Employment Tribunal Guidance for Employers

The Employment Tribunals (ET) are an independent judicial body established to resolve disputes over employment rights between employers and employees. Claims likely to be heard in the ET will involve matters on unfair dismissal, discrimination, wages and redundancy payments.

In July 2017, the Supreme Court unanimously held that ET fees were unlawful and must be quashed. In September 2018, the Ministry of Justice (MOJ) published tribunal statistics for April-June 2018 and across the boards the numbers are up!
Key figures include:

• Number of single claims lodged increased by 165% compared with the same quarter last year.
• The number of single claims outstanding rose by 130% compared with the same quarter last year.
• There have been 12,400 fee refund payments made since the fee refund scheme was introduced, totalling just over £10m.
• Disability discrimination cases had the largest average award (£30,700). Religious discrimination claims had the lowest average award (£5,100). The average award for unfair dismissal awards was £15,007.

If you are an employer and you have received an ET claim, it is crucial you act quickly and carefully to place yourself in the best position to defend the claim, or to reach a fair settlement agreement with the employee. At Employment Law Services (ELS), we have set out 5 top tips that should be applied when responding to a claim.

(1) Address the claim immediately

A tribunal claim is not something that should be set aside to deal with at a later date. Employers should have procedures in place to make sure that, when an ET1 is received, it is immediately brought to the attention of the appropriate people.
An employer should then make the decision on who is going to have the responsibility for dealing with the claim and begin working on the response.

An employer’s response should arrive at the ET office, on the appropriate form (an ET3), within 28 days of the date on which the claim was sent out.

(2) Evaluate the merits of the claim

Employees cannot submit an ET claim unless they have contacted the ACAS early conciliation service in the first instance. If both parties have gone through this process, the employer will probably already have knowledge of the employee’s complaint and had the opportunity to process its merits.

In this event, the employer should carefully carry out an assessment of the employee’s complaint and what defence they may have and then decide whether to fight the case or not.

Sometimes, employers discover that a settlement agreement is the less expensive option when weighing the costs of defending an ET claim. Settlement agreements are legally binding contracts which can be used to end an employment relationship on agreed terms. Once this document has been signed, the employee won’t be able to make an ET claim about any type of claim which is listed on the agreement.

(3) Focus on the issues relevant to the case

When responding to an ET complaint, it is crucial that employers focus on the employees specified allegations and any legal issues that may surround this. An employer’s response should be carefully drafted in as much detail as possible as they may not get the opportunity to introduce more information at a later date.

(4) Pay attention to detail

Whoever is in charge of drafting the ET3 must ensure that there are no inconsistencies and that all statements are factual and supported by the correct evidence.

(5) Submit the ET3 on time

An employer’s response form (ET3) should be submitted within 28 days of receiving the claim. This form can be submitted by using the online submission tool or returning the paper form.

The main thing to remember here is to ensure the tribunal office receive the form before the deadline, the form should not be sent on the 28th day. Employers may have the opportunity to apply for an extension, but this will be permitted at the judge’s discretion.

Fixed Fee ET work

Defending Employment Tribunal claims, or threats of a claim can be costly, but it doesn’t need to be. with Employment Law Services (ELS)’ Fixed Fee Employment Tribunal Representation offering, employers can save time and money. We understand how expensive, stressful, time consuming and distracting defending an Employment Tribunal Claim can be, even before the case ever reaches the hearing stage.

Negotiating the employment tribunal rules & procedures can be confusing & difficult but it doesn’t need to be. With our Fixed Fee Employment Tribunal Representation offering, employers can save time and money.

We believe this approach helps you control costs, minimise stress and wasted time and management resources, allowing you to continue to focus on your core business.

If you are faced with an Employment Tribunal claim, or threat of an Employment Tribunal Claim, Employment Law Services (ELS) can help. If you are an employer who requires assistance with any of the issues raised in this blog contact us today for your free consultation 0370 218 5662.

Top 5 Employment Law Questions of August 2018

1. When is it permissible for an employer to terminate the contract of employment of an employee on the grounds of ill health?

Dismissing an employee on the grounds of ill health is anything but straight forward. Lack of capability, including when assessed with reference to health can be viewed as a potentially fair reason for dismissal under s98 of the Employment Rights Act 1996.

Assuming the employer can provide enough evidence that capability is the reason behind the dismissal, it must then be followed with a fair procedure.

Over the years, case law has established 4 main elements that constitute a fair procedure, these include:

• Consultation with the employee
• A medical investigation
• Consideration of alternative employment
• Possible ill health early retirement if there is provision for this

2. What records relating to statutory maternity pay must an employer keep?

An employer must keep the following information on each employee who receives statutory maternity pay:

• The medical certificate (MAT B1) or other evidence relating to the pregnancy that has been provided by the employee
• A record of intended dates of leave advised by the employee and the date the maternity leave officially commenced, if circumstances change
• A record of weeks that SMP was paid and the amount paid each week
• A note of any weeks in the maternity pay period for which SMP was not paid and the reasons why

3. If an employee wishes to resign after disciplinary proceedings have commenced, should the employer continue the disciplinary proceedings?

If the employee’s resignation is with immediate effect, then his or her employment will terminate. There would then be nothing to gain in continuing disciplinary proceedings without the employee who is no longer employed. However, it is important that employers store the disciplinary information for up to one year following the employee’s resignation. This information will be of great use should the employee attempt to claim constructive dismissal or unlawful discrimination following the disciplinary proceedings.

4. What will happen to EU employees after Brexit?

The rules on free movement and immigration in the UK still remain unclear. This topic has been a fundamental issue of the negotiations held between the UK and the EU.

On 8 December 2017, the UK Government announced it had come to an agreement with the EU on citizens’ rights. Following this, a further agreement was reached on the terms of the implementation period. The agreement named “Settled and pre-settled status for EU Citizens and their families” is not yet law and will be subject to change depending on the final outcome of the negotiations.

The Government have implied that there will be an implementation period, which is due to commence on 29 March 2019 (the withdrawal date) and will terminate on 31 December 2020. Under this agreement, EU nationals residing in the UK before 31 2020 will meet the criteria for settled status when they have been a UK resident for 5 years. This will give them the right to work and live in the UK without a fixed time limit.

EU nationals who do not have 5 years continuous residency will be permitted to apply for a permit, which will grant them the right to remain until they reach the 5-year mark, at this point they will be able to apply for settled status.

Those who arrive in the UK throughout the implementation period will be required to register their residency if they stay for longer than 3 months.

5. Can employers still operate childcare voucher schemes following the introduction of tax-free childcare?

Yes, employers can still operate a childcare voucher scheme. However, it is important to note that new entrants will not be eligible to join the scheme from 4 October 2018.

The Government had initially announced that the scheme would end 5 April 2018. However, it was extended by 6 months in March 2018. Employees will continue to reap benefits from an existing childcare voucher scheme, as long as they continue as employees of the employer and that employer continues to offer the scheme.

How can Employment Law Services (ELS) help?

If you are an employer who requires assistance with any of the issues raised in this blog contact us today for your free consultation 0370 218 5662.

Employee Onboarding – 5 Best Practices to Improve Retention

What is an onboarding process?

Onboarding is the procedure an employer should use to help a new employee acquire the knowledge and skills needed to become a successful member of the team. Onboarding should cover the following steps:

• Preparations prior to the start date;
• An introduction to tools used;
• Orientation of the office culture;
• A chance to meet the rest of the team;
• An evaluation of the full process afterwards.

Why is employee onboarding important?

SME business owners should view onboarding as an opportunity to ensure all new starts hit the ground running and grow to become loyal satisfied members of the team.

After all, you put a lot of management time and effort into finding the perfect candidate for the job. So, you should not stop there, employers should then put as much effort into ensuring that their new employee succeeds in their new position.

Communicate often and before the employment begins

Once you have selected the right candidate for the job, and before the employment commences, there are a few steps you can take to ensure the onboarding process runs smoothly and successful:

(1) Get the employees personal information; for example, the candidates name, title, national insurance number, proof of right to work in the UK etc;
(2) Notify all relevant departments; inform your HR support, payroll, IT and anyone else that may need the new employee’s personal details. Ensure that you follow up with all relevant departments and confirm they are prepared ahead of time for the new arrival.

It is advised that employers begin the welcome process before the employee arrives. The more information that your new employee has on your company and your plan for their first few weeks, the less nervous they will be on their first day. Before an employee starts, they should be aware of the following pieces of information:

(1) The companies dress code;
(2) Office hours;
(3) What time they should arrive on their first day;
(4) The schedule for their first week.

Introduce them to the team

Generally, the first day of employment will be filled with training and paperwork. If this is the case, you are missing the chance to really welcome someone to your team. Employers should:

(1) Give the new employee a proper tour of the office;
(2) Introduce the new employee to their colleagues (remember it is not easy being the new kid at school);
(3) Ensure their workspace is stocked, organised and ready for use.

Once the employment has started – set achievable goals

Give your new employee direction and realistic goals right from the offset. By setting easy-to-reach goals, your new employee will find instant success and feel motivated about their decision to join your business.

Explain the companies long term goals

You should explain to the new employee your future goals and vision for the company and let them know where they fit in that picture. Making your employee aware of their role in the company’s long-term goals will provide them with job security and an understanding of the mission that you and your team are working to achieve.

Arrange one-to-one time each week

At Employment Law Services (ELS), we recommend that employers put aside 10-15 minutes each week for the first 2-3 months of a new employee’s employment. This will keep you informed of any potential challenges they may be facing and provide you both with some time to stay connected and engaged and provide each other with feedback.

Employer considerations

Implementing a thorough and consisted onboarding plan takes time and effort. There are a few critical errors that employers should recognise and attempt to avoid ensuring a new employees induction period runs smoothly.

(1) Avoid overloading a new employee with too much information too soon; the first few weeks in a new job can be daunting for any employee. Therefore, you do not want to give them excessive amounts of work before they are ready.
(2) Don’t assume new employees will understand everything right away; it is important that employers remember that even new employees with lots of industry experience should be given the opportunity to properly digest any additional information they are given.
(3) Don’t forget to evaluate the full process; measuring the outcome of your onboarding process should be the key to improving it. Assess your metrics and take note of any improvements you find in employee performance, increased retention and time to proficiency. Once you have the answers to this, you should consider how to improve the value of a better onboarded employee.

How can Employment Law Services (ELS) help?

It’s all very well having an employee who is qualified and experienced for the job, but if you want to get the most out of that employee an efficient onboarding process is key. If you are an employer who has any issues or concerns about the topics raised in this blog, give us a call today for your free consultation: 0370 218 5662.

5 Reasons for a fair dismissal

Dismissal occurs when an employer decides to terminate the employment relationship. And, since the Supreme Court ruled that tribunal fees were a barrier to justice, claims against employers have increased by 90%. It is important to note that the average pay out for an unfair dismissal in the tribunal is £30,000.

Terminating an employee’s employment will never be an easy decision. However, at one point it may be the right decision for you and your business. So, when you do need to do this, ensure you have one of the following 5 reasons for a fair dismissal.

(1) Conduct
You can dismiss an employee if:

• They are incapable of doing their job to the required standard
• They are capable, but unwilling to do their job
• They’ve committed some form of misconduct
“Conduct” covers a variety of different acts, from not following instructions, to theft. It is therefore recommended that employers have policies in place that detail examples of what will be classed as misconduct, as well as what will be viewed as gross misconduct.

(2) Capability
Capability is defined in the Employment Rights Act 1996 by reference to the skills, aptitude, health or any other mental trait of the employee.
However, before dismissing an employee on the grounds of capability, employers should offer the employee support and extra training to help them reach the standard expected.

(3) Redundancy
Redundancies are another form of dismissal and can happen when an employee’s job no longer exists. This may be due to the employer needing to reduce its workforce, close the business, or certain work is no longer required.
Whatever the situation, it is important employers consider these key points:

• Employees have the right to not be unfairly selected for redundancy
• Employees may be entitled to a statutory redundancy payment and notice
• Redundancies can be compulsory or voluntary

(4) Statutory illegality
This form of dismissal is not used often but would occur if an employer continued to employ someone that resulted in them breaking the law. For example, you employ a lorry driver and they lose their licence and you have no other alternative (legal) role to place them in.

(5) Some other substantial reason (SOSR)
There is no legal definition of dismissals in this category and some would suggest that this is a “dust bin” category.
Some typical examples include:
• Conflicts of interest
• When a client refuses to work with your employee and you have no other work for them to carry out
• Personality clashes
• Where the mutual trust and confidence has been broken

Please note, that even where a dismissal is potentially fair “for some other substantial reason” the employer must ensure that they have followed procedure and have acted reasonably when dismissing the employee.

How can Employment Law Services (ELS) help?
If you are an employer who requires assistance with any of the issues raised in this blog contact us today for your free consultation 0370 218 5662.

Know when to outsource a HR function

As a small business owner, how many times have you gone into the office early to find mountains of paperwork that you just never seem to get through?

Most employers will understand the frustration of spending more time than necessary on non-revenue generating activities. Therefore, outsourcing a HR function can make the business more profitable and productive.

What size is the business?
Generally, employers with fewer than 80 employees tend not to have an in-house HR function. Instead, managers deal with any HR or employment issues that arise. However, with the business growing each day, staying compliant becomes a growing concern.

What services do SME’s require?
The nature of the work carried out by an employment law and HR specialist varies and is usually determined on the nature of the organisation and the roles carried out by its employees.

With regard to Employment Law Services (ELS), we work with employers who have no HR function to ensure their business consistently meets all of its legal requirements in terms of HR policies and employment contracts. As well as this, the team are qualified to advise and support business owners and managers who are faced with discrimination claims, redundancy issues, settlement agreements and dismissals.

How much does it cost to outsource?
At Employment Law Services (ELS) we keep our price structure simple. Our clients benefit from a cost-effective solution that saves them extensive amounts of time. Which in turn allows them to focus on the core business activities.

(1) Ad hoc Service

The team at Employment Law Services (ELS) provide UK employers of all sizes with employment law advice, support and representation on an ad hoc basis. Ad hoc work was initially established to help smaller start-up companies draft employment contracts and policies, ensuring new employers are complying with complex employment legislation whilst protecting their business.

(2) Annual Retainer Service

Our fixed-fee annual employment law and HR retainer service is provided by our specialist team of fully qualified employment law practitioners who understand how to balance compliance with UK employment legislation with the practicalities of successful people management in an operational environment where organisational objectives need to be met.
This helps employers manage their employees across all aspects of their employment from offer letters and contracts of employment, to managing absence, poor performance, disciplinaries, grievances and terminations.

Benefits of HR outsourcing 

  • Reduced cost
  • Increased efficiency
  • Access to improved HR IT systems
  • Improved management information (including human capital metrics)
  • Access to HR expertise not available internally
  • Increased flexibility and speed of response
  • Reduced risk

Employer considerations

Employers should consider the following factors when deciding to outsource:

  • Are you spending too much time on activities that do not generate profits or competitive success?
  • Are you carrying out jobs that waste valuable time and energy?
  • Do you have temporary tasks that arise, yet recur in cycles?
  • Do you require skills that are so specialised, but it would be impractical for you or management to do it?

If you are a business owner who employs people and you are not sure what to do next, contact us today for your free consultation. 0370 218 5662.

Employers – Avoid an Own Goal During FIFA World Cup 2018

Introduction

The 2018 FIFA World Cup started yesterday and will run until 15 July. Whilst this will no doubt excite football fans others will be less excited, including many Employers, not least due to the difficulties it could cause them.

The not so good news for UK Employers

With kick off times ranging from 1pm to 7pm staff could still phone in sick, or worse simply not turn up in order to watch matches  and this could have serious implications for Employers.

To help Employers better understand the risks and equip them with tools to better manage the situation and create a positive outcome for both employer and employee, we’ve outlined below the keys points Employers should consider.

Potential Issues Employers Might Face

  • Unauthorised absence;
  • Staff being drunk / under the influence of alcohol at work;
  • Inappropriate conduct by employees – discrimination, racism, bullying or harassment;
  • Increases in holiday requests from both football and non-football fans alike.

Ways Employers Could Avoid Issues

1.  Ensure You Have Clear Policies in place including:

  • Sickness & Absence Policy
  • Code of Conduct
  • Discipline & Grievance Policy
  • Bullying & Harassment Policy
  • Drugs & Alcohol Policy
  • Equality & Diversity Policy
  • 2.  Manage absenteeism in advance.

    • Make it clear to employees that absences without authorisation will not be paid and may lead to action under the Disciplinary Policy.
    • Utilise Return to Work Interviews to identify and address fake sickness absence or absent resulting from post-match hangovers

    3.  Reconsider Your Holiday Arrangements

    • Relax caps on the number of employees that are allowed to be on holiday at one time
    • Where staff have indicated they want to see certain matches, encourage them to take the time off as annual leave.
    • Remember non football fans may make holidays requests during the same period and so you will need to ensure you treat all holidy requests fairly and equally.  Granting a holiday request by a male employee but refusing a holiday request from a female employee could trigger a claim of sex discrimination!

    4.  Some Other Things to Consider

    • Screening matches in a meeting room or communal area.
    • Relaxing your Internet Policy and allow employees to stream matches on their PCs.
    • You will need to ensure you have the appropriate licenses in place which allow screening or streaming of live TV within the workplace.

    Events like this can create legal pitfalls for Employers, especially those who don’t have up to date HR policies in place.  If you would like a free assessment or specific advice on this or any other employment related matter Contact Us today on 0800 612 4772 or alternatively request a Free Quote Now.