As the owner of a small business, it can seem daunting to keep track of all the changes to employment law. To make certain your company doesn't fall foul of the employment law for small businesses, there are a few key areas in which you need your understanding to become up-to-date.
1) Pay
Conservative MP Phillip Davies came less than fire in June 2011 for suggesting that disabled workers should earn less than minimum wage. Naturally, this caused outcry amongst politicians on all sides of the fence. But it did raise some important questions about minimum wage.
While you are loosely at liberty to pay your workers whatever you like, it must comply with minimum wage. Minimum wage is dependent on age and currently stands at £4.98 for 18-20 calendar year olds, and £6.08 for workers aged 21 and over.
As well as making sure your pay rates comply with the national minimum wage, you have to keep them fair across the whole business. This involves offering a wage based on the job and placement within the company, not a persons gender.
2) Discrimination
The Equality Act 2010 looks at every aspect of discrimination - from hiring to firing. As a small business owner it is vital you are updated with the latest equality and diversity legislation.
Discrimination can be present in two forms; direct and indirect. Direct is not hiring someone because of their race or gender. Indirect discrimination is applying an unnecessary condition to employment e.g. you have to be over 6ft tall, excluding many women.
As the owner of a small business, you are also liable for any third party discrimination that takes place. Whether it is your employees or clients making sexist or racist jokes, you are responsible in an employment tribunal.
3) Working Hours and Leave
Ensuring you comply with legal restrictions when it comes to employees' working hours and depart is important for any small business. Failing to do so could lead to expensive employment tribunals and a negative reputation.
Make sure your employees work fair hours, and take regular breaks from computers. They are also entitled to fair holidays, sick pay and leave. This can include taking a day off to attend a funeral or nurse an unwell dependent. You are also legally required to seriously consider requests from employees regarding flexible working patterns.
4) Sickness and Sick Pay
There is plenty of guidance and strict laws close to sick leave and pay. It is important to strike the balance between treating ill employees fairly, and monitoring occasions where 'sickness' is being used to cover an unauthorised absence. As an employer, you have to respect your employees' entitlement to statutory ill pay (SSP). SSP is payable at a flat rate for up to 28 weeks for long term absence.
It is vital that as a small business, you are fully alert to the law and latest modifications to legislation. It can prove costly for your business should you fail to comply extremely.
For more information check: Employment Lawyer and Employment Solicitor Brighton.