In This Issue:
 •  Welcome
 •  Tribunal limits
 •  TUPE goes abroad...
 •  ... and TUPE objections
 •  Ill-health retirement
 •  Employment Bill published
 •  Cutting it too fine…
 •  And some snippets...



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Welcome
The New Year heralds the annual increases in tribunal awards – they take effect next month – and sees some interesting decisions from the courts on TUPE transfers and ill-health retirement.

The Employment Bill 2007-2008 — which includes abolishing the statutory disciplinary and grievance procedures — was published last month, while other legislation in the pipeline extends the scope of the Sex Discrimination Act 1975 and tightens up the framework regulating employment agencies.

Finally, employment tribunal chairmen are no more – they have a new name for the New Year.

Malcolm Davies
Andersons Solicitors


Tribunal limits
The compensatory award for unfair dismissal is increased next month to £63,000 from £60,600, and a week's pay for basic awards, redundancy payments, etc, goes up from £310 to £330. The new limits apply to dismissals which occur after 1 February 2008.


TUPE goes abroad...
The TUPE 2006 regulations have the potential to cover the transfer of businesses outside the UK and even beyond the European Union, the Employment Appeal Tribunal has decided in a case concerning the relocation of work from a factory in England to a new base in Israel.

The requirement under TUPE that the business originally be based in the UK was sufficient to give the UK courts jurisdiction over the transfer even though the enforcement of tribunal awards might prove difficult.


... and TUPE objections
Employees with valid grounds can object to a TUPE transfer even when it has taken place, the Chancery Division has ruled in a case where five employees discovered their new employers' identity two days after the transfer and did not want to work for them.

The employers argued that the employees could only exercise their right to object before the transfer and sought interim injunctions to enforce restrictive covenant clauses which had transferred across.

However, the court ruled that it is valid for an employee to object promptly after discovering the new employer's identity and this then has retrospective effect, so preventing the TUPE transfer. In this case, the benefit of the restrictive covenants did not transfer and interim relief was accordingly refused.


Ill-health retirement
A capability dismissal will normally be unfair if the employer fails to take reasonable steps to find out whether the employee is entitled to ill-health retirement benefits, the Employment Appeal Tribunal has ruled.

The decision means that the implied obligation not to unreasonably deprive an employee of ill-health benefits now covers unfair dismissal.


Employment Bill published
The Employment Bill 2007-2008, which had its second reading on 7 January 2008, makes a number of changes to existing legislation. Among key provisions are:
  • repealing the statutory disciplinary and grievance procedures
     
  • giving tribunals the discretion to increase awards by up to 25 per cent where an employer unreasonably fails to comply with a statutory code of practice
     
  • removing the fixed conciliation period and extending Acas's conciliation role

The Bill covers other, less commonplace issues including enforcement of the national minimum wage and amending laws about trade union membership. Note that it is far too early to think of relying on the changes (or even start planning for them).


Cutting it too fine…
An ET1 claim form lodged on the Employment Tribunal Service website at eight seconds past midnight was out of time, the Employment Appeal Tribunal has ruled.

The form was sent at one second to midnight by a law student who the EAT has referred to the Regulated Claims Management Service for charging the claimant £150 an hour while not formally registered in line with the Compensation Act 2006.


And some snippets...
Employment agencies
New regulations coming into force in April establish a framework of minimum standards for private employment agencies. They include new protection of agency workers where provision is made through a third party for services such as living accommodation or transport and for those working in the entertainment and modelling sector.


Judges take the chair
Employment tribunal chairmen are now known as 'employment judges' under the Tribunals, Courts and Enforcement Act 2007 which came into effect on 1 December 2007. There are no changes to their role or duties.


Workplace fire safety
The Health and Safety Executive has updated information on its fire and explosion website to cover changes to the HSE's role. Details here.


Stress support
The Government is to pilot an £8 million advice and support service for smaller businesses to help people with stress and other mental health conditions find and keep work. Existing pilot schemes in which Jobcentre Plus advisors work in GP surgeries will also be expanded and a new programme for GPs rolled out focusing on health and work issues. Details here.


Acas success
Work done by Acas in resolving disputes saves the economy £313 million, while the advice and guidance service contributes a further £475 million, according to an independent survey. Reductions in recruitment, absence and other employment costs, together with savings in management time, were among the benefits Acas was found to bring to businesses. Employees benefited from better job prospects and avoiding losses in earnings.


Unpaid overtime
Nearly five million employees worked unpaid overtime in 2007, an increase of 103,000 on the previous year, according to a new TUC analysis of official statistics. Employees would receive an extra £4,955 a year if they were paid for the extra hours they are putting in, says the TUC. The average amount of unpaid overtime is seven hours and six minutes a week.


 

About Andersons
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Andersons offer a comprehensive employment law service to a broad client base comprised mainly of quoted and private companies, public authorities, charities and private individuals, many of whom are household names. Our expertise covers all aspects of employment law and in particular matters relating to litigation, re-organisations, severance, training and general HR advice. We act for clients on a nationwide basis and represent clients all over the country in Employment Tribunals, the Employment Appeal Tribunals and other courts.

If you require advice or assistance in respect of any particular matter, please contact Malcolm Davies on davies@andersonssolicitors.co.uk . For more information about Andersons, please see our website http://www.andersonssolicitors.co.uk .



Disclaimer
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