DISPOSING OF STAFF

Dismissal

There are five statutory grounds which would justify dismissal:

• conduct
• capability
• redundancy
• a statutory requirement
• some other substantial reason.

In all cases you must be seen to have acted fairly and, if you stick to the provisions of the ACAS Code of Practice, which include the requirement for a meeting with the employee prior to dismissal, it will help any subsequent tribunal hearing to find in your favour.

In certain circumstances when an employee resigns, you may still be deemed to have acted unfairly. This applies if you are considered to have forced the resignation by your conduct. It is termed ‘constructive dismissal’.

Notice

Unless you sack someone on the spot for gross misconduct such as dishonesty, minimum periods of notice are laid down according to the length of time an employee has been with you:

• between one month and two years: one week
• two years: two weeks
• each extra year: one extra week to a maximum of 12.

Periods of notice may vary according to the contract between you. If you require an employee to give you more than one week’s notice, get it included in the contract.

Redundancy

Employees may be dismissed on grounds of redundancy providing it is done fairly and without any other factors being taken into consideration.

The rules on redundancy and qualifying for payments are complicated and may be found in Fair and Unfair Dismissal, Redundancy Consultation and Notification and Redundancy Payments from the Employment Service, also Redundancy Handling from ACAS.

In brief, payments are made on the basis of complete years’ service to persons qualifying. Limits are set annually.

OTHER EMPLOYMENT PROCEDURES

Over 30 booklets dealing with the various aspects of employment, in addition to those already mentioned, are available free of charge from Jobcentres and from ACAS.

A number of booklets including Sex Discrimination Act and Advertising and Codes of Practice are available from:

The Equal Opportunities Commission

Arndale House

Arndale Centre

Manchester M4 3EQ.

tel: (0845)6015901

fax: (0161)838 8312

email: info@eoc.org.uk

A Code of Practice, including a new gender equality duty, due in 2007, is available from:

The Commission for Racial Equality
St Dunstan’s House
201-211 Borough High Street
London SE1 1 GZ
tel: (020)7939 0000
fax: (020)7939 0001
email: info@cre.gov.uk
web: www.cre.gov.uk

Thinking of Taking Someone On? – PAYE Tax and National Insurance Contributions for Employers (CWL3), Inspection and Examination of Business Accounts (IR72), Your Guide to Self Assessment (SA/Book 8), and Self Assessment – a general guide to keeping records (SA/Book 4) are available from Inland Revenue offices.

CASE STUDY

Andrew and Christine Bright have taken on a staff of four. Pat and Jennie work as cleaner and waitress respectively, for 20 hours a week each. Both are entitled to receive a written contract of employment (which will include the period they worked for the vendor) and to receive the protection of the Employment Acts. Since there are fewer than 20 employees, an additional note is not required.

Maggie and Yvonne each work 12 hours a week as washers-up. On the purchase of a commercial dishwasher costing £2,400 inc VAT, they will be made redundant. The Brights’ solicitor has advised that, since they have not worked a total of two continuous years, they are not entitled to redundancy payments. Their contracts of employment specified one week’s notice.

The Brights have made an immediate purchase of a six-slice toaster, a hot water boiler and a fan-assisted refrigerator, costing a total of £1,010 including VAT.

CHECKLIST

• Do you know what regulations you need to comply with?
• Is your kitchen properly laid out and equipped?
• Are your public rooms comfortable and well furnished?
• Does your bar and equipment comply with the law?
• Do your bedrooms meet Visit Britain standards?
• Have you considered upgrading them?
• Is your hotel generally well equipped?
• Have you considered leasing essential new equipment?
• Is the outside well lit and welcoming?
• Are your hotel sign and tariff clearly visible?
• Have you carefully assessed what staff you need?
• Do you know how to advertise for and recruit staff?
• Do you know how to administer and train staff?
• Do you know about PAYE and National Insurance?
• Do you know how to dispose of staff?
• Do you know your obligations in law?