| 1. Is it a legal
requirement that employees must receive an employment
contract ? |
No automatic right to receive a written
contract of employment. A verbal agreement is sufficient.
However, an employee is entitled to a written statement
of employment particulars (under the Employment Rights
Act 1996) - must be provided no later than two months
after the beginning of the employment.Statement must
refer to various matters, including pay, hours of work,
notice period, grievance procedures etc. |
| 2. What factors constitute
a fair dismissal i.e.legally justifiable reasons to
terminate employment without the need to pay compensation?
|
Employee must have been dismissed
in one of three ways:- Contract terminated by employer-
Fixed term contract expires- Constructive dismissal
Employer must show that dismissal is for one of five
permitted reasons and that he acted reasonably.- Capability
(e.g. lack of qualifications; inability to perform the
job, including illness or injury)- Conduct of the employee-
Redundancy- Illegality (e.g. driver disqualified from
driving)- Some other substantial reason. |
| 3. What is good practice
with regard to dismissal procedures to minimise the
risk of claims for unfair dismissal? |
Employer must show that he has acted
'reasonably' - this varies according to the reason for
the dismissal e.g. in the case of capability and qualification,
was training offered?; were warnings provided to improve
standards? If the reason was 'conduct' - the ACAS (government
agency) code of practice should be followed which requires
oral/written warnings followed by a final written warning.
(For gross misconduct employees may be dismissed without
warning). |
| 4. If an employee
is dismissed unfairly what is the financial range of
compensation that can be made to employees? |
Two types of award by Employment
Tribunal- basic award and compensatory award. Basic
award ranges from 1½ to ½ weeks pay for
each year's service (varying with the overall length
of service) - maximum of 20 years service and £240
per week. Compensatory award can include immediate loss
of net earnings, future loss of earnings, loss of pension
rights - maximum: £51,700. Reducing factors can
be taken into account, e.g. employees conduct; duty
to mitigate loss). |
| 5. Do employees have
the right to be members of a trade union? |
Yes, an employee is free to join
a trade union or not to join as he chooses. Consequently
it is unfair to dismiss any employee either because
he is or because he is not a member of a trade union. |
| 6. Is there any legal
requirement for an employer to contribute to a pension
for employees? |
An employer is obliged to offer employees
access to a 'stakeholder' pension scheme but does not
have to contribute unless this is provided for in the
contract of employment. Must contribute to social security
schemes with employee. |
| 7. What are standard
maternity rights? |
Every pregnant woman is entitled
to 'ordinary maternity leave' of up to 18 weeks; after
more than 1 year's employment, entitled to 'additional
maternity leave', which totals 29 weeks - contract of
employment continues and is entitled to return to work.
Employees should provide at least 21 days notice before
they take leave.Women are entitled to claim Statutory
Maternity Pay (SMP) or maternity allowance, paid from
public funds. |
| 8. What are parental
leave rights (including paternity leave)? |
Yes, provided an employee has been
in continuous employment for at least one year. Only
applies to parents of children who were born or adopted
(or who acquired formal parental responsibility) after
15 December 1999. For parents - child must be under
5; adopted - up to 18. Entitlement is to 13 weeks unpaid
leave for each child (pro-rata for part time employees). |
| 9. When are employees
eligible for redundancy payments? |
After 2 years, if an employee is
dismissed by reason of redundancy; and 20 - 65 years
of age unless the employee has contracted out of those
rights or is within an excluded class (e.g. Crown employees). |
| 10. What are the
statutory redundancy payment limits? |
- 1½ weeks pay for each year
of employment if aged 41 or over.- 1 weeks pay for each
year if aged 22 or over- ½ weeks pay for each
year if 18 or over. Subject to a maximum of 20 years
and £240 per week. |
| 11. Can existing
employees be dismissed if you buy a business with employees? |
Generally 'no', in accordance with
transfer of undertakings legislation. There must be
a relevant 'transfer', which means there is an automatic
transfer of the contracts of employment. If an employee
is dismissed for a reason connected with the transfer
|
| 12. Any other general
legislation? |
Companies should be aware of collective
labour agreements - conclude every two years in addition
to prohibition against discrimination on various grounds. |
