March Employment Law Update

   
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Employment Law Update
In this issue:
The Plan for Growth
Actions outside of the workplace
Dismissal unfair following the mistaken application of absence policy
Dismissal for 'some other substantial reason'
Territorial Jurisdiction
Increase to statutory rates
Changes to the PAYE treatment of post-P45 termination payments from 6 April 2011
Changes to the immigration system
Introduction of Additional Paternity Leave - less than two weeks away and counting...
Income protection insurance instead of statutory sick pay
 


Welcome to our March 2011 Employment Law Update

When I talk to businesses, I often receive the same comment from them about employment law: that it is always changing and therefore never dull. It certainly keeps employment lawyers on their toes! Many of you will be regular recipients of our Employment Law Updates and you will have noticed the vast array of issues covered each month.

This month is no different as we report on topics including immigration, post-termination payments, statutory sick pay and unfair dismissal. We also provide a summary of the employment-related proposals made by the Government as part of its Plan For Growth, unveiled alongside the Budget this week.

We hope that you find these monthly updates useful in staying up-to-date with the most recent developments in employment law.

Further information can be found on our website and I encourage you to visit www.barlowrobbins.com for more details about us and the help and support that we can offer you and your business.

I take this opportunity to update you on our next employment law seminar. We will be hosting a half-day Employment Conference on 17 May 2011. Primarily aimed at commercial businesses, we will be talking to you about what to expect from employment law in 2011 before offering you the chance to attend two breakout sessions on topics of your choice. We will be sending an invitation to you shortly.

If you would like to discuss any of the news stories in this update, please do not hesitate to contact a member of the Barlow Robbins LLP employment team.

Michelle Tudor
Solicitor
Employment Department

 

Alongside the Budget announced on 23 March, the Government also unveiled its ‘Plan for Growth’ aimed at boosting the country’s economy. As part of its plan, a number of employment-related proposals have been made.

 

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A recent Employment Tribunal decision has highlighted an employer’s ability to take disciplinary action against an employee who is guilty of misconduct outside of the workplace.

 

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The recent case of Sakharkar -v- Northern Foods Grocery Group Limited t/a Fox’s Biscuits is a reminder to employers to ensure that they apply their policies correctly and fairly.

 

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The Employment Appeal Tribunal (EAT) has held in the case of Ezsias -v- North Glamorgan NHS Trust that where the reason for a dismissal is not ‘conduct’ the employer is no required to follow its disciplinary procedure relating to misconduct.

 

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Two recent cases, one in the UK’s Court of Appeal and one referred to the European Court of Justice (ECJ), illustrate how courts will look to construe law in favour of the employee when determining whether the employee has jurisdiction to bring a claim.

 

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In April, the Government will increase statutory rates of pay

 

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Employers sometimes make payments to their employees after the termination of their employment. The current practice is for termination payments to be made with only basic rate tax deducted. It is left to the employee to account to HM Revenue & Customs for any additional tax that may be payable.

 

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In November 2010, the government announced that it would be introducing a cap on the number of Certificates of Sponsorship that may be issued between 6 April 2011 and 5 April 2012 under the Tier 2 scheme. The Border Agency has recently published its Statement of Intent as to how that limit will operate in practice.

 

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We have reported on this issue previously and wish to remind you about the impact of the Additional Paternity Leave Regulations which came into force in April 2010.

 

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Income protection insurance may replace the current system of statutory sick pay. Lord Freud, the government’s welfare reform minister is considering proposals for the reform of the current system of statutory sick pay (SSP) to cover sick employees.

 

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