To hire new employees in
the
United Kingdom
, your business must have a local legal entity or an Employer of Record like Borderless in place already. Then there’s the management of local employment compliance, taxes, benefits, payroll, and more. Hiring contractors poses similar challenges.
Borderless handles all of that for you, so you can focus on getting to work with your new team member in
the
United Kingdom
while staying fully compliant with local laws and compliance.
English
Pound sterling (£, GBP)
Monthly or weekly
8 days
15.05 - 18.05%
$$$$ (33 of 140 nations)
28 days
28 weeks
52 weeks
In many countries like
the
United Kingdom
, the treatment of employees and contractors is different. If you misclassify a new team member, you could be subjected to penalties and fines. Let Borderless get this right for you, so you don’t have to worry.
In the United Kingdom, the National Living Wage depends on the age of the worker. In April 2022, the national minimum wages were updated to the following hourly rates:
Employers in the United Kingdom do not have to pay employees for overtime. However, a given employees' average pay for the total hours worked must not fall below the National Minimum Wage.
Any overtime pay rates must be detailed in an employee's employment contract.
There is no mandatory additional pay in the United Kingdom, however, the majority of employers offer supplemental health insurance to their employees.
For all Borderless customers, all employee payments will be made in equal monthly installments on or before the last working day of each calendar month, payable in arrears.
Termination from the employer is valid on grounds with any fair reasons. There are six potentially fair reasons for dismissals:
Notice period depends on the length of the employment relationship.
There is no legal stipulation for minimum and maximum probation periods and all statutory rights and protections apply from the beginning of employment. Employers can set probationary periods in the employment contract. It is typical for a probationary period to last no longer than six months, and three months where an employee is moving to a new post internally.
A severance payment isn’t a legal requirement in the UK, but companies that offer it gain a competitive advantage.
Employees that have worked with their current employer for 2 years or more are typically entitled to mandatory severance pay including the following:
Length of service is capped at 20 years.
When the world is your competition, it pays to incentivize new hires and existing alike. Borderless benefits packages typically include:
Book your demo of Borderless to help you hire, pay, and take care of new employees and contractors in 170+ countries.