United Kingdom Doing Business > Employment Law
The United Kingdom does not have one single legal system, but rather a hybrid legal system due to the union the independent countries of England, Scotland and Northern Ireland. By EU standards, the UK operates a highly liberal labour market with relatively little legal intervention.

Employment law has developed due to the power of Trades Unions. Once the backbone of UK labour, only about one-third of the workforce now belong to a union.

Employment statutes include the Employment Rights Act (ERA) of 1996, which details procedures for legal rights, unfair dismissal, and time off for parenting. The Employment Act of 2002 includes various provisions making illegal for discrimination.

UK employees work under an employment contract that may be oral or written. They may be of indefinite duration or for fixed terms.

Minimum Wage: The National Minimum Wage Act of 1998 (Chapter 39) provides for national minimum wage with is set by the Secretary of State; The Secretary of State may prescribe minimum wage for individuals under 26 years old. This link covers the current and anticipated minimum wages.

Workweek: 40 hours with a maximum of 48 hours, although employees may agree to work additional hours. This agreement must be in writing and signed by the employee.

Overtime: Not government mandated. Varies by company and is included in the employment contract.

Minimum age for employment: Special restrictions for young workers between 16 and 18 years of age.

Probationary period: Not government mandated. Varies by company and is included in the employment contract.

Mandatory Vacation: Minimum of 20 days paid holiday per calendar year. By October 2008, the 8 bank holidays will be included, making the total 28 days per year.