Employment Law Update 2005 - 28/01/2005

The next few months will be busy in terms of new legislation and developments in employment law. A useful time then for a round-up of what's new.

Stress

Work related stress is one of the main causes of occupational ill health and can lead to poor performance at work and absences.

The Health and Safety Executive have introduced new Management Standards for Stress. These guidelines are not designed to replace existing stress guidance documents but to assist those within your organisation who have responsibility for work related stress and can help to improve your business.

The Health and Safety Executive suggest identifying the hazards and those at risk followed by evaluation of the risks. This information should then be communicated to your workforce and recorded. Regular reviews are recommended. More information is available from Keoghs or from the Health & Safety Executive website at www.hse.gov.uk.

Increase in Tribunal Awards

As from 1st February 2005 there will be an increase in tribunal limits. The most important increases are as follows:-

- The maximum compensatory award rises from £55,000 to £56,800

- The limit on a week’s pay (for calculating redundancy payments and the basic award in unfair dismissal cases) will increase from £270 to £280.

Statutory Maternity/Paternity Adoption

As from April 2005 the following changes will apply to Statutory Maternity/Paternity/Adoption Pay:-

- Increase in the standard rate from £102.80 to £106.00 per week

- Increase in the earnings threshold (weekly pay that employees must earn to be eligible) from £79 to £82

Office Romance

Employers should be aware of office romances as they have the potential to lead to claims for sex discrimination or sexual harassment. In the recent case of Chamberlain Solicitors v Emokpae, the Employment Appeal Tribunal upheld a complaint of sex discrimination. In this case the claimant had been dismissed after rumours of an affair between her and the office manager.

Close relationships may be banned from the workplace for several reasons that do not relate to sex discrimination, for example to prevent bias or if it may lead to unprofessional behaviour between staff and managers.

A rule preventing close relationships will not be discriminatory if it is applied to all and will not create unlawful sex discrimination. If a member of the opposite sex would have been treated the same way then this will not amount to direct sex discrimination (discriminating against one sex and not the other).

Care must be taken to avoid indirect discrimination. If a policy affects one sex more than the other this will be indirect discrimination. For example if a lower grade employee will automatically be transferred if she is having a personal relationship may be indirect discrimination if there are more women in lower pay grades.

Employers should make it clear from the outset what their policy is and what any breach of the policy may lead to.

For further information contact Kevin McKenna, Associate E-mail: kmckenna@keoghs.co.uk Telephone: 01204 677070

Disclaimer of Liability: Nothing in this document constitutes legal advice. You should always consult a suitably qualified lawyer about any specific legal matter. Keoghs assume no responsibility for information in this document and disclaims all liability relating to such information.