New Employment Tribunal Rules 2013

PEOPLE BUSINESS NEWSLETTER

 

 

 

New Employment Tribunal Rules of Procedure came into force for claims received from the Tribunal on or after 29th July 2013, following a review carried out last year. 

These reforms are regarded as the biggest to Employment Law Tribunals for over 25 years. 

The aim is to simplify the existing rules which have been criticised for not being very "user friendly".

It is important to understand what these changes mean for businesses; therefore, we have put together a summary of the key changes as well as tips to help your business deal with these reforms.

Summary of key changes

Mediation and Settlement

The tribunal, where appropriate, will encourage parties to use ACAS (Advisory Conciliation and Arbitration Service) or other mediation to resolve disputes by agreement.

Presenting a Claim

There will be a requirement for the Claimant (employee) to pay a fee to lodge a tribunal claim. A tribunal will reject a claim form if it is not accompanied by the fee. An initial fee will be paid to issue a claim, and a further fee will be payable if the claim proceeds to a hearing. There are two levels of fee which will depend on the type of claim.

The tribunal will also have the power to reject a claim if it is in a form which cannot sensibly be responded to. It is unclear how this will be interpreted, but it may well impact on unrepresented Claimants with poor language skills who have inadequately drafted their claim form or whose details are illegible.

Default Judgements

The tribunal will no longer automatically issue a default judgement if a response has not been received by the 28-day deadline. An Employment Judge will decide whether they can determine the claim from the information they have before them.

Sift Stage

One of the most important changes is the introduction of an initial sift of claims by an Employment Judge before the claim progresses any further. If the Judge considers there are no reasonable prospects of success for a claim, then they can strike out the case without the need for any hearing.

From a practical perspective, it is important that the parties ensure that the pleadings are comprehensively drafted in the first place. Therefore, it is important to keep a good record of evidence to show that a fair process has been followed, which should then make it easier for the Judge to see what actions have been taken.

Withdrawal and Dismissal of Claims

Where a claim or part of it has been withdrawn, the tribunal will automatically issue a Judgement formally dismissing the claim. This should mean that employers no longer have to apply for dismissal of proceedings, however as there is no timeframe stated, parties may end up chasing the Tribunal.

Timetabling

A Tribunal may impose time limits on parties in terms of presenting evidence, questioning witnesses or making submissions. In practice, this happens already and can be quite effective in focusing the minds of those involved on the core issues in the case.

Tips for dealing with Tribunal reforms

•Ensure your HR policies are stringent and up-to-date.

 

•Seek advice and guidance on employment law issues to reduce the risk of a tribunal claim.

 

•Compensation rules and fee charges can be complicated. It is essential, therefore, to seek advice on these areas to avoid potentially paying fees that you do not need to.

 

•Although the new reforms can stop weaker cases getting to the hearing stage, try not to rely on this by becoming complacent when handling employee relations issues.

This summary is a snapshot and of course the Tribunal will still retain discretion on whether claims proceed. However, from the look of the new rules, they appear to be a welcome addition in attempting to reduce claims that have no merit, at an earlier stage than is currently possible. This will hopefully save on legal costs and time.

The intention of the rules is for both parties to be on an equal footing, but the new rules do appear to be tipped in favour of employers in dealing with claims.

As to how they will work in practice, time will tell.

Watch out for further developments and updates in our newsletters later in the year.

 
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We can offer mediation services from professionally qualified staff.  

If you would like more information on this service or any advice on the new rules, 

please email us at julie.ware@peoplebusiness.co.uk or call us on 01932-874-944.

Employment Law Update 2012

  

PEOPLE BUSINESS NEWSLETTER

Employment Law Update

From 1^st October 2012 we will see a number of changes to employment law.  A summary of the changes taking place are detailed below as well as proposed changes further ahead.

Employment Law changes 1^st October 2012

National minimum wage increases

·         21 and over £6.19 per hour up by 11p

·         18-20 year olds: £4.98per hour no change

·         16-17 year olds: £3.68per hour no change

·         Apprentices: £2.65 per hour up by 5p

Staging for pensions auto-enrolment begins

The Pensions Act 2008 and the Pensions Act 2011 require employers to auto-enrol eligible jobholders not already participating in a workplace pension scheme into a qualifying pension scheme or the National Employment Savings Trust.

The duty to auto-enrol is implemented in stages: the employer's staging date is dependent on how many employees there are.

Employers will need to:

·         Automatically enrol certain eligible workers into a pension scheme

·         Make contributions on their workers' behalf

·         Register with The Pensions Regulator ('the regulator')

·         Provide workers with certain information about the changes and how they will affect them 

Employers may postpone enrolment for three months, although employees will be able to opt in during the postponement period.

The table below sets out the revised automatic enrolment dates for all employer sizes.

Employer size	Automatic Enrolment duty date
	From	To
250 or more employees	1 October 2012	1 February 2014
50 to 249 employees	1 April 2014	1 April 2015
Test section for less than 30 employees	1 June 2015	30 June 2015
30 to 49 employees	1 August 2015	1 October 2015
Less than 30 employees	1 January 2016	1 April 2017
Employers without PAYE schemes	1 April 2017	- - -
New employers Apr 2012 to Mar 2013	1 May 2017	- - -
New employers Apr 2013 to Mar 2014	1 July 2017	- - -
New employers Apr 2014 to Mar 2015	1 August 2017	- - -
New employers Apr 2015 to Dec 2015	1 October 2017	- - -
New employers Jan 2016 to Sep 2016	1 November 2017	- - -
New employers Oct 2016 to Jun 2017	1 January 2018	- - -
New employers Jul 2017 to Sep 2017	1 February 2018	- - -
New employers Oct 2017	Immediate duty	- - -

Smoke-free (Signs) Regulations 2012 come into force

These Regulations revoke the Smoke-free (Signs) Regulations 2007 and replace the detailed requirements for no smoking signs prescribed by the 2007 Regulations with a simple requirement for there to be at least one legible no-smoking sign displayed in all smoke-free vehicles and in all smoke-free premises.

Other proposed changes (dates yet to be confirmed) include the following:

Parental leave increases from three to four months

The permitted period of parental leave following the birth or adoption of a child increases from three to four months, and at least one of the four months will not be transferable between parents. The Directive comes into force on 8 March 2012, but the Government has confirmed that it will rely on the exception that allows member states an extra year for implementation, and that it will implement the change by March 2013.

Reform of access to work

The Government's equality strategy confirms that the Government will reform the Access to Work scheme so that disabled people will be in a position to apply for jobs with funding already secured for adaptations or equipment that will assist them to perform the role.

Protected conversations introduced

Conversations between an employer and an employee or an offer made prior to the termination of employment, with a view to terminating employment on agreed terms, may not be taken into account by an employment tribunal when determining an unfair dismissal claim.

  

All potential employment tribunal claims referred to ACAS

The Enterprise and Regulatory Reform Bill requires potential claimants to lodge details of their proposed employment tribunal claim with ACAS in the first instance. ACAS will offer the parties the opportunity to engage in conciliation with a conciliation officer for a prescribed period. Where the conciliation officer concludes that a settlement is not possible, or where the prescribed period ends without reaching a settlement, the claimant will be issued with a certificate permitting him or her to issue proceedings.

Changes to The Cap

The cap on the compensatory award for unfair dismissal is to be reduced from £72,300 to the lower of the national median average earnings (currently £25,882) or an individual's annual net salary.

Changes/updates for 2013 include the following:

School leaving age is raised to 17

The Education and Skills Act 2008 changes the statutory framework to put a duty on all young people in England to participate in education or training until the age of 17 (increasing to 18 in 2015). It also amends legislation about the provision of adult education and training, and support for young people.

Eye tests for professional drivers

The Driving Licences Directive prescribes that holders of commercial driving licences will be required to have their eyes tested every five years. The UK must implement the Directive by 2013.

CRB process amended

Once a Criminal Records Bureau (CRB) check has been conducted, the results will be available online to enable employers to confirm that no new information has been added since the check was originally made. This means that an employee will not have to obtain a new check each time he or she starts a new job.

Fees for tribunal claims introduced

Claimants who issue a claim against their employer in the employment tribunal are required to pay a fee. There are two levels of claim, depending on the complexity of the case. The claimant pays an initial fee to issue a claim and a further fee if the claim proceeds to a hearing. The tribunal may order the fees to be repaid to the claimant if he or she is successful with his or her claim. Fees are also payable for appeals submitted to the Employment Appeal Tribunal.

Directive on protection of healthcare workers must be implemented

Member states must implement legislation that gives increased protection to healthcare workers by 11 May 2013. The increased protection includes provision to prevent injuries caused by sharp objects.

If you would like any advice regarding any of the information listed or would like to make a comment about this newsletter please email us at: julie.ware@peoplebusiness.co.uk or call us on 01932 874944. You can also respond at http://people-insight.blogspot.com/

Flexible working during difficult times

PEOPLE BUSINESS NEWSLETTER

Companies in need of a flexible workforce during difficult times

Pressure on businesses in these tough economic times has forced Companies to get creative with their workforce. With permanent full time job vacancies at low levels, many employers are now using such measures as internships and zero hours contracts in a bid to be cost effective.

In tough times, many companies need the flexibility to adjust their workforce to changing levels of business with fewer people on the permanent payroll. When the country starts to climb out of recession, as it surely will, then businesses will need fast and flexible access to labour to meet rising business demands.

If your Company is feeling the strain of having less work available for employees you could consider some of the following options:

Zero hours contracts

Under such a contract you offer no guaranteed hours, the individual does not have to accept the work offered and you only have to pay for the work actually done.

It is important to ensure that the contract is carefully drafted to reflect a true zero-hours arrangement. This can be tricky so you may wish to seek advice when considering this type of arrangement.  

Flexible working

Allowing employees to work flexibly can benefit both the employee and the employer. This can include allowing employees to reduce their hours to part time or allowing someone to take an unpaid sabbatical.

If an employee puts in a request to work flexibly under the statutory right (for those with children or those who are carers) you must consider the requests properly and can only refuse a request on certain business-related grounds.

Flexible working practices may include:

• Part-time working: work is generally considered part-time when employers are contracted to work anything less than full-time hours.
• Term-time working: a worker remains on a permanent contract but takes leave during school holidays.
• Job-sharing: a form of part-time working where two (or occasionally more) people share the responsibility for a job between them.
• Flexitime: allows employees to choose, within certain set limits, when to begin and end periods of work.  
• Annual hours: the period within which full-time employees must work is defined over a whole year to allow for peaks and troughs in the business.
• Career breaks: career breaks, or sabbaticals, are extended periods of leave – normally unpaid – of up to five years or more.

Part time working

Part-time working has become increasingly common but laws are in place which prevent employers using part-timers as a cheap pool of labour. Employers cannot discriminate against part-timers by treating them less favourably than full-timers, unless objectively justified. They will therefore generally be entitled to the same terms and conditions pro rata as full-timers, including pay, benefits, pension and holiday entitlement.

Unpaid work experience/internships

Offering an unpaid internship is another way of reducing labour costs. Internships can benefit both employer and intern as the employer is gaining help in the Company while the intern is gaining experience and contacts within the workplace. Just be aware that if you offer an unpaid internship the intern has the right to come and go as they please and do not have to work to certain deadlines or complete certain tasks.

What challenges could our Company encounter implementing these practices?

The kind of challenges you might face include:

·         overcoming concerns about operational pressures and meeting customer requirements

·         how to manage flexible working practices effectively

·         current attitudes toward flexible working and the existing organisational culture

·         a lack of support at various management levels

Top tips

The following tips can help effective implementation:

·         Ensure that there are clear roles and responsibilities for employees and managers

·         Assess the current levels of support offered to managers and ensure it is sufficient

·         Assess how conducive your organisation culture is to flexible working arrangements and take action accordingly

 ·         Make use of pilots (when introducing new initiatives) and trial periods (for individual working arrangements) in order to highlight potential problems

·         Build in opportunities and mechanisms to monitor and evaluate progress

·         Draft agreements carefully and if in doubt seek advice

·         Familiarise yourself with the rights of employees and workers

·         Beware of offering regular casual work as this could lead to an employment relationship arising

·         If you agree to flexible working arrangements remember that you will need to amend terms and conditions of employment

·         Consider any flexible working requests according to the statutory requirements

·         Ensure that part-time workers are given the same terms and conditions as the full-timers as is directed by statutory law

·         Pay interns the NMW unless they are work shadowing or volunteering

·         Look into the governments Get Britain Working scheme and investigate job subsidies

There is absolutely no doubt that pressure on businesses during these tough economic times means the need for more flexibility. However, it is important to consider which types of contract are appropriate for your workers depending on your organisation’s culture, resources and the work assignments that need to be delivered.

If you would any advice or help with the implementation/review of your employee contracts or would like to make a comment about this newsletter please email us at: julie.ware@peoplebusiness.co.uk or call us on 01932 874944. You can also respond at http://people-insight.blogspot.com/

Olympics: employee behaviour at Company events

You can read our latest newsletter about employee behaviour at Company events here:

http://www.peoplebusiness.co.uk/hr-articles.asp

Olympics: employee behaviour at Company events

Read our latest newsletter 'all you need to know about interns' at our website here:

http://www.peoplebusiness.co.uk/files/June_Newsletter.pdf

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