Many companies now have nepotism policies in place to avoid favouritism, undue influence or conflicts of interest in employment decisions. However, what bearing does the closeness of a relationship have on the question of discrimination on the grounds of marital status? The Employment Appeal Tribunal (“EAT”) has recently grappled with this issue in the case of Hawkins v Atex Group Limited and others, a case involving arguments about discrimination on the grounds of being married to a particular person. The case arose from issues relating to the employment by Atex of three members of the Hawkins family.

The Employment Appeal Tribunal (“EAT”) has recently grappled with this issue in the case of Hawkins v Atex Group Limited and others, a case involving arguments about discrimination on the grounds of being married to a particular person.

The case arose from issues relating to the employment by Atex of three members of the Hawkins family.

Mr Hawkins was appointed CEO of Atex in 2004 and in 2006 went on to appoint his wife (who was the Appellant in the proceedings)  to provide HR and marketing consultancy services to Atex through a company which was jointly owned by the couple. The Board of Atex were apparently aware of this.

In December 2009 the couple’s daughter was employed by Atex as Global Human Resources Manager and in January 2010 Mrs Hawkins went on to become an official employee of Atex, in the capacity of Corporate Marketing Directo]]>17/05/2012http://www.prettys.co.uk/default.asp?p=13&l=1&a=221 Employees changing jobs is a fact of life. ; But what preparatory steps can an employee take with a view to competing with their existing employer once their employment ends? ; And do they

Employees changing jobs is a fact of life.  But what preparatory steps can an employee take with a view to competing with their existing employer once their employment ends?  And do they have a duty to pass on to their current employer any relevant information they receive, in confidence, whilst in the process of finding alternative employment? There have been many cases relating to these issues, the latest of which, Customer Systems plc v Ranson and others, is quite significant.  The case recognised that there was an ‘interplay between two concepts’.  On the one hand an employee should be free to prepare for their future while still employed but on the other hand, whilst still employed, they should serve their employer’s best interests.

This particular case involved claims by Customer Systems plc (CS), an IT Consultancy, against four of its former employees in connection with a company set-up by one of the defendants, Mr Ranson, whilst still employed by CS.  The new company, Praesto Consulting UK Limited, subsequently employed the three other defendants and the company went on to compete with CS.

Several claims were made by CS but of particular interest is the part of the Judgment which concerns another defendant, Mr Offland.

Whilst Mr Offland was still employed by CS, Mr Ranson asked him to look at a proposal in respect of work to be carried out by Praesto.  This work was on behalf of AstraZeneca Global in Manchester.   CS had previously worked with AstraZeneca in Manchester but they were not a current customer.  AstraZeneca in Luton, however, was an important CS client for which Mr Offland was responsible and the Praesto proposal described Mr Offland’s work for AstraZeneca as if it had ]]>17/05/2012http://www.prettys.co.uk/default.asp?p=13&l=1&a=213 There are a number of atypical working arrangements that can be adopted to allow for flexibility as businesses start to grow. Such arrangements allow businesses to ensure that they have an

There are a number of atypical working arrangements that can be adopted to allow for flexibility as businesses start to grow. Such arrangements allow businesses to ensure that they have an adequate workforce in place to cover peaks and troughs in work levels and to test whether the growth is going to be sustainable before committing to the recruitment of permanent staff. This article focuses on three key types of atypical working arrangements namely agency workers, casual workers and fixed term contractors.

Agency Workers

Agency workers are engaged by an employment agency to work for one or more clients typically on a temporary basis to cover staff shortages caused by illness, holidays, sabbaticals or maternity leave, to work on a specific task or project or to meet fluctuating or unexpected demands in the client’s business.

Whilst such arrangements offer a high degree of flexibility for businesses, it is important to note key legal obligations under the Agency Workers Regulations 2010 effective from 1 October 2011:

• Agency workers have a right from the first day of any assignment to access collective facilities and amenities (for example, any canteen, gym and/or transport) and to receive information about job vacancies. 
• Agency workers who have been engaged on the same assignment for 12 continuous calendar weeks have a right to the same basic working and employment conditions that they would have been entitled to had they been recruited directly by the client.

The employment agency will be primarily responsible for ensuring these legal obligations are met but, through their contracts for services, will impose similar legal obligations on clients and, through their pricin]]>16/05/2012http://www.prettys.co.uk/default.asp?p=13&l=1&a=211 Many previously stable and predictable business sectors have become increasingly volatile and unpredictable in recent years. Supply and demand may swing sharply in relatively short spaces of

Many previously stable and predictable business sectors have become increasingly volatile and unpredictable in recent years. Supply and demand may swing sharply in relatively short spaces of time. In these circumstances businesses should look afresh at their contracting arrangements and their business structures and consider whether any changes are appropriate to deal with the greater degree of uncertainty.

Contractual terms

• In purchasing contracts, you should endeavour to agree terms which include:
• a right to call off supplies as and when they are needed, rather than on a fixed periodic basis;
• few or no exclusivity arrangements or minimum volume commitments;
• an obligation for the supplier to maintain minimum levels of stock in order to cope with peaks in demand or supply chain disruption; and
• a right for you to terminate the agreement so that you can negotiate better terms if the market turns in your favour.

Depending on the circumstances, it may be preferable to fix prices for the duration of the contract (perhaps subject to an annual price review mechanism) in order to increase your level of certainty and avoid the risk of unexpected price increases. This comes at the cost of being able to take immediate advantage of price drops, although this drawback can be overcome if you are able to terminate the contract on relatively short notice.

The approach is often reversed for sales contracts. In order to increase stability, you should tr]]>16/05/2012http://www.prettys.co.uk/default.asp?p=13&l=1&a=212 Needing New and Bigger Premises? Many of our clients have weathered the recession and are now looking at expanding. With full order hooks and more staff they need bigger premises. But they

Needing New and Bigger Premises?

Many of our clients have weathered the recession and are now looking at expanding. With full order hooks and more staff they need bigger premises. But they are cautious  -the light at the end of the tunnel may simply be another train coming towards them!

Anyone looking to take on new premises needs to be careful they are not entering into long-term liabilities, which could drag them under if the economy dips back into recession.

So flexibility is the key.

What are possibly options for companies looking to take on new premises without entering into long-term commitments:-

1.  Consider introducing flexible working practices instead

Depending on the nature of your business can you have your workforce work more flexibly?

That way you can employ more people without needing new premises.  Consider:

• more efficient use of existing space for instance, open plan working rather than modular offices.  There are consultants who specialise in advising companies on how to reconfigure their premises to maximise use of space.
• introduce hot-desking and home working.  Where many employees are out of the office in meetings with clients, do they need their own dedicated space?  Similarly can you introduce some home working for employees to free up space?

2.  Consider serviced offices/short term industrial units

Increasingly serviced offices/industrial units are available for short terms.  These are very flexible BUT generally expensive. However if you are looking for extra accommodation to enable you to service a one-off large order, or are simply uncertain what your long term plans are this is a very good stop-gap solution.

Whilst the move is intended to promote trade and increase sales, employers who plan to make changes to their opening hours need to be mindful of the protection afforded to employees in relation to Sunday working. Unless the contract of employment gives the employer flexibility to request Sunday working or the employee has agreed in writing to do so, employers must not penalise employees if they refuse.

84% of health and safety legislation will be ‘scrapped’ or ‘improved’, with certain strict liability provisions being scrapped.

The proposal is intended to benefit the economy and will include introducing changes to legislation later this year which will mean that Health and Safety law no longer holds employers to be in breach of their duties in civil law where they have done everything that is 'reasonably practicable and foreseeable to protect their employees'.

The Government will accept the Low Pay Commission's recommendations for below inflation increases to the National Minimum Wage.

The move is intended to support employers and help protect jobs.  The adult National Minimum Wage rate will rise to £6.19 an hour and the apprenticeship rate to £2.65 an hour. The youth rates will be frozen at their 2011 levels.

Child benefit will only be withdrawn from households where someone has an income over £60,000 a year and a gradual reduction in child benefit will apply where someone in the household has an income over £50,000.

It was previously suggested that this would be withdrawn from households where a joint income exceeded this amount. However, it has been decided that it will be based on a single earner amid concerns that employees may be discouraged to take up employment where their wages as a couple exceeded the set amount. It was also suggested that the implementation of such ]]>13/04/2012http://www.prettys.co.uk/default.asp?p=13&l=1&a=200      Roland SharpThere have been three recent cases of relevance:   - R (Forest Care Home Ltd) v Pembrokeshire County Council1

Roland Sharp

There have been three recent cases of relevance:

- R (Forest Care Home Ltd) v Pembrokeshire County Council¹

- R (Sefton Care Association) v Sefton Council²

- R (East Midlands Care Ltd) v Leicester County Council³

                                                                                      ]]>23/02/2012http://www.prettys.co.uk/default.asp?p=13&l=1&a=196This famous line from the movie Jerry Macguire (Tom Cruise as a sports agent struggling to make it on his own) could be the banner headline for many businesses struggling with their cash flow.  GoodThis famous line from the movie Jerry Macguire (Tom Cruise as a sports agent struggling to make it on his own) could be the banner headline for many businesses struggling with their cash flow.  Good cash flow is one of the vital fuels needed to keep businesses healthy and late customer payments place enormous strain on their efforts.

The Domino Effect

The constant chore of chasing unpaid invoices will often affect your own ability to pay and is a distraction from running and building your business.

At Prettys we have designed and built an easy to use online system to help any business succesfully recover their debts. The Prettys online system called Netchaser is a tried and tested solution for business, providing clients with an economical means of sending out debt collection letters from their law firm and issuing county court claims:

At Prettys we see the benefits to business in proactive performance management; setting clear and measurable objectives, appropriate training to achieve them, clear disciplinary policies and procedures to address misconduct and recognising the variety of options for reward and motivation – even in financially restricted times. 

For most organisations, the performance of their workforce is critical to being fit for business.  During this Olympic year, it’s worth remembering that many of the techniques delivering optimum performance in the world of sport can be adapted with equal success in the world of work.

Here are four suggestions from our Employment Services Team

1. Clear goals guide performance

A well-negotiated contract will enhance the fitness and wellbeing of most businesses, especially in difficult market conditions when suppliers and customers negotiate harder and lean more on their strict contractual rights. Here are four tips to give you a good start “out of the blocks” and keep you running smoothly.

1. Keeping negotiations on track

Make sure you know with whom you are contracting and ensure that they are accurately identified in the contract. Who is the person you are dealing with representing? Is it a company or an individual? Do not settle for a “trading name”.

The recent economic climate has led to an increase in the number of employees being made redundant. Recent judicial guidance highlights how employers should approach redundancy situations where an employee is absent on maternity (or other similar) leave; redundancy obligations under the Agency Workers Regulations; and protective awards.

1.      Employee is absent on maternity (or other similar) leave

The case of Eversheds Legal Services Ltd v De Belin emphasised how difficult it is for employers in a redundancy selection exercise to suitably assess a female colleague who is on maternity leave, against a comparative male colleague. In attempting to avoid discriminating against pregnant women, employers can end up facing sex discrimination claims by men]]>02/02/2012http://www.prettys.co.uk/default.asp?p=13&l=1&a=193   Have you been Mis-sold an Interest Swap?   Prettys has encountered a surge of complaints from business clients against banks who linked loan facilities to an interest Swap

Have you been Mis-sold an Interest Swap?

Prettys has encountered a surge of complaints from business clients against banks who linked loan facilities to an interest Swap arrangement.

Swap agreements are complicated financial instruments, often sold by the banks appropriately, but sometimes not.

What are typical signs of mis-selling?

-          A failure to provide appropriate information and warnings to the customer.

-06/01/2012http://www.prettys.co.uk/default.asp?p=13&l=1&a=180The Department of Health has issued guidance entitled Future ownership and management of estate in the ownership of Primary Care Trusts in England. It is just over a year since the Health Minister,The Department of Health has issued guidance entitled Future ownership and management of estate in the ownership of Primary Care Trusts in England.

It is just over a year since the Health Minister, Andrew Lansley, unveiled a White Paper which, among other things, sounded the death-knell for Primary Care Trusts (“PCTs”). In that Paper (which has since become the Health and Social Care Bill 2011), it was announced that PCTs would be wholly abolished by 2013. Their functions are due to be taken over by a mixture of GP-led consortia and local councils.

PCTs throughout the country have various interests in land and property which will need to be dealt with before the 2013 deadline and the guidance issued earlier this month (“the Guidance”) sets out the first steps which should be taken by PCTs in dealing with their estate.

The Guidance follows the Minister’s Direction, issued in February this year, concerning all property transactions of PCTs and Strategic Health Authorities (“SHAs”) in 2011.

Scope

The Guidance provides that “Aspirant CFTs, other NHS Trusts and Foundation Trusts are to be given the opportunity to acquire part(s) of the PCT estate deemed ‘service critical clinical infrastructure’. That is, premises integral to the provision of community services commissioned from these NHS bodies.”

The Guidance goes on to say that the organisations listed above can only acquire those parts of the estate in which they are already a ‘majority occupier’ i.e. they must already occupy more than 50% of the lettable floorspace of the premises in question.

Other types of property, such as NHS LIFT, PPI/PPP and PCT interests in ITSC buildings are specifically excluded from the scope of the Guidance and should remain with the PCT until further guidance is issued.

The Guidance is therefore applicable only in relatively limited circumstances.

Transfer terms

The]]>12/09/2011