Regulatory updates
for Global Employers

New Zealand has launched a new digital nomad initiative, allowing tourists and other visitors to work remotely while exploring the country. The new legislation takes immediate effect, with the updated visitor visa rules applying to applications received from January 27, 2025, onward.

• Remote work must be for overseas employers or clients.
• Local jobs, in-person roles, and selling goods or services in New Zealand are restricted.
• Visitors working remotely for over 92 days a year should check tax obligations.

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Expected in early 2025, the Employment Rights Bill introduces major reforms for UK employers. Key changes include:

• Removing the Statutory Sick Pay (SSP) waiting period and earnings threshold, and granting employees unfair dismissal rights from Day 1, with a 9-month probation period allowing simplified termination.
• Employees can request flexible working immediately, and those with consistent hours over 12 weeks can seek guaranteed contracts.
• Protections also expand against "fire and rehire" practices, collective redundancy, and third-party harassment, while new parents gain six months of dismissal protection post-leave.
• Large employers must address gender pay gaps and provide menopause support.

Here’s a summary of the UK Autumn Budget 2024's impact on employers, including effective dates and how it impacts employers:

Employer National Insurance (NI) Contributions Increase

• Effective Date: 1 April 2025
• Impact: Employers’ NI contributions will increase by 1.2 percentage points, moving from 13.8% to 15%.

Lower NI Threshold for Employers

• Effective Date: 1 April 2025
• Impact: The threshold for employer NI contributions will drop from £9,100 to £5,000, meaning employers will begin paying NI at this lower threshold.

Minimum Wage Increase for Ages 21+

• Effective Date: 1 April 2025
• Impact: The minimum wage for employees aged 21 and over will rise by 6.7%, reaching £12.21 per hour.

Minimum Wage Increase for Ages 18-20

• Effective Date: 1 April 2025
• Impact: Minimum wage for employees aged 18-20 will increase by 16.3%, raising it to £10 per hour.

Future Tax Threshold Adjustments

• Effective Date: 2028
• Impact: Tax thresholds will increase annually with inflation from 2028, ending the current freeze. Employers should prepare for payroll adjustments.

Kenya has become the latest African country to introduce the Digital Nomad Visa to attract remote workers and boost economic growth.

Requirements for applicants of the Class N: Digital Nomad Visa include:

• A valid passport
• Proof of remote employment with a company outside of Kenya
• A minimum annual income of at least $55,000
• Accommodation within Kenya
• A clean criminal record

Non-Singapore entities that want to employ an individual in Singapore who is not a Singapore national or permanent resident may no longer use an Employer of Record (EOR) to sponsor that individual for a work permit. Contact our experts for help on how to navigate global employment in Singapore.

The Slovak Ministry of Labor has raised the mandatory value of meal vouchers to €6.23, effective immediately. While employers must meet this minimum, many are increasing the voucher value to €6.30 to remain competitive and attract talent.

Pakistan’s updated tax rates for salaried individuals, effective July 2024, now range from 0% for salaries below Rs. 600,000 to 35% for those exceeding Rs. 4,100,000.

Chile's minimum wage has been gradually increased, with the final adjustment to $500,000 pesos taking effect on 1 July 2024. This increase boosts employees' baseline earnings, improving living standards and disposable income. For employers, it necessitates payroll adjustments to stay compliant with the updated wage regulations.

The Mauritius Revenue Authority has updated the minimum and maximum basic wage ceilings for National Savings Fund (NSF) contributions, now capped at 25,475 MUR. This revision ensures that both employers and employees contribute based on the new wage limits, enhancing savings for employees while requiring payroll adjustments to meet compliance standards.

As of 1 July 2024, Australia's superannuation guarantee rate increased from 11% to 11.5%, enhancing employees' retirement savings. Additionally, individual income tax rates decreased with rates like 19% dropping to 16%, and tax thresholds increasing for higher earners. These changes directly affect employees' take-home pay, increasing net earnings while boosting long-term retirement benefits.