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Monthly update October 2007
Welcome to BusinessHR's October update
Topics:
- Employment law update
- Final reminders of changes this month!
- Increase in statutory holiday entitlement
- Increases to the National Minimum Wage
- The CEHR comes into being
- Racial and Religious Hatred Act 2006
- Some minor amendments to existing legislation
- Data Protection - final reminder
- Interesting tribunal cases
- Sex discrimination case results in almost £47,000
compensation
- Equal pay - confirmation that a woman can use as a
comparator someone ranked lower than her in an equal pay
claim
- Finally, can fresh evidence make a previous unfair dismissal
fair?
- And some which haven't got that far yet
- Religious discrimination - nose studs
- What is "reasonable" personal use of the Internet during the
working day?
- Health and safety news
- European Week for Safety and Health at Work 22- 26 October
- Absence due to alcohol and drugs
- Is work good for you?
- New on the website
- And finally
- Interesting workmates and working habits....
Employment law update
Final reminders of changes this month!
Increase in statutory holiday entitlement
The minimum statutory holiday entitlement was increased with
effect from 1 October to 4.8 weeks - 24 days for someone working
a 5 day week. Note that if you already give your employees
four weeks' holiday plus bank/public holidays, then you do not
need to increase their holiday entitlement further.
The minimum holiday entitlement will be increased again in April
2009 - to 5.6 weeks - but again this amount can include
bank/public holidays, so if you already pay for these, there is
no need for a further increase.
What you may need to reconsider are your arrangements for
part-timers (to ensure they get at least the correct pro rata
amount), those on maternity leave or long-term sick, those who
leave or join you during the holiday year and whether your
existing rules on carry over can still apply.
See our website page on this:
/docs/legal/stathol.html
Just as we all get our minds around the new entitlements, and
put clauses into contracts clarifying the arrangements for
taking leave (or not) on bank/public holidays, we then read
about a proposal to add another bank holiday between August and
Christmas! The Institute for Public Policy Research has
suggested that an additional bank holiday, on the Monday after
Remembrance Sunday (12 November this year), could help to build
a British national identity and would act as a national "thank
you" for local heroes and as a national "ask" for people to give
back to their communities. They said that it could also
celebrate the diversity and pluralism of modern Britain.
Needless to say the CBI were not enthusiastic about this
suggestion, and commented quickly that the current improvements
to the statutory holiday were already costing the economy up to
£6 billion! So whilst the UK lags behind the rest of the EU
in the number of bank/public holidays, and whilst Scotland and
Ireland both have more than England and Wales (9, 10 and 8
respectively) it would seem that there will be opposition to the
introduction of any more!
Whilst many workers will benefit from the increased statutory
holiday, research by Legal & General found that 7% of full-time
workers do not take any holiday at all! Their survey of 2000
people, including 942 full time workers, found, perhaps
unsurprisingly, that senior management are the least likely to
take breaks from work, with 29 per cent working through the day,
and 12 per cent saying that they don't take holidays from work.
Increases to the National Minimum Wage
The minimum hourly rates from 1 October 2007 are as follows:
- £5.52 for workers aged over 22
- £4.60 for workers aged 18-21
- £3.40 for workers aged 16-17
This is the first year, since the NMW was introduced in April
1999, that the Low Pay Commission has recommended an increase -
3% - in line with inflation rather than above it.
Will we see any further changes to the Minimum Wage? The
Chairman of the Low Pay Commission has said that their "cautious
approach this year should not be taken as a signal that the
minimum wage is too high. After four years of substantial
increase, this year the evidence pointed to the need for
moderation. Next year that might change, or the need for caution
might be even stronger." At the same time, the British Youth
Council is calling for an equal minimum wage for all workers,
regardless of age - they feel that the existing three levels are
discriminatory on grounds of age. And Gordon Brown is still
considering regional variations in the future. A controversial
report for The Economic Research Council, published in June,
argued that the minimum wage for Londoners should be boosted to
£6.90 an hour, while recommending minimum wage levels below
£5 for workers in Yorkshire, Northern Ireland and Wales.
Watch this space!
The CEHR comes into being
The Commission for Racial Equality, the Disability Rights
Commission and the Equal Opportunities Commission have now
merged to form a single equality body, the Commission for
Equality and Human Rights (CEHR) which will be responsible for
all areas of discrimination.
The CEHR takes on all the powers of the previous commissions,
but also has new powers to enforce legislation more effectively
and promote equality for all, including powers to take on human
rights cases.
It's new website was launched at 8.00am on Monday, see
www.equalityhumanrights.com/
In addition there is a new helpline - with separate numbers for
each of England, Scotland and Wales - open from 9am - 5pm,
Monday - Friday. The helpline will deal with enquiries on
gender, age, disability, race, religion or belief, sexual
orientation and human rights.
The numbers are as follows:
0845 604 6610 - England
0845 604 8810 - Wales
0845 604 5510 - Scotland
Racial and Religious Hatred Act 2006
The Racial and Religious Hatred Act 2006 came into force on 1
October 2007. This extends the crime of incitement to commit
racial hatred to cover religious hatred, and creates a new
criminal offence of stirring up hatred against a person on the
grounds of their religion (or lack of religion). The offence
applies to the use of words or behaviour which are threatening
and intended to stir up religious hatred.
An act of religious discrimination in the workplace could amount
to an offence under the Act. The offence is not limited to
individuals: a company will also be guilty if "it is shown that
the offence was committed with the consent or connivance of a
director, manager, secretary or other similar officer". If
found guilty of this offence, the officer of the company
involved, as well as the company can be punished - which can be
either a fine or a prison sentence of up to seven years.
Some minor amendments to existing legislation:
Firstly, flexible working requests:
From 1 October 2007 more types of adopter and foster carer are
entitled to make a request for flexible working to care for a
child. The definition of "adopter" now includes those who are
adopting a child, whether domestically or inter-country, where
the child has not been placed with the adopters by a UK adoption
agency. They also include definitions of 'adoption agency',
'private foster carer' and 'residence order'. In addition,
those who foster children privately (as opposed to those with
whom children are placed by fostering services, who were already
covered), and those in whose favour a "residence order" is in
force in respect of a child are covered, as are the spouse,
partner or civil partner of such individuals.
And secondly, discrimination on grounds of sex or
religion/belief:
Also effective from 1 October 2007, and following the Equal
Opportunities Commission proceedings against the Government in
relation to some of the provisions of the Employment Equality
(Sex Discrimination) Regulations 2005, the amendments on
pregnancy and maternity leave discrimination and harassment have
now been made to implement the court's ruling.
And as from 14 September 2007, amendments to the Employment
Equality (Sexual Orientation) (Religion or Belief) Regulations
make it unlawful for training providers to discriminate in the
arrangements they make "for the purpose of determining to whom
[they] should offer training."
Data Protection - final reminder
A final reminder that the remaining provisions of the Data
Protection Act (DPA) come into force on 24 October, meaning that
manual filing systems in existence before 24 October 1998 are now
required to comply with the DPA.
Separately from this, the Information Commissioner's office has
been busy! Not only have they issued a new technical guidance
note, 'Determining what is personal data', which explains and
illustrates the Information Commissioner's view of what is
'personal data' for the purposes of the Data Protection Act, but
they also plan to issue new guidance on the meaning of 'relevant
filing system'. See
www.ico.gov.uk/upload/documents/library/data_protection/detailed_specialist_guides/personal_data_flowchart_v1_with_preface001.pdf
And they are consulting on a new draft CCTV Code of Practice.
This sets out advice on good practice for those who operate CCTV
cameras and other devices which record images of individuals and
is intended to assist them in complying with the DPA. Appendix
3 includes specific guidance on the use of CCTV in the workplace
and in monitoring employees.
The ICO reports that the UK has more public and private CCTV
systems per person than anywhere else in the world. This is
coupled with the recent finding as reported by the national
advisory body for the CCTV industry, Camera Watch, that 90% of
these cameras may be failing to comply with the law.
Consultation is open until 31 October 2007, and a form for
submitting comments is available from the ICO website.
Interesting tribunal cases
Sex discrimination case results in almost £47,000
compensation
The first female and lay director of the London Irish Centre
(LIC) in almost 50 years successfully brought a claim against
the Board of Trustees of the LIC, and the Co-coordinator of the
Centre's Welfare Service, a Mr John Twomey, on grounds of sex
discrimination.
Ms Murnane worked as the Centre's Director for nearly two years
until she was dismissed. All previous Directors had been
Catholic priests. Even though the LIC Trustees were aware that
they were in a weak position legally, they asked Ms Murnane to
resign: when she refused to do so, she was suspended. The
Tribunal noted this, and also thought that Mr Twomey's
communications with Ms Murnane were "unacceptable, vitriolic and
almost abusive". His grievances against Ms Murnane were judged to
be "vindictive and excessive", and he resisted and resented her
authority over him, failing to provide an adequate explanation
for his actions.
Ms Murnane was awarded £46,537 in compensation.
Equal pay - confirmation that a woman can use as a comparator
someone ranked lower than her in an equal pay claim
You may remember the case of Hope v SITA (UK) Ltd, where
the employer tried to argue that the claimant should not receive
equal pay even though she was doing MORE work than her
predecessor! The claimant was promoted to a post previously
held by a man, but was paid less than he had been, even though
he had had a deputy (her!). The Employment Appeal Tribunal
rejected the argument that where a women is found to be doing
more work than her male comparator, this cannot be "like work".
In another common sense decision, the Court of Appeal has
decided, (effectively by rewriting s1(5) of the Equal Pay Act
1970) that an equal pay claim can also be brought where the
claimant’s job has been given a higher value to that of the
comparator in a job evaluation study (ie it doesn't have to be
rated the same). The case is that of Redcar Borough Council v
Bainbridge - the Council had argued that a woman, who could
undoubtedly base a claim on comparison with a man in the same
grade, could not alternatively base her claim on comparison with
a man who had been placed in a lower grade by a job evaluation
study, but who in fact received more pay than she did.
Finally, can fresh evidence make a previous unfair dismissal
fair?
No! In Hygia Professional Training v Cutter, the
employee was dismissed for trying to poach customers. At the
tribunal hearing, the employer had no real evidence of the
poaching - they said that they did not know they were expected
to obtain such evidence.
Following the decision, the employer obtained four witness
statements which, if accepted, were evidence that their
ex-employee had been approaching clients whilst still employed
by them. The EAT decided that this could not make the previous
unfair dismissal fair. They should have obtained the evidence
first time round.
And some which haven't got that far yet!
Religious discrimination - nose studs
Ken Livingstone has condemned the dismissal of a worker at
Heathrow Airport who was dismissed for wearing a nose stud.
Amrit Lalji had worn the stud at work for more than a year when
a manager told her to remove it for health and safety reasons.
She refused, was suspended and subsequently dismissed. Her
employer, Eurest caterers, said she had been advised "on a
number of occasions" of their policy - which bans jewellery
because it can harbour bacteria, create a hazard when working
with machinery and find its way into food.
Many Hindu women have their noses pierced and fitted with a stud
for their wedding as part of the Shringar ritual. Shringar is a
part of the Hindu wedding ceremony, similar to the giving of a
wedding ring within a Christian marriage. Brides who choose to
have their nose pierced and wear a stud for their wedding will
want to continue to wear it as a sign of their married status.
Ms Lalji's union, GMB, is trying to have her reinstated
immediately.
What is "reasonable" personal use of the Internet during the
working day?
Hot on the heels of media coverage about employers' concerns
about employees blogging and using social networking sites such
as Facebook, MySpace and YouTube (not just the time spent using
these but also the content of what has been put on them) come
reports of dismissals due to the amount of time spent using the
Internet for personal matters.
According to a BBC report, one worker at Neath Port Talbot
council was sacked, two resigned and another three face
disciplinary action for spending too long on personal use of the
Internet whilst at work. The sacked worker and those who
resigned were found to have spent up to two hours a day on ebay.
Whilst the council's policy allows employees to use the Internet
for personal use in their own time, the investigations found an
unacceptable level of usage for shopping and entertainment.
Unison, the union who defended the staff, said that the
temptation to visit such sites was too great and is now planning
to push the authority to limit use of the Internet for leisure
purposes to lunch breaks and to filter web access at other
times. (They currently prevent access to porn but not shopping
sites.)
We've just updated our template IT policy and added to this -
perhaps this is a timely reminder to look at your own and ensure
that whatever personal use you decide to allow is clearly
defined, and that your staff are aware of this!
Health and safety news
European Week for Safety and Health at Work 22- 26 October
The theme of this year's European Week for Safety and Health at
Work, 22- 26 October, will be "Lighten the Load" - looking at
preventing injuries through moving and handling at work.
Apparently the number of such injuries has increased virtually
every year since 1999, which is surprising given the decline in
working in industrial environments and increase in office-based
work. In particular, managers in warehouses, hospitals, nursing
homes and retail environments are encouraged to be aware of the
importance of training their staff properly.
Absence due to alcohol and drugs
New research from the Chartered Institute of Personnel and
Development (CIPD) and People Management magazine found that:
- four out of ten employers believe alcohol misuse is a
significant cause of employee absence and lost productivity
- one third report that drug misuse has a similarly negative
effect in the workplace
- many have no policy in place to help them manage this
- only 38% provide co-ordinated rehabilitation support to help
individuals with drug or alcohol problems to return to work after
treatment.
The CIPD is encouraging employers to ensure that staff are fully
aware of any policies on drink and drugs, and any provision of
counselling or other help - via staff briefings, poster or
publicity campaigns at work, internal notice boards newsletters
and e-mail alerts.
The Institution of Occupational Safety and Health (IOSH) has
also been looking at this issue, and has given its support to
employers who conduct "responsible" work-based drink and drug
tests, as part of overall prevention policies which include
education, training and support.
The HSE estimates that alcohol alone causes between 3% and 5% of
all absences from work, amounting to around 8 to 14 million lost
working days each year. Even small amounts of alcohol will
increase the risks of accidents in safety sensitive work, such
as driving or operating machinery, as well as reducing
performance, damaging customer relations and causing resentment
amongst other employees.
If you don't have an alcohol and drugs policy, you may wish to
customise our template policy - see
/docs/pol/substances/index.html
Is work good for you?
The Government is trying to persuade GPs to encourage their
patients who are long-term sick to get back to work. It claims
that evidence published last year proves that being in work can
help people with a health condition to get better; and that
returning to work from unemployment improves health.
A new survey of 1500 GPs, carried out by Doctors.Net on behalf
of the DWP, found that two-thirds (64%) are unaware of the
evidence that work is beneficial for physical and mental health.
However, nearly 90% said that if they knew of this evidence it
would affect the advice they give to their patients. Hence the
government is now issuing lots of information on this!
And a report from The Work Foundation into the economic and
social impact of musculoskeletal disorders - by far the biggest
cause of work-related illness - says most sufferers recover more
quickly by staying at work. The report says "There is
overwhelming evidence that worklessness is, itself, bad for
health." They state that long periods away from work are bad
for patients.
New on the website
We've added last month's hot topic - managing the psychological
contract - to the website, as well as a template letter to
confirm the details of jury service, a template sales commission
scheme and a lone workers' policy. We've also updated and added
to our customisable IT policy.
See:
/docs/guides/psychological.html
/docs/lf/jury/index.html
/docs/lf/commission/index.html
/docs/pol/lone/index.html
/docs/pol/it/index.html
And finally.....
Interesting workmates and working habits....
Do your colleagues annoy you?
Details of a survey by Ceridian seem to indicate that 58% of
office workers would keep quiet even if a colleague's bad habits
cause them stress. They found the most annoying traits were
- using excuses to get out of work - 20% cited this
- tantrums and arguments in open spaces - 11%
- gossiping and private conversations - 9%.
Which is your most productive day?
The Centre for Economic Performance has done a study and come up
with the startling news that Tuesday is the most productive day
of the week! 18.8% of work is done on Tuesdays as opposed to
16.8% on Fridays.
Maybe we don't have time for a nap on Tuesdays - a survey by
Lightspeed Research found that a third of UK workers admitted to
taking a short nap after lunch. An interesting choice of
location - 10% of them fell asleep in front of their PC! Other
common venues were their car in the car park, a couch in their
office, the toilets (!), a meeting room and underneath their
desk ....
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