Holiday
- 8/5/2023 (Monday) – King’s Coronation Bank Holiday
- 29/5/2023 (Monday) – Spring Break Holiday
- 28/8/2023 (Monday) – Summer Bank Holiday
- 25/12/2023 (Monday) – Christmas Day
- 26/12/2023 (Tuesday) – Boxing Day
Scotland 2023 Holiday Calendar
- 2/1/2023 (Monday) – New Year’s Day
- 3/1/2023 (Tuesday) – 2nd January
- 7/4/2023 (Friday) – Good Friday
- 1/5/2023 (Monday) – May Bank Holiday
- 8/5/2023 (Monday) – Coronation of King Charles III
- 29/5/2023 (Monday) – Late May Bank Holiday
- 7/8/2023 (Monday) – Summer Bank Holiday
- 30/11/2023 (Thursday) – Saint Andrew’s Day
- 25/12/2023 (Monday) – Christmas Day
- 26/12/2023 (Tuesday) – Boxing Day
Northern Ireland 2023 Holiday Calendar
- 2/1/2023 (Monday) – New Year’s Day
- 17/3/2023 (Friday) – St. Patrick’s Day
- 7/4/2023 (Friday) – Good Friday
- 10/4/2023 (Monday) – Easter Monday
- 1/5/2023 (Monday) – May Bank Holiday
- 8/5/2023 (Monday) – Coronation of King Charles III
- 29/5/2023 (Monday) – Late May Bank Holiday
- 12/7/2023 (Wednesday) – Battle of Boyne
- 28/8/2023 (Monday) – Summer Bank Holiday
- 25/12/2023 (Monday) – Christmas Day
- 26/12/2023 (Tuesday) – Boxing Day
Personal Income Tax in the United Kingdom (UK) is an essential part of the country’s revenue system, ensuring the funding of public services and government operations
Personal Income Tax in the United Kingdom (UK) is an essential part of the country’s revenue system, ensuring the funding of public services and government operations. Below, you’ll find information on the tax rates and bands for the tax year 2023 to 2024.
Tax Rates and Bands for 2023 to 2024:
Personal Allowance
This is the income threshold up to which you pay no income tax.
- Taxable Income: Up to £12,570
- Tax Rate: 0%
Basic Rate
- Taxable Income: £12,571 to £50,270
- Tax Rate: 20%
Higher Rate
- Taxable Income: £50,271 to £125,140
- Tax Rate: 40%
Additional Rate
- Taxable Income: Over £125,140
- Tax Rate: 45%
It’s important to note that the rates for dividends and savings interest in the UK are consistent across all bands and align with the rest of the UK.
Who Pays the Welsh Rates
If you live in Wales, you will pay the Welsh rates of income tax. Ensure that your address with HMRC is up-to-date, especially if your primary residence is in Wales, to ensure you are correctly assessed for Welsh rates.
Moving to or from Wales
If you move to or from Wales during a tax year (from 6 April to 5 April the following year), you will only pay the Welsh rates if you reside in Wales for the majority of the year. HMRC will adjust your tax automatically if you switch regions during the tax year. Remember to update your address with HMRC accordingly.
Multiple Residences
If you own homes in both Wales and another part of the UK, inform HMRC of your main residence. Your primary residence is typically where you spend most of your time, even if you rent or own it. Factors considered include where most of your possessions are, where your family resides (if applicable), and where you are registered for services like your bank account, GP, or car insurance. This is relevant for individuals who work away from their main residence, such as lorry drivers, offshore workers, or members of the armed forces.
How You Pay Welsh Rates
If you are employed, you’ll pay tax at the Welsh rates through the PAYE system. Your tax code will have a ‘C’ added to the beginning to ensure you are taxed at the correct rates. For pension recipients, your provider will deduct tax accordingly.
If you file a Self Assessment tax return online for the 2022 to 2023 tax year, there will be a specific box for indicating that you pay the Welsh rates.
Additionally, if you live in Scotland, you will pay Scottish Income Tax, which is administered by the Scottish Government and applies to your wages, pension, and most other taxable income. Here are the 2023 to 2024 Scottish Income Tax rates based on a standard Personal Allowance of £12,570:
Scottish Income Tax Rates for 2023 to 2024
Personal Allowance
No income tax is applied.
- Taxable Income: Up to £12,570
- Tax Rate: 0%
Starter Rate
- Taxable Income: £12,571 to £14,732
- Tax Rate: 19%
Basic Rate
- Taxable Income: £14,733 to £25,688
- Tax Rate: 20%
Intermediate Rate
- Taxable Income: £25,689 to £43,662
- Tax Rate: 21%
Higher Rate
- Taxable Income: £43,663 to £125,140
- Tax Rate: 42%
Top Rate
- Taxable Income: Over £125,140
- Tax Rate: 47%
These rates apply to Scottish residents, and you will pay the same tax as the rest of the UK on dividends and savings interest.
In the United Kingdom, personal income tax is levied at graduated rates, meaning that higher bands of income are subject to higher rates of taxation. This tax is applied to an individual’s total income, derived from all sources of earnings and investments, minus specific deductions and allowances. The key allowance is the personal allowance, which for the 2023/24 tax year is set at £12,570. Most individuals are eligible for this personal allowance, unless they are opting for the remittance basis or their income exceeds £125,140. The resulting figure, after considering these allowances, is commonly referred to as an individual’s taxable income. The graduated income tax rates slightly vary based on whether the income is earned from employment or investments.
Income Tax Bands and Rates for 2023/24
- Starting Rate for Savings: 0% (Applies to savings income only)
- Income Range 2023/24: £0 to £5,000
- Income Range 2022/23: £0 to £5,000
- Note: The 0% starting rate is exclusively for savings income. If non-savings income exceeds this limit, the 0% starting rate will not be applicable.
Basic Rate: 20%
- Income Range 2023/24: £0 to £37,700
- Income Range 2022/23: £0 to £37,700
Higher Rate: 40%
- Income Range 2023/24: £37,701 to £125,140
- Income Range 2022/23: £37,701 to £150,000
Additional Rate: 45%
- Income Range 2023/24: Over £125,140
- Income Range 2022/23: Over £150,000
Please be aware that dividends are consistently treated as the top slice of income and are taxed at the individual’s highest marginal tax rate. A “savings income” is positioned as the next slice down, while other forms of income, such as earnings, constitute the lowest slice. Savings income commonly includes interest, but it also encompasses certain other income types.
For the 2023/24 tax year, there’s a dividend allowance for the initial £1,000 of an individual’s dividend income. This allowance functions as a 0% tax rate. However, starting from April 6, 2024, this allowance will be reduced to £500. Importantly, the dividend allowance does not reduce an individual’s total income for tax purposes. Any dividend income falling within this “allowance” still contributes to an individual’s basic and higher rate limits.
Immigration UK
Work in the UK for Your Overseas Employer
If you are employed by a company overseas but need to work in the UK, you might require a suitable visa to do so. Depending on your specific situation, various visa options are available. Some of the most common ones include the “Skilled Worker Visa UK” or the “Work Permit UK,” both of which cater to individuals with job offers in the UK.
Senior or Specialist Worker Visa (Global Business Mobility)
The Senior or Specialist Worker Visa is designed for employees at a senior level or with specialized skills within a global business. This visa facilitates their transfer to the UK branch of the company, making it easier for multinational organizations to deploy their top talents.
Overseas Domestic Worker Visa
For domestic workers accompanying their overseas employers to the UK, the Overseas Domestic Worker Visa is crucial. This visa allows individuals such as nannies, housekeepers, and carers to work within a private household setting.
Graduate Trainee Visa (Global Business Mobility)
The Graduate Trainee Visa is intended for recent graduates from overseas looking to undertake a structured training program in the UK. This program must be within the same industry as their academic field.
Secondment Worker Visa (Global Business Mobility)
The Secondment Worker Visa is applicable when an overseas employer temporarily assigns an employee to the UK. This type of visa is particularly relevant for individuals who are part of international companies with offices in the UK.
Service Supplier Visa (Global Business Mobility)
Service Supplier Visas are suitable for employees providing services to UK-based clients as part of an overseas company. This visa is instrumental for global businesses expanding their services to the UK market.
UK Expansion Worker Visa (Global Business Mobility)
The UK Expansion Worker Visa is tailored for employees of overseas companies looking to establish a branch or subsidiary in the UK. This visa assists in the growth and expansion of international businesses within the United Kingdom.
Representative of an Overseas Business Visa
If you are a senior employee or representative of an overseas company planning to set up a branch or subsidiary in the UK, the Representative of an Overseas Business Visa is the appropriate choice. It enables you to manage the UK business operations effectively.
Apply for a Service Providers from Switzerland Visa
Service providers from Switzerland can apply for a specific visa to deliver services in the UK. This visa is vital for Swiss businesses or individuals offering services within the UK, fostering trade relations between the two countries.
Best Employer of Record UK
Mercans stands out as the leading Employer of Record in the UK for the following reasons:
- Regulatory Compliance: Mercans ensures full compliance with all regulations set by the UK government and relevant authorities, including strict adherence to HMRC guidelines, guaranteeing compliance with employment laws and standards.
- Independent Operation: Operating as a distinct entity, Mercans offers reliable and customised employment services tailored to the unique needs of businesses.
- Diverse Employment Support: Mercans efficiently manages various forms of employment, including employees, freelancers, contractors, and expatriates, providing flexible solutions to meet a wide range of requirements.
- Enterprise-Focused Solutions: Specifically designed to cater to large enterprises, Mercans delivers scalable and sophisticated services that accommodate complex organisational structures.
- Multi-Currency Payroll Management: Mercans facilitates payroll processing in multiple currencies, ensuring seamless financial operations for global and multinational companies.
- Global Reach and Payroll Expertise: With a robust international presence, Mercans excels in managing multi-country payroll, enabling smooth operations across borders.
- Data Protection and Compliance: Mercans adheres to rigorous data protection standards, including GDPR compliance and SOC 1 & SOC 2 certifications, ensuring the highest levels of data security.
- ISO Certifications: Mercans holds ISO 20000 and ISO 27001 certifications, reflecting its commitment to excellence in IT service management and information security.
- Security Standards Compliance: Mercans meets the OWASP ASVS 3.0 standards, ensuring strong security practices in application development and management.
- HRBlizz Platform: The proprietary HR Blizz platform is a global payroll and talent management SaaS suite that streamlines payroll processes while ensuring compliance with UK regulations. With over 1,000 local experts, it provides in-depth knowledge of employment laws and business practices.
- G2N Nova Payroll Engine: G2N Nova offers global gross-to-net payroll processing across more than 100 countries, making it one of the most advanced payroll engines available. It can be deployed as a SaaS solution or integrated seamlessly with major Human Capital Management and Workforce Management systems.
This document was prepared for informational purposes only. As local laws & regulations keeps on changing. Please consult your tax & legal advisors as well.
