
The Employers Update - July 2009
Welcome to the July edition of
Employ!
Following feedback from readers,
we’ve reduced the amount of content
within the usual Employ! email
newsletter to give you
just the headlines you need.
You'll now be able to read the
articles in full, right here each
month - and don't worry! As soon as
the latest edition of Employ! goes
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Please email any HR queries you may
have to
oliver.mccann@taylors.co.uk or
alternatively please feel free to
contact the Taylors employment team
on 0844 8000 263.
Oliver McCann
Partner
Tel: 0844 8000 263
Email:
oliver.mccann@taylors.co.uk
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There are daily reports, both locally and
nationally, of new cases of swine flu and the
general consensus is that the number of
cases will now increase dramatically over
the next few months peaking this winter.
The government has switched its focus to
treatment from containment, and is
contemplating putting in place emergency
measures which entitles employees to self
certify for up to 14 days to avoid the need
for them to obtain a GP certificate.
Taylors have received enquiries from local
businesses impacted by staff falling ill
with swine flu and businesses need to
prepare for the worst. Most businesses rely
heavily on their employees, without them
business stops – can you afford for this to
happen?
Further, as an employer it is your duty to
safeguard the health of your staff and so
putting in place a sensible policy to deal
with the disease would be a significant step
towards complying with that duty. Would it
be unrealistic to suggest that corporate
manslaughter charges could be made against
those employers who recklessly expose their
staff to the disease where a fatality
arises?
What do I need to know?
Here are six practical steps a business can
take and should encompass in a Swine Flu
policy:
- Distribute the official advice leaflets to
your employees detailing how to prevent
transmission, recognise the symptoms and
follow the NHS Guidance for Employers
- Put in place an action plan/policy as to how
to deal with those who have the virus, those
who are in contact with the virus, those who
maybe highly exposed to the virus and are
in high risk categories as well as what the position
is on sick pay
- Ensure you have a ready supply of tissues
and bins in the workplace
- Purchase hand sanitiser gels and distribute
throughout the workplace encouraging all
staff to regularly use the sanitiser gel
whether ill or not
- Obtain a list of volunteers of staff who
will work extra hours if the need arises,
having a reliable temping agency on stand by
for short term worker requests
- Consider arrangements for remote working
If you need a policy drawing up to fit in
with your business please
contact me.
Useful Information
Earlier this year we reported on the
Malcolm v Lewisham case which obliterated
the concept of disability related
discrimination by changing the “comparator”
in such cases. The prediction was for
“reasonable adjustments” to now play centre
role in discrimination cases.
A recent case has confirmed that a decision
to dismiss a disabled employee can be an act
of discrimination by reason of a failure to
make reasonable adjustments. Therefore limiting the
effect of the Malcolm case which in essence
allowed employers to argue that if they
would have dismissed a non disabled person
for the same reasons i.e. poor attendance
record then the dismissal of the disabled
employee cannot be an act of discrimination.
What do I need to know?
Handling disabled employees is extremely
difficult and fraught with complex issues.
The repercussions of getting it wrong can be
devastating with claims attracting unlimited
compensation.
Worse still, the definition of a
“disability” seems to get wider each year to
the extent that you may have employees’ who
are disabled yet you are unaware of this –
ignorance is no excuse if you ought to have
reasonably known!
We’re
here to help and are ready to provide
specialist advice.
Since the introduction of the Employment
Equality (Age) Regulation 2006 it had been
provided for the Default Retirement Age of
65 (“DRA”) to be reviewed in 2011. The
government has just announced to bring that
review date forward to 2010.
It seems as though the challenge to DRA is
gathering pace. The Heyday challenge on the
DRA was heard on the 16th July in the High
Court, following the ECJ decision that it is
not incompatible with European directives to
set a DRA so long as the DRA can be
justified has having regard to social or
employment objectives.
What do I need to know?
In the meantime there are hundreds of cases
stayed in the Employment Tribunals
challenging the decision to compulsory
retire at 65. Consider your policy about
retirement and put in place a
contingency approach to retirement in the
interim.
A recent case highlighted the far
reaching consequences of a TUPE transfer and
discrimination claims.
The employee was employed by an IT company
but was made redundant in March 2004. In
July 2004 the business of the IT company was
transferred to one of its subsidiaries. The
employee claimed unfair dismissal and race
discrimination against the new owner of the
business and succeeded in persuading the
Employment Tribunal that the dismissal was
automatically unfair for a reason related to
the transfer (despite dismissal being 3
months before transfer) and also race
discrimination. Liability passed to the new
owner because of the application of TUPE who
was ordered to pay £72,000 in compensation
in 2006.
The new owner refused to pay the award. The
IT company from which it had acquired the
business had become insolvent and so the
indemnities in the Business Transfer
Agreement were rendered useless.
The employee obtained a county
court judgement for the award but this
remained unpaid as of April 2008.
Accordingly the employee issued a fresh
claim against the new owner alleging that
the failure to pay the award and/or satisfy
the county court judgement was an act of
victimisation. The claim was initially
rejected by the Employment Tribunal before
it even got off the ground. A review hearing
was rejected and the employee appealed to
the Employment Appeals Tribunal who agreed
that the act of failing to pay the award
could be an act of victimisation. This
decision was upheld by the Court of Appeal.
What do I need to know?
Remember that treating a claimant
differently because they have brought a
discrimination case will constitute
victimisation. Such liability can even be
that of an entity that never employed the
individual concerned but where it is the one
responsible for the victimisation as in this
case.
1. Do you have to pro rata bank holiday
entitlement for part time staff?
Part timers are entitled to not be less
favourably treated than their counterpart full timers.
Previously, part time
workers had been found to not have been less favourably treated
in relation to bank holidays as the
deprivation of the right to bank holidays
was not because of their part time status
but because they simply were not contracted
to work on, for instance a Monday, when most bank
holidays fall.
However a case last year, on different part
time issues, effectively over turned this
principal so that NOW you must allow your
part time employees a pro rata entitlement
of the annual bank holidays. As such an
individual who works 3 days per week
Wednesday to Friday will be entitled to
3/5th of the 8 Bank holidays per year i.e. 5
extra days leave to be used on Bank holidays
or as they
see fit.
In this scenario the employee, if bank
holidays were not pro rata, would get
between a minimum of 16 days or a maximum of
19 days depending when the Christmas an New
Year bank holidays fall. Where the bank
holidays are pro rata then the employee
would get 20 days per annum with a number of
those days being allocated towards the days
where their days do fall on Bank Holidays.
2. We recently gave our cleaning contractor
one month’s notice that we no longer
required their services as we intended to
perform the cleaning activities ourselves
in-house. We have since received a letter
from the contractor alleging that the two
cleaners assigned to our premises should TUPE transfer to us. Is this correct?
It is quite possible that bringing in-house
your cleaning activities falls within the
definition of a service provision change
under TUPE and as such does constitute a
transfer to the extent you may be lumbered
with the cleaners employment. This situation
is by no means straightforward and there are
a number of grounds which you could raise to
challenge this proposition, subject to
finding out further information about the
individual cleaners activities prior to
alleged transfer. Take legal advice
urgently.
3. We are going through a redundancy process
at present and have identified the pool for
selection. Do we need to consult with all
individuals in the pool or can we simply
consult with those at risk?
Assuming this is not a situation where the
statutory collective consultation
obligations are crystallised (20+ employees)
then the obligation is to consult with those
who are provisionally selected using
objective selection criteria. Remember it is
only the individual being dismissed by
reason of redundancy that can claim unfair
dismissal and so it is with those selected
that consultation is most important, not
those who are safe having regard to the
selection scores.
Copyright 2006 - 2010
Taylors Solicitors
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