Key employment and immigration highlights from the 2023 Autumn Statement
The Autumn Statement contained a number of measures that are significant from an employment and immigration perspective.
You can read the Autumn Statement 2023 in full, or find supporting and related documents here.
Back to Work Plan
The Government is set to introduce a new 'Back to Work Plan' aimed at supporting individuals with long-term health conditions, disabilities, and the long-term unemployed to enter or return to the workplace.
Universal Support will be expanded, offering grants for training and employer adjustments, with 'trailblazer trials' to test changes to fit notes for better return-to-work support. The Government has said it will launch a consultation in early 2024 on wider reforms to the fit note system, including on how to improve fit note assessments and integrate quicker access to specialist employment and health support.
A new expert group will advise on a voluntary occupational health framework, promoting best practices for employee ill health and disability.
Increased funding is to be allocated for mental health support schemes to facilitate entry and retention in the workforce.
Mandatory work placements
Certain benefit recipients who remain unemployed after 18 months of specialist employment support will be assigned mandatory work placements.
Apprenticeships pilot
A two-year pilot program is to be introduced to promote and catalyse apprenticeships within key growth sectors, particularly in engineering and higher-level apprenticeships.
National Insurance contribution rates
Reductions and changes will be implemented in national insurance contribution rates, with the main rate of Class 1 National Insurance Contributions to be cut by 1p from April 2024.
National Minimum Wage and National Living Wage
All rates of the national minimum wage are increased, and the National Living Wage will be extended to those aged 21 and 22. Corresponding adjustments will be made to the minimum hourly rate for sponsored workers.
Business Visitor Regime
The business visitor regime is set to be expanded, allowing for greater flexibility in business-related travel.
Youth Mobility Schemes
The Government anticipates signing and expanding new and existing Youth Mobility Schemes in 2024, facilitating international exchange and collaboration.
Employers should take note of these announcements, particularly where there are important implications from a compliance perspective, such as in relation to National Minimum Wage. The details of some of the announcements are yet to be confirmed. We will report on the fit note reform consultation when it is launched next year.