In my role as an employment lawyer, I often come across the same mistakes being made by various employers in how they manage the employment law / HR function in their organisation. Often, in the hectic day to day activities of running a business, it can be easy to neglect some basic things that all employers should consider in managing their people. This short article highlights some of the easily avoided mistakes that I come across regularly and gives some guidance on how to avoid falling into these traps.

Failing to issue written terms and conditions

The law requires employers to issue a statement of main terms of employment to all employees. This must specify what the terms and conditions are around issues such as hours of work, rate of pay and holiday entitlement.

Quite apart from being a legal requirement, it makes good sense to write down the terms of employment. A mobile phone contract is in writing so how much more important is it that the terms of a contract of employment should be written down?  In addition to the terms that the law says must be written down, an employer has an opportunity to draft further helpful clauses into a contract, including terms relating to confidentiality, recoupment of training fees, the right to implement reduced working hours and covenants restricting the employee’s after the employment has come to an end.

An employer who fails to write down the terms of employment not only fails to comply with the law but also deprives the employee and the organisation of certainty over what the precise terms of employment are. This is more likely to result in confusion and disputes arising. Taking some time to write down the terms of employment at the outset is a simple step that should not be avoided.

In addition to the statement of main terms of employment, it is useful to issue a policy handbook, setting out the organisation’s position on matters such as how sickness is managed, as well as setting out rules on matters such as mobile phone use, computer use and social media. Investing a little time in issuing these policies to employees is helpful in creating certainty over what each party’s rights and responsibilities are.

Failing to deal with issue early

It can be difficult to address performance concerns or minor misconduct issues and often employers are reluctant to have difficulty conversation with employees. However, failing to tackle matters early on can lead to frustration building on the part of the employer while the employee may continue to be unaware that there is a problem. If an employer has an issue with an employee’s performance or conduct at work, it should be addressed immediately.

Often an informal conversation is all that is needed to bring a matter to the employee’s attention and the desired improvement follows. If this improvement is not forthcoming, more formal action may be required. Too often I have consulted with employers who have not dealt with matters early and instead allowed problems to fester. These employers then feel that the employee is no longer suitable for employment but have not at any point addressed the matter with the employee. Inevitably in these circumstances there is frustration to only be starting a process of performance management which, if it had been started early on, then either the performance would have improved or the employer would already be well on their way to fairly terminating the employment having taken the employee through the appropriate performance management / disciplinary procedures.

Failing to follow the statutory dismissal procedure

Despite the dismissal procedure having been in place for more than 10 years and clear guidance being issued by the Labour Relations Agency in Northern Ireland and ACAS in GB, far too many employers still dismiss employees without following the minimum procedures set out in law.

The procedures are not difficult to follow. An employer must write to the employee, setting out the allegations and/or circumstances that have led to the employer contemplating dismissing the employee. A meeting must be convened to discuss the matter. The employee has the right of accompaniment at that meeting. After the meeting, the employer must write to the employee with the outcome and offer the right of appeal. If the employee appeals, an appeal hearing must be arranged. Again the employee has the right of accompaniment and a written outcome must be issued.

A dismissal that fails to follow this procedure is automatically unfair. Too often employers compromise what would otherwise have been a fair dismissal by failing to follow the dismissal procedures. This leads to losing Tribunal claims and, to make matters worse, Tribunals can increase compensation as a penalty for the employer failing to follow the statutory dismissal procedure.

These are three of the most common errors employers make in managing the employment law / HR function. All three can be easily avoided by taking a little time and following a fair process. Cutting corners to get desired short-term outcomes often leads to longer term difficulty.

This article intended as a guide and for general information only and is not a substitute for taking specific advice relating to your situation. For specific advice regarding this or any other issue relating to employing people, please do not hesitate to contact us.