Employing staff is one of the main tasks for any business owner looking to expand. Keeping in line with the law governing employment is important to all start-up businesses because the law, as it applies, is generally the same regardless of size of company.
The Equality Act 2010 makes it unlawful for employers to discriminate against applicants, interviewees or employees because of any protected characteristics they may possess. All employees should be treated equally, regardless if they are male or female, part-time or full-time. No employees should be subjected to detriment or suffer bullying, harassment or victimising behaviour.
It is important to note that there are minimum statutory entitlements which should not be breached, for example the minimum statutory entitlement for annual leave is 5.6 working weeks which equates to 28 days for an employee who works a 5 day week paid at their normal weekly rate.
Similarly, remember that if an employee goes on sick leave they may qualify to receive at least the minimum statutory sick pay which is currently set at £88.45 per week. Any enhanced entitlements (e.g. in relation to annual leave, sick pay, maternity pay, etc.) should be specified in the contract of employment.
Terminations
When dismissing an employee they are generally entitled to a notice period dependent on length of service and specific notice periods should be set out in the contract. Statutory provisions for dismissal are:
1 weeks' notice if the employee has at least 1 month but less than 2 years' continuous service,
2 weeks' notice if the employee has 2 years of continuous service, or
If more than 2 years - 1 additional week for each completed year.
Generally, employers have greater flexibility to dismiss an employee during the first two years of their employment because they do not attain statutory protection against unfair dismissal until this point. Not all dismissals within the first two years will be risk free, however, for example those connected with discrimination.
Equality
Statutory protection begins even before an employment relationship has been created and extends throughout. From the start of the recruitment process the law on equality offers protection from discrimination relating to one or a combination of protected characteristics (age, disability, race, religion, sex, sexual orientation, gender reassignment, marital status and pregnancy/maternity).The Equality Act 2010 makes it unlawful for employers to discriminate against applicants, interviewees or employees because of any protected characteristics they may possess. All employees should be treated equally, regardless if they are male or female, part-time or full-time. No employees should be subjected to detriment or suffer bullying, harassment or victimising behaviour.
Written contracts
All employees acquire the right to receive a written statement of employment particulars if their employment lasts a month or more and the employer must provide one within 2 months of the employee's start date. There are certain requirements which the statement of main terms and conditions must include. Some of these are:- The names of the two parties, the job title and start date
- The location of the work, the number of working hours including any contractual overtime
- Salary details including holiday and sick pay entitlements
Notice periods
Along with the grievance procedure, the disciplinary procedure should also be included in the written terms and conditions of employment or another document which forms part of the employment contract, such as an employee handbook.National Minimum Wage and National Living Wage
All workers are entitled to receive at least the National Minimum Wage or National Living Wage on average for every hour of work that they carry out. The minimum rates are reviewed annually and are arranged according to categories, generally dictated by age. The current minimum hourly levels stand at:- Age 25 and over: £7.20 (National Living Wage)
- Age 21 - 24: £6.70
- Age 18 - 20: £5.30
- Age over compulsory school leaving age - 17: £3.87
- Apprentice rate: £3.30
Time off work
For some reason or other, all employees will need time off work at certain points during their employment. Employees have a legal entitlement to take time off for a number of reasons, such as annual leave, emergencies involving a dependant, maternity, paternity or shared parental leave, and it is a legal requirement to insert details on some of these into the written contract.It is important to note that there are minimum statutory entitlements which should not be breached, for example the minimum statutory entitlement for annual leave is 5.6 working weeks which equates to 28 days for an employee who works a 5 day week paid at their normal weekly rate.
Similarly, remember that if an employee goes on sick leave they may qualify to receive at least the minimum statutory sick pay which is currently set at £88.45 per week. Any enhanced entitlements (e.g. in relation to annual leave, sick pay, maternity pay, etc.) should be specified in the contract of employment.
Terminations
When dismissing an employee they are generally entitled to a notice period dependent on length of service and specific notice periods should be set out in the contract. Statutory provisions for dismissal are:
1 weeks' notice if the employee has at least 1 month but less than 2 years' continuous service,
2 weeks' notice if the employee has 2 years of continuous service, or
If more than 2 years - 1 additional week for each completed year.
Generally, employers have greater flexibility to dismiss an employee during the first two years of their employment because they do not attain statutory protection against unfair dismissal until this point. Not all dismissals within the first two years will be risk free, however, for example those connected with discrimination.