Employment concern
Employment law was the single biggest issue for business owners calling the Forum of Private Business’s legal helpline during a five-week period between September and October, which included the 1 October ‘common commencement date’ when new regulations come into force.
The Forum’s most recent legal helpline figures show that a significant 65% of calls received during the period were queries about employment law, dwarfing the next biggest issue – ‘general business enquiries’ – which prompted just 14% of calls from members.
The terms and conditions of business contracts came third, comprising 10% of all legal helpline calls.
To help small businesses negotiate the legal pitfalls they face, and provide peace of mind when they are employing staff, the Forum recently launched its new Employment Guide, which covers every aspect of employment law.
“As with much of the legislation affecting small businesses, employment law can be a huge minefield and one of the main problems is that it is constantly changing, with new regulations coming in all the time,” said the Forum’s chief executive Phil Orford.
“For example, some of the biggest recent changes came with the Agency Workers Regulations Act, which came into force in October along with a raft of other legal developments. The Act effectively gives temporary workers the same rights as permanent staff, significantly changing the requirements of business owners who rely on the flexible labour market.
“While the burdens of employment law remain in place, keeping up with the changes and putting in place watertight procedures should remain a key priority. It is important to know your responsibilities – and act accordingly so you don’t fall foul of the law.”
According to 2009 figures from the Department for Business, Innovation and Skills (BIS) a single employment claim can cost an employer £1,800 on average – rising to £13,600 in management time, legal fees, staff replacements and potential awards if the claim proceeds to a tribunal.
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