Running your business

Running your business

 

When you are running your business, you want to be focused on the things that make you money, and not worrying about non-core functions such as legal. That being said having an understanding is key. 

This section covers a number of different legal matters that might come up while you are running your business.

 

Hiring & Managing Employees

Invitation letter to a disciplinary appeal hearing for misconduct


What is it?

Make sure you do things right when you discipline an employee. Our employment solicitors can provide you with a disciplinary hearing letter/notice to be sent to the employee which sets out in clear and simple terms the disciplinary allegations, process to be followed, the employee's rights and potential sanctions.

Why is it important?

If you are formally disciplining an employee for misconduct, this letter ensures that you are complying with the unfair dismissal laws. It also meets the requirements of the statutory ACAS Code of Practice on Disciplinary and Grievance Procedures. It is always best practice to give the employee a right to appeal any misconduct decision. The letter should tell the employee they must appeal in writing with their grounds of appeal. If you accept an appeal by the employee, you should respond with a letter inviting the employee to an appeal hearing for misconduct.

Risks

Non-compliance with the ACAS Code of Practice on Disciplinary and Grievance Procedures will be taken into account by an employment tribunal when deciding whether an employee has been treated fairly and can also result in the tribunal increasing the amount of compensation awarded your employee if the case went to court.




Invitation letter to an appeal hearing for misconduct


What is it?

The right to appeal against the outcome of disciplinary action is an important element of a fair disciplinary process. Where an employee appeals against a disciplinary sanction, the employer should invite them to a disciplinary appeal hearing.

Why is it important?

The ACAS Code of Practice on Disciplinary and Grievance Procedures states that the employee should be given the right to appeal against any disciplinary sanction or decision.Our employment solicitors can provide you with an invitation letter to an appeal hearing that helps ensure that your processes are watertight. The invitation should include information about the employee's right to be accompanied at the appeal hearing.

Risks

Non-compliance with the ACAS Code of Practice on Disciplinary and Grievance Procedures will be taken into account by an employment tribunal when deciding whether an employee has been treated fairly and can also result in the tribunal increasing the amount of compensation awarded if the case went to court.




Disciplinary outcome letter for misconduct - warning or no action


What is it?

This is a letter that can be used to inform the employee of the outcome of the disciplinary meeting when the outcome is a warning or that no further action is to be taken by the employer.




Invitation letter to a performance appeal hearing


What is it?

This is a letter that should be used to invite an employee to a performance appeal hearing.




Invitation letter to a performance appraisal


What is it?

An appraisal is a formal process that allows you and a member of staff to assess the staff member’s performance over a period of time eg on a 6 month or 12 month basis. A detailed appraisal has a number of benefits for you and your employees.

Why is it important?

For example, it gives you the opportunity to:

1. review and provide feedback on their performance and set objectives to maximise performance.

2. It also gives the employee the opportunity to comment on their performance, suggest improvements and bring any problems to your attention.

3. It can therefore assist in motivating employees, resolution of problems and the prevention of legal disputes.

Our employment solicitors can provide you with an invitation to attend an appraisal meeting letter tailored to your specific requirements. This letter sets the date for the meeting, who will conduct the meeting and whether the member of staff needs to bring any particular documents or information to the meeting.

Contact our employment law solicitors on 01234 938089.




Poor performance outcome letter - warning or no action


What is it?

This is a letter that can be used to inform the employee of the outcome of the poor performance meeting when the outcome is a warning or no further action is to be taken.




Disciplinary procedure


What is it?

A disciplinary procedure is a formal way for an employer to deal with an employee’s unacceptable or improper behaviour (‘misconduct’) or performance (‘capability’).

Why is it important?

You should put your disciplinary procedure in writing and make it easily available to all staff. IIt should say what performance and behaviour might lead to disciplinary action and what action your employer might take.

It should also include the name of someone you can speak to if you do not agree with your employer’s disciplinary decision.

Disciplinary steps : Your disciplinary procedure should include the following steps:

  1. A letter setting out the issue.

  2. A meeting to discuss the issue.

  3. A disciplinary decision.

  4. A chance to appeal this decision.

Risks

Before starting a disciplinary procedure against a member of staff , you should first see whether the problem can be resolved in an informal way. This can often be the quickest and easiest solution.

If you need help in resolving an employment matter or dispute, please contact our employment solicitors on 01234 938089. We can provide you with advice on a fixed fee basis.




Suspension Letter


What is it? This is a letter that can be used to inform the employee that the employee will be suspended pending investigation of the disciplinary allegations.




Dismissal letter for misconduct


What is it? This Dismissal Letter should be used to inform the employee of the outcome of the disciplinary meeting when that outcome is dismissal on the grounds of misconduct falling short of Gross Misconduct. Why is it important? To comply with the ACAS Code of Practice on Disciplinary and Grievance Procedures the employee should be given the right to appeal against any disciplinary sanction or decision.




Dismissal letter for poor performance


What is it? This Dismissal Letter should be used to inform the employee of the outcome of the disciplinary meeting when that outcome is dismissal for poor performance. Why is it important? To comply with the ACAS Code of Practice on Disciplinary and Grievance Procedures the employee should be given the right to appeal against any disciplinary sanction or decision.




Gross misconduct dismissal letter


What is it? This Gross Misconduct Notice of Dismissal Letter should be used to inform the employee of the outcome of the disciplinary meeting when that outcome is dismissal on the ground of gross misconduct. An employee can be dismissed “on the spot” for gross misconduct eg fighting at work. Why is it important? However it is best practice to follow up a gross misconduct “on the spot dismissal” with a letter fully explaining the dismissal and the reasons for the dismissal. Risks To comply with the ACAS Code of Practice on Disciplinary and Grievance Procedures the employee should be given the right to appeal against any disciplinary sanction or decision.




Dismissal letter for employees without unfair dismissal rights


What is it? This Dismissal Letter should be used to inform the employee of their dismissal when they have under two years’ service with the employer. Why is it important? It is best practice to put an employee on a performance improvement plan(PIP) first before dismissing them irrespective of their length of service. This letter can be used where an employee is dismissed either with or without having been put on a performance improvement plan. In all cases, the employer should adopt a professional and respectful tone when communicating with the soon-to-be dismissed employee. Risks To comply with the ACAS Code of Practice on Disciplinary and Grievance Procedures the employee should be given the right to appeal against any disciplinary sanction or decision.




Appeal letter


What is it?

This is a letter from an employee against whom a disciplinary sanction has been imposed appealing against the dismissal.

If you need help in resolving an employment matter or dispute, please contact our employment solicitors on 01234 938089. We can provide you with advice on a fixed fee basis.





HR Policies

Communications and equipment policy


What is it? This policy explains to employees the rules and procedures to follow when using the employer’s IT resources and electronic communication systems at work. It sets out the extent to which the business allows the use of its IT resources and the use of PCs, laptops, internet, emails, software and passwords. Why is it important? Having such a policy ensures that your employees are aware of and comply with your rules regarding the use of IT resources and communication systems while at work.




Data protection and data security policy


What is it?

A data protection policy is an internal document that serves as the core of a business’s GDPR compliance practices.

It explains the GDPR’s requirements to employees and states the business’s commitment to compliance. The policy does not need to include specific details on how the business will meet the Regulation’s requirements, as these will be covered in the business’s procedures.

Why do you need a GDPR data protection policy?

  • to provide the groundwork from which your business can achieve GDPR compliance.

  • to make the GDPR understandable to your staff.

  • to prove that your business is committed to GDPR compliance.

Why is it important?

We highly recommend our clients to have the following data protection related policies :

a)Encryption policies

b)Acceptable use policies

c) Password policies

c)Email policies

d)Data-processing policies

Risks

Your business’s policies are at the heart of your business operations. They set out exactly how employees should handle certain issues, ensuring that everybody is following agreed best practices.

Effective policies are all the more important now that the Data Protection Act 2018 and the GDPR (General Data Protection Regulations) are in place. The DPA and the GDPR are not just about implementing technological and organisational measures to protect the information your business stores.

You also need to demonstrate your compliance, which is why data security policies are essential.

Employee training is vital to ensure each of these policies is maintained.

For advice and more information on Data Protection, contact your expert Data Protection solicitors at Pure Business Law.




Social media policy


What is it? A social media policy sets out how a business and its employees should conduct themselves on the internet and what is and is not appropriate for employees to post about their company on social networks. Why is it important? It helps protect your company’s online reputation. The policy must reflect the business culture and be designed to minimise risks such as employees making derogatory remarks about your business or workplace online.




Equal opportunities policy


What is it? This policy sets out the business’s commitment to treating its employees fairly and giving everyone the same opportunities for employment, pay and promotion without discriminating against anyone on the grounds of age, sex, race, gender, ethnic origins, gender etc (the nine protected characteristics”).




Flexible working policy


What is it? A flexible working policy is a policy that sets out different working arrangements where employees are given greater freedom in the hours they work and how they fulfil the obligations of their roles. You are legally obliged to provide your employees with details of your business’s flexible working policy and procedures Flexible working includes working from home, part-time working job sharing, compressed hours, flexible start and finish times and phased retirement. Why is it important? The Advisory, Conciliation and Arbitration Service (ACAS) recommends that employers put in place a flexible working policy as best practice to ensure that you deal with flexible working requests consistently and to ensure that staff are all aware of how you deal with them. Flexible working has advantages and disadvantages. Is flexible working right for your business? Contact us to discuss!




Health and safety policy


What is it? A health and safety policy states the employer’s commitment to protect employees’ health and safety and to cooperate with other parties such as employees, supervisors, the health and safety representative to ensure a safe work environment.If you have five or more employees, you are legally required to have a written health and safety policy. Why is it important? If you do not have a written policy the Health and Safety Executive (HSE) can take action against you and prosecute you. Even if you do not have five employees it is best practice to have a written health and safety policy to make your health and safety arrangements clear. Consideration of the health, safety and welfare of staff is an integral part of the management process. The purpose of a Health and Safety policy is to establish general standards for health and safety at work and to distribute responsibility for their achievement to all managers, supervisors and other employees through the normal line management processes. Risks Managers must approach health and safety in a systematic way, by identifying hazards and problems, planning improvements, taking executive action and monitoring results. There should be an annual audit and regular risk assessments.




Grievance procedure


What is it? You are legally obliged to provide your employees with details of your business’s grievance and disciplinary procedures. The grievance procedure is a tool by which a member of staff may formally have a grievance (i.e. “complaint”) regarding any condition of their employment heard by the Company management. Your grievance procedure should set out the process to be followed, to whom a grievance should be reported and the right to appeal a finding. The employee has the right to representation by a Trade Union representative or a work colleague. Why is it important? Your disciplinary policy should include examples of the types of conduct or behaviour that will lead to disciplinary action as well as information about the process your business will follow in investigating and handling a disciplinary matter. You also need to set out the names of the people in your business who will deal with disciplinary matters and any appeals arising from the disciplinary process. It is also good practice to have a Whistleblowing policy, a Bullying and harassment policy and a smoking, drugs and alcohol policy alongside your standard grievance and disciplinary procedures.




Redundancy policy


What is it? A redundancy policy provides employers with detailed procedures to follow within a business when making staff redundant so avoiding possible unfair dismissal claims. The policy also provides employees with information regarding the procedures the employer must follow thereby helping to avoid uncertainty for staff. It sets out each step of the redundancy process and outlines the statutory settlements for redundant staff. Employees who are made redundant and have at least 2 or more years continuous service are entitled to statutory redundancy pay. Why is it important? Having a redundancy policy in place will provide an employer with a clear framework to carry out redundancies and provides employees with clear notice of how any redundancy would be undertaken.




Sickness policy


What is it? If you have employees, you are required to set out details of their sick pay and leave entitlements in their employment contracts. A sickness policy sets out your procedures for dealing with and managing employee sickness absences and return to work eg how you want your staff to notify you when they are sick, whether your company offers any enhanced sick pay (ie contractual sick pay) over the minimum statutory sick pay (SSP), what absence levels will trigger the beginning of the disciplinary procedure, your policy regarding time off for medical appointments. Why is it important? Having a sickness policy in place is not a legal requirement however it can be reassuring and can help to remove some of the stress and uncertainty associated with sickness absence. It can also help to ensure that sickness absences are handled fairly and consistently across your work force. Risks When writing your policy you must remember that if an employee is ill and or off work due to a disability you must make any reasonable adjustments to help that employee remain at work or return to work before imposing any sanction under your sickness absence policy. This could include agreeing to provide them with a special type of chair (if the employee has back pain), changing their working hours so they can attend work more easily or providing a phased return to work ie the employee works for 3 or 4 hours for the first few weeks and then increases their working hours gradually. If you do not have a sickness policy and you treat staff inconsistently you may end up being sued by an employee for discrimination.




Maternity policy


What is it? This is required by law. A maternity leave policy sets out the policies and procedures that your business has to manage pregnancy absence and return to work. Why is it important? You must ensure that written information about the rights and policies applicable to new and expectant parents is available to all staff members so that they are aware of their rights and obligations. Your maternity policy should also include information about time off work for antenatal or pre-adoption appointments, the rules about leave and pay during the child’s first 12 months and return to work rights of the expectant partner. Your policy should also include information about whether your business will offer the minimum statutory rights or an enhanced entitlement.




Parental leave policy


What is it? This is required by law .A parental leave policy sets out the policies and procedures that your business has to manage parental leave for reasons associated with childcare eg when a parent has to take time off to look after children for one reason or the other and return to work. Your parental leave policy should set out the policies and procedures that your business has to manage parental leave after pregnancy absence and return to work. Why is it important? You must ensure that written information about the rights and policies applicable to new and expectant parents is available to all staff members so that they are aware of their rights and obligations. Your parental leave policy should also include information about time off work for antenatal or pre-adoption appointments, the rules about leave and pay during the child’s first 12 months and return to work rights of the expectant partner. Your policy should also include information about whether your business will offer the minimum statutory rights or an enhanced entitlement.




Paternity policy


What is it? This is required by law . A paternity leave policy sets out the policies and procedures that your business has to manage paternity leave either when a father wants to take time off to look after his child after childbirth or adoption etc. and return to work. You must ensure that written information about the rights and policies applicable to new and expectant parents is available to all staff members so that they are aware of their rights and obligations. What is it important? Your paternity leave policy should also include information about time off work for antenatal or pre-adoption appointments, the rules about leave and pay during the child’s first 12 months and return to work rights of the expectant partner. Your policy should also include information about whether your business will offer the minimum statutory rights or an enhanced entitlement.




Shared parental leave policy


What is it? This is required by law. A shared parental leave policy sets out the policies and procedures that your business has to manage shared parental leave and return to work. Why is it important? Your shared parental leave policy should also include information about time off work for antenatal or pre-adoption appointments, the rules about leave and pay during the child’s first 12 months and return to work rights of the expectant partner. Your policy should also include information about whether your business will offer the minimum statutory rights or an enhanced entitlement.




Environmental policy


What is it? Although not a legal requirement it is good business practice to have an Environmental policy. An Environmental policy confirms that your company is committed to continuous improvement in managing environmental issues including proper management and monitoring of waste, reduction of pollution and emissions, compliance with environmental legislation and environmental codes of practice, training for staff and the monitoring of environmental performance. Why is it important? This will in turn assist you in building and maintaining good relations with the community and the general public. Once written it should be signed by the most senior director in the company to show that it is company policy and should be reviewed on a regular basis alongside your Health and Safety policies. Whilst not required by law an Environmental policy may also come in useful if you are bidding for medium-sized and large tenders. We are experienced in preparing such policies for offices, shops, construction, automotive workshops, hotels, transport ,logistics, parcel delivery, restaurants, manufacturing cleaning companies.





Protecting your IP

Software Development Agreement


What is it? Software is intellectual property. A software development agreement is an agreement between a business or an individual and a developer by which the individual or business hires the developer to create and deliver a specific piece of software. Why is it important? This agreement is important as it clarifies the relationship between the developer and the hirer or employer. Risks When you engage a software developer if you want the software created to belong to your company or to you, you must ensure that you agree and insert an ownership clause in the agreement. If there is no ownership clause the software created by the developer will automatically belong to the developer even if your company has spent millions of pounds developing the software.




Freelancer Agreement


What is it? You may use a self-employed freelancer to do a specific task eg work on a project, design your website or do your marketing for a specific period.The standard contract used to hire a freelancer is a consultancy agreement. This agreement clarifies the basic terms of your relationship with the freelancer eg the work to be done, fees payable and other terms of the agreement eg a non-solicitation clause, confidentiality clause, data protection, ownership of any intellectual property created by the freelancer, indemnification clause for any losses you incur due to the freelancer’s breaches of third party intellectual property. Etc. A company consultancy agreement is used to hire a freelancer who operates through their own limited company. An individual consultancy agreement is used to hire a freelancer directly. Why is it important? More specialist freelancers may want you to sign up to their own bespoke terms and conditions when you instruct them. If that is the case you must ensure that you check all the clauses carefully to ensure that they do not conflict with your requirements and that you are happy with the terms eg consultant to be liable for breaches of your Intellectual property and third party intellectual property, confidentiality, fee payable, data protection, indemnification clause etc. Risks You should also ensure that you are aware of the IR35 tax rules. If a freelancer is providing services to you through a company your arrangement may be subject to the IR35 tax rules. This means that the freelancer may have to pay tax and national insurance as if they were employed by you. HMRC has a useful tool at www.gov.uk to enable businesses check employment status for tax purposes. From April 2020 if you are a medium or large business the responsibility for determining whether the IR35 tax rules applies to the consultancy and for payment of the income tax and national insurance on behalf of the freelancer lies with the company to whom the freelancer provides the services. If you are a “small business” (i.e. a business which satisfies two or more of the following requirements – i) a turnover of £10.2 million or less, ii) no more than 50 staff and iii) a balance sheet f no more than £5.1million the responsibility for determining whether the IR35 tax rules apply and for payment of the tax and national insurance lies with the freelancer.




Internship Agreement


What is it? An intern may be a volunteer, a worker or an employee. An internship agreement is an agreement between an intern and an employer where the intern agrees to provide their services in exchange for training provided by the employer or business with no expectation that the internship will result in employment with the business. Why is it important? If your intern will just be shadowing staff and will be unpaid you won’t need a contract but it is good practice to send your intern a letter confirming the agreement terms. If you want your intern to work for your business rather than just shadow staff your intern will either be an employee or a casual worker. Risks You must have a proper contract for their status and treat them accordingly. If your intern is an employee or a casual work you must pay them the national minimum wage(NMW). If you do not pay them the NMW you are at risk of HMRC prosecuting you or the intern suing you in court.




Staff Handbook


What is it? A Staff handbook is an important living document for your employees that sets out your company’s operational policies, values and culture for current and future employees. There is no legal obligation to have a staff handbook, however as there are certain policies that you must give your employees by law (eg disciplinary and grievance policies and health and safety policies) it is best practice to start a handbook when you hire your first employee as it sets expectations for what behaviour is acceptable and desirable across your business and can protect you legally. Why is it important? A staff handbook can be contractual or non-contractual(i.e. binding or non-binding). It is best practice to make it non-contractual so that you can change it at your discretion without having to consult staff. Make sure you keep your handbook updated to reflect the law and ensure that the issue date is clearly shown on the handbook. Risks If you do not have a staff handbook and you are in dispute or engaged in legal proceedings with an employee it will be more difficult to verify your policies and procedures.




Job description


What is it? A job description sets out the scope of the role (i.e. duties and responsibilities), any skills, experience and qualifications required, the ethos and culture of your business, salary and other staff benefits. It is important as it helps you clarify what you are looking for and will also help candidates determine whether they have the skills and experience for the role. Why is it important? Always review your job description before every recruitment exercise to ensure it accurately describes the job in question. Failing to do so may dissuade suitable candidates from applying or encourage unsuitable candidates to apply. Risks It is essential that you avoid using discriminatory words in your job description eg “bright, energetic, young man” or “ an Italian” person when you actually require someone who speaks Italian as these would indicate a preference based on gender, disability, age and ethnicity.




Job offer letter


What is it? You should always confirm a job offer in writing and ask the candidate to confirm their acceptance of the offer. Why is it important? A job offer letter is a letter offering employment after an interview and summarising the basic terms of employment (if you are providing the employment contract with the offer letter) or summarising the main employment terms (if you will not be providing the employment contract until a later date) Risks Always ensure that the offer letter specifies the conditions to which the offer is subject eg “subject to satisfactory references” and that you retain a signed copy of the offer letter and contract in the staff member’s personnel records.




Non-executive director letter of appointment


What is it? This is a formal letter appointing a person as a non-executive director of a company. It sets out the key terms of the appointment and the director’s duties and responsibilities. Why is it important? As a director is more likely to be exposed to confidential information and have more responsibility this contract will include clauses which help to protect the business’s interests eg garden leave, confidentiality, non-solicitation clauses and restrictive covenants.




Senior employment contract


What is it? This is a more complex contract of employment between a senior employee or director/executive and an employer . It sets out the employment terms and conditions of employment and the standard areas of the employment. Why is it important? As a senior executive is more likely to be exposed to confidential information and have more responsibility this contract will include clauses which help to protect the business’s interests eg garden leave, confidentiality, non-solicitation clauses and restrictive covenants and ensure any intellectual property created by the employee belongs to the business.




Zero hours contract


What is it? This is a casual agreement between an individual and a business where the worker works “as and when” the employer needs the labour. There is no guarantee of any set hours and the worker is not obliged to work the hours offered. Why is it important? A zero-hours contract should be used where the business simply wishes to hire a worker on a casual basis and would benefit from not having to give the worker a guaranteed number of hours and days of work. This contract is useful for seasonal work or special events eg in the agriculture business, hospitality and catering business; when a business is entering a new market and is unsure of how many staff members it will need; in cases of unexpected absence from work eg to provide cover where there is sudden sickness or absence from work etc. They are often used in the healthcare, agriculture, hotels, restaurants and education sectors. In the UK workers operating under zero-hours contracts are entitled to rest breaks, annual leave, sick pay and protection from discrimination and must be paid the national minimum wage for hours worked. Risks Zero-hours contracts are controversial due to the uncertainty of the work and the fact there is no guaranteed employment. They do however serve a purpose by providing a flexible labour market and a route into more permanent employment. You should ensure that your zero-hours contract clearly sets out your employee’s employee status, rights and obligations.




Consultancy agreement


What is it? A consultancy agreement is a contract between a self-employed person (Consultant) and a customer requiring the consultant’s services.It is similar to the standard contract used to hire a freelancer. Why is it important? This agreement clarifies the basic terms of your relationship with the freelancer eg the work to be done, fees payable and other terms of the agreement eg a non-solicitation clause, confidentiality clause, data protection, ownership of any intellectual property created by the freelancer, indemnification clause for any losses you incur due to the freelancer’s breaches of third party intellectual property. Etc. More specialist freelancers may want you to sign up to their own bespoke terms and conditions when you instruct them. If that is the case you must ensure that you check all the clauses carefully to ensure that they do not conflict with your requirements and that you are happy with the terms eg consultant to be liable for breaches of your Intellectual property and third party intellectual property, confidentiality, fee payable, data protection, indemnification clause etc. Risks You should also ensure that you are aware of the IR35 tax rules. If a freelancer is providing services to you through a company your arrangement may be subject to the IR35 tax rules. This means that the freelancer may have to pay tax and national insurance as if they were employed by you. HMRC has a useful tool at www.gov.uk to enable businesses check employment status for tax purposes. From April 2020 if you are a medium or large business the responsibility for determining whether the IR35 tax rules applies to the consultancy and for payment of the income tax and national insurance on behalf of the freelancer lies with the company to whom the freelancer provides the services. If you are a “small business” (i.e. a business which satisfies two or more of the following requirements – i) a turnover of £10.2 million or less, ii) no more than 50 staff and iii) a balance sheet f no more than £5.1million the responsibility for determining whether the IR35 tax rules apply and for payment of the tax and national insurance lies with the freelancer.




Employment contract


What is it? An employment contract is an agreement between the employer and employee setting out the rights and duties of the employer and employee. An employment agreement is vital as it forms the legal relationship between the employer and the employee. Why is it important? If you have employees, you are legally obliged to provide them with a written statement of their basic terms of employment in writing no later than two months after they start work. From 6 April 2020 this obligation will extend to casual workers and all new employees must be provided with this written statement and additional information on or before the staff member’s first day of work. Risks If things go wrong an employment agreement will clarify the legal relationship between the employer and employee and will help the court or tribunal in providing a solution in the event of a dispute between the employer and employee. Think of an employment contract as your passport to nurturing good employment relations with your staff and running a good, progressive business. If your employee will be part-time do note that part-time staff and fixed term staff (temporary employees) must be treated equally with full-time staff. This means that a part-time or temporary employee on the same role must get the same pay or benefits as a comparable full-time member of staff pro-rated for the length of time they will be with you. Comparable employees are those doing the same or broadly similar work at the same place of work or at a different location.




Change to employment terms letter


What is it?

As an employer sometimes you may have business reasons that means you need to change your employees terms and conditions of employment (eg basic rate, overtime, bonus, working location, duties and responsibilities, hours/days of work, holiday or sick pay entitlement). This is called a “variation” of the contracts of employment.

Why is it important?

You can only do this if (a) you have a provision in the contract that allows the change. This clause is usually called a “flexibility clause” and may be in your contract or Company Handbook. (b) the employees agree the change or (c) the employees representative eg a Trade Union agrees the change.

Risks

You must have sound business reasons for making any change and follow a fair consultation procedure with your employees before you introduce the changes. If the employees do not agree the change and you believe that it is a reasonable change you can force a new contract on your employees. However, this should be used only as a last resort as it could lead to an employee raising a grievance and ultimately a claim to an Employment Tribunal. Once the change has been agreed you should ensure that each employee signs the new contract to confirm the employee has accepted the change and that you keep a copy.

Please contact our employment solicitors if you are thinking of making a change to your employment contracts.




Working time directive opt out letter


What is it? The Working Time Directive prevents employees from being forced to work more than 48 hours per week unless they freely agree to opt out of the directive. To opt out of the 48 hours limit your employees can sign an “Opt-out of the Working Time Directive Agreement”. Why is it important? This is an agreement between an employer and a worker or employee for the purposes of the Working Time Regulations 1998 whereby the employee or worker agrees to opt-out of the maximum weekly working time limit of 48 hours for a period or indefinitely. Such agreements are usually signed by doctors, police officers a, long-haulage truck drivers and others whose jobs necessitate long working hours. Risks You cannot sack or treat your employee unfairly if they refused to opt out.




Probation letter


What is it? A probation letter is a letter by which an employer informs an employee that their probation period has finished and tells them the outcome of the probation. The outcome may be threefold: (a) that the employee has successfully completed their probationary period and their employment will continue OR (b) the employee’s probation will be extended as the employee’s performance needs to improve OR (c) the employee’s employment is being terminated as the employee has not met the company’s performance requirements. Our employment solicitors can provided you with a suite of sample employment probation letters to use as a guide. Employers should adapt the content to suit their requirements and or contact us for further advice if required.




Flexible working request


What is it? An employee can make a “flexible working request” to their employer if they want to work part-time instead of full-time, change their start and finishing times, work compressed hours(i.e. do their standard hours over fewer days), job-share or do “flexi-time”. Flexitime is where an employee is granted permission to be flexible with their start and finish times. Why is it important? The law provides that an employee has the right to make a flexible working request if (a) the employee has worked for their employer for at least 26 weeks (b) the member of staff is legally classed as an employee and (c) the employee has not made any other flexible working request in the last 12 months. By law, if the employee has the right to make the request the employer is obliged to look at the request fairly in accordance with the Acas Code of Practice on flexible working requests and, make a decision within 3 months.




Grievance letter


What is it?

A grievance is a concern, problem or complaint raised by an employee in the workplace about their work, their manager, other staff member or the workplace. It could be about the employee’s pay and benefits, work conditions, workload, bullying or harassment. There is no legally binding process that an employer must follow when handling a grievance at work. However, it is best practice as an employer to have a grievance procedure.

Why is it important?

A grievance procedure is one of the ways to resolve a problem at work. This procedure can be set out in the employment contract, company handbook, HR intranet site or in your Human Resources manual.

Risks

If you do not have a grievance procedure you should ensure that you follow the Acas Code of Practice on Disciplinary and Grievance procedures if an employee comes to you with a grievance.

When an employee raises a workplace grievance you must take them seriously. Whether or not the grievance is valid you must investigate the grievance as it could be having a negative effect on the staff concerned and may lead to disgruntled staff and loss of valuable staff. Having an informal chat when an employee comes to you with an issue may be all that is needed. If the chat does not resolve the problem, you must investigate the problem .An employee should not be dismissed or treated unfairly for raising a genuine grievance.

An employee who is disadvantaged or dismissed for raising a grievance can raise a claim in the Employment Tribunal for unfair dismissal or automatic unfair dismissal. An employee would usually be expected to lodge a grievance before claiming constructive dismissal otherwise any damages awarded the employee at the Employment Tribunal could be reduced.

Avoid grievances in your workplace by contacting Pure Business law, your expert employment lawyers.





Managing licenses


Running an online business


Protecting your IP


Business Relationships


Writing a business plan


Business Relationships

Joint Venture Agreement


What is it? This agreement is needed when two or more parties decide to engage in a business collaboration to deal with a particular project. There are two main types of joint ventures: i) A contractual joint venture is a contract between two parties who are looking to work together on a commercial project and pool their resources but do not want to create a separate legal entity such as a joint venture company or an LLP.(eg two businesses collaborating to bid for a contract or carry out research and development) . The collaboration will be generally be short term or for a defined period and will be of restricted scope with a well-defined purpose. ii)A corporate joint venture is a contract between two parties looking to work together on a commercial project where they will both set up a separate company (“a joint venture company”) separate from their current operations, own shares in it, have representatives from each of the companies sitting on its board and or want their company to have limited liability for the debts and obligations of the joint venture. This type of joint venture is usually suitable if you will be collaboration on a longer term project and or your collaboration will be more risky and complex and therefore justifies the time and effort of setting up a separate company.




Manufacturing Agreement


What is it? This agreement is needed if you want to employ the services of another company an individual to manufacture goods/products for you for your business. The agreement should cover a number of key areas including manufacture of the goods, materials, specification, quality control, packaging, storage, confidentiality, data protection, insurance, pricing, payment, delivery, title and risk, intellectual property, disputes, force majeure, service of notices, liability and indemnity clauses.




Memorandum of Understanding


What is it? An MOU is a pre-contract, non-binding document setting out the key terms agreed by parties who intend to enter into a binding contract. It is also known as Heads of Terms, a Letter of Intent or a Term Sheet. It is a useful tool when two or more parties intend to enter into a future contract and want to identify, describe and agree, without it being contractually binding, the terms to be further negotiated and then recorded in a contractually binding contract. There will occasionally be statements in a MOU which are exceptions to the general approach that a MOU is not binding : this will occur if the parties put in statements which the MOU expressly states are to be of legally binding effect until a definitive contract is signed. If that is the case those statements will generally be binding. Why is it important? An MOU is useful to set out the progress made during negotiations, reduce the potential for misunderstandings, indicate the major issues which still need to be resolved and make it clear what the parties intend when they enter into the contract. Risks The disadvantage of a MOU is that it can take up a considerable amount of time and may distract the parties from working on negotiating a full and detailed binding contract. There have been occasions when the parties to a proposed commercial arrangement never actually agree or sign a definite contract and have gone on to implement their deal based only on the MOU. This creates a very uncertain legal position which may lead to disputes and legal problems.




Agency Agreement


What is it? The term “agent” is often used as shorthand in a business or legal context to mean a person authorised to act for or on behalf of another who is sometimes called the “principal” As a business you need to be able to distinguish whether or not a particular arrangement amounts to a commercial agency rather than another kind of agency or relationship. This is vital if you are to understand the various legal obligations, duties and liabilities that you owe your contractors/ agents and vice versa. There are different types of individuals and companies which describe themselves as “agents”. These include for instance – commercial agents, sales agents. Employment agents, escrow agents etc. Why is it important? A commercial agent is a kind of sales agent whose relationship with their principal is largely governed by the Commercial Agents (Council Directive) Regulations 1993 whereas the relationship between any other type of sales and their principal is largely governed by the common law and not by the Regulations. A “commercial agent” is defined by the Regulations as a “…self-employed intermediary who has continuing authority to negotiate the sale or purchase of goods on behalf of their principal or to negotiate and conclude such transactions on behalf of and in the name of that principal”. Risks All commercial agency arrangements must comply with the Commercial Agents Regulations 1993. In accordance with the European Withdrawal Act 2018( ad subject to the terms of any final Brexit deal) the Regulations will remain in force post-Brexit.In contrast a sales agent is a freelance self-employed individual or contractor who may or may not work for numerous clients. You need an Agency Agreement if you want to appoint a third party to act on your behalf, marketing and selling your products and services – generally in exchange for commission on any sales. An agency agreement sets out the terms and conditions of the relationship, the commission or fees the notice period and any exclusivity rights. Other ways in which a business can expand without considerable outlay are via a distributorship and a franchise. In contrast to a distributorship, an agent earns commission on sales but does not pay for the goods, own the goods or set the sale price charged to the customer.




Referral Agreement


What is it? A referral agreement is used where, in order to obtain more customers and sales and widen Business A’s customer base or sell into a new market, a supplier of goods or services (Business A) wishes to engage another person or business (Individual B or Business B) to effect an introduction/referral of new customers to Business A in return for which the agent receives a fee for the introduction/referral itself or for the introduction/referral where it results in a sale within a stated period after the introduction/referral. It is also known as an Introduction agreement. Examples of referrers/introducers are agents who introduce a seller of a business to a potential buyer or who introduce a potential investor to a business. Why is it important? If a business colleague is referring work to you or you are the referrer you should get a referral agreement that sets out the terms of your agreement. This will help avoid problems. A referral agreement can also be used where an e-commerce website wishes to increase its sales by allowing other websites to refer customers to them in return for a commission on sales obtained through such referrals. The fees can be either a fixed fee or percentage basis with payment when the referral is made or upon the first transaction or both. The fees and payment clause can be drafted so that if the refer fails to introduce any new business they will not get a fee.There are specific referral agreements for the introduction of clients for financial services eg investment advice and insurance products.




Licensing Agreement


What is it? There are numerous types of licensing agreements eg IP licensing agreement eg a trademark licence agreement, a licence to occupy property, a software licence agreement etc.A software licence agreement is an agreement between a software licensor (generally a software developer and/or owner) and licensee who will be using the licensed software in the course of a business or personally. Why is it important? We always recommend that our clients get a licensing agreement if for example they want to give a person or another business the right to use their technology, software or any other type of intellectual property. A software licence will set out what the user may or may not do with a piece of software thereby helping developers ensure that they maximise returns on their investments, restrict others from free use of their creative and inventive work and product software that remains stable across a broad range of computer systems.




End User Licence Agreement


What is it? This is a licence agreement between a software provider and a user where software is distributed en-masse through retailers or electronically eg Microsoft and people who use its software. The different types of end-user licences include a Web Wrap software licence (designed for use with software that is distributed electronically via download ) Click Wrap Licence (designed for use with software that can be distributed electronically via download or on physical media such as a CD or DVD-Rom, Shrink Wrap Licence (designed for use in or on the packaging of software that is distributed on physical media such as a CD or DVD-Rom).




Service Level Agreement


What is it? Businesses often seek to obtain services from other businesses for various reasons. In some cases, a simple service agreement is all that is needed especially where the services in question are to be provided over a short term.However, in some cases a long-term relationship and the need for service consistency is essential. In such cases a business owner may prefer to enter into a Service Level Agreement with the service provider. Why is it important? Commonly used in the IT & Technology industries, but also applicable in other areas of business especially where large-scale or complex services are involved Service Level Agreements set out the services to be provided under a contract and also sets out the levels of performance to which those services must be provided. Detailed provisions govern the monitoring of the performance of the services and the agreement. Risks The service provider is thereby incentivised to consistently provide services in line with the agreed performance levels. If it fails to meet the agreed service levels it is subject to penalties. Service level agreements are preferable to standard service agreements as they contain much more detail, enhanced clarity and accountability over and above standard service agreements.




Partnership agreement


What is it? There are 2 main types of partnership agreements: An unlimited partnership – This is a relationship between two or more parties carrying on business together to make a profit. It is usually referred to as a “partnership” or a “general partnership” to distinguish it from other types of partnership such as a limited liability partnership. A partnership can arise by law even if there is no agreement in writing and even if the parties did not intend to create a partnership. An unlimited partnership is not a separate legal entity unlike a company or a limited liability partnership. Therefore, its partners have unlimited liability for the partnership’s debts. A limited liability partnership – Unlike an unlimited partnership a limited liability partnership (LLP) requires the establishment of a separate corporate body through which the collaboration will be conducted. The partners will have limited liability in the same way as shareholders in a company. The partners will usually sign a member’s agreement setting out how the LLP will be run.




LLP agreement


What is it? This agreement applies when you have a limited liability partnership. Unlike an unlimited partnership a limited liability partnership (LLP) requires the establishment of a separate corporate body through which the collaboration will be conducted. Why is it important? The partners will have limited liability in the same way as shareholders in a company. The partners will usually sign a member’s agreement (LLP Agreement) setting out how the LLP will be run.




Distribution agreement


What is it? A distributor buys goods from a supplier to sell on to customers. They can earn a profit margin based on the “mark-up” they add to the original sale price. A Distributorship agreement is an agreement whereby the manufacturer appoints the distributor on a “sole” or “non-exclusive” basis) to resell the manufacturer’s products in a particular territory/ies. In this case, the ownership of the goods is transferred to the distributor prior to the marketing and sale of the goods which means that the distributor may hold stocks of goods which they pay for and own – they therefore bear the risk as to whether they can resell the goods. There are different types of distribution agreements eg exclusive, sole and selective distribution agreements. Business relationships can sour if based on verbal agreements. Protect your rights by ensuring you have a written distribution agreement.




Model release letter


What is it? A signed Model Release Form protects your profit margin and your copyright. Whether you work in a marketing business graphic design or are a commercial vlogger or blogger you need to ensure that any photographs that you use in your business has a properly signed release form. Whilst you do not generally need written permission to take photos, if you take photos and wish to publish the photos on the internet or in any other way or if you are starting a photography business you can protect yourself from any liability or legal proceedings by using a Model Release Form or Letter. A Model Release Form is the contract between the photographer or User and the “model” (i.e. the subject or owner of the image or photograph). Designed to protect both parties it specifies the ways in which the images or models can or cannot be used (eg for advertising, to make prints, post on social media etc), the media formats, the use or not of the model’s name, the model’s rights (or not) to inspect the end product before publication and the expiry (or not) of the release. Why is it important? A Model Release Form is not about obtaining permission to take photographs – it is about obtaining signed consent to publish the photographs for commercial purposes. Whilst it is generally okay to take pictures of a person or people in a public place without written permission if you want to use that photo for specific commercial purposes eg to promote a product on the internet or elsewhere it is best to be safe and get a signed release form from the “model” or owner of the “model”. Risks But do get legal advice before you use a release form template as it may need adapting to fit your particular needs.And remember! If you want to use images for a purpose not originally agreed, you MUST get further signed consent.




Sales agency agreement


What is it? If you are a business selling products you may decide to employ the services of a sales agent. A sales agent is a freelance self-employed business or contractor who might or might not work for several clients. The term “sales agent” includes a “commercial agent” but it is usual to distinguish the two forms of agency by referring to someone as a sales agent only if they are not a “commercial agent” as the legal position of a “commercial agent” differs substantially from other forms of “sales agency”. The business that owns the products will be called the “Principal” and the sales agent will be called the “Agent”. The sales agent is paid commission only and so is motivated to make as many sales as possible to maximise their income.Central to the relationship between a business and their sales agent will be the “Agency Agreement”. The Sales Agency agreement will set out the product the agent will be selling, where the agent will be selling those products, how the sales are to take place, commission payable on all sales and the key rights and responsibilities of the parties. Why is it important? The use of sales agents as opposed to an employed sales team has a number of benefits for the business (i.e. the “Principal”) since commission is only payable on achieved sales, there are no fixed employment costs, and the agent will often already have a network of contacts ie established customer base, will know the market in their area and will have credibility with their customer base.




Sub-contracting agreement


What is it? Many business contracts allow one or both parties to sub-contract all or part of their obligations under a contract. This can be done via a letter termed a “Notice of Intention to Sub-contract” from the main contractor to the other party to the main contract or via a formal “Sub-contracting” agreement. Where a “Notice of intention to sub-contract” letter is used, the main contractor (ie sender of the letter) would inform the other party to the contract (ie the recipient of the letter) that the main contractor intends to subcontract certain of their obligations under a contract and will provide details of the subcontractor(s) to whom the obligations will be sub-contracted, a detailed description of the obligations to be sub-contracted with cross-references to the relevant parts of the Contract agreement between the main contractor and the other party to the contract agreement. The recipient will also be reminded that they are not a party to the sub-contract and that the main contractor will remain their primary contact person and will also remain liable for any acts of omissions of the subcontractors. As an option, the main contractor may also decide to enter into a formal “Sub-contracting” agreement with the sub-contractor and send a copy of this to




Franchise Agreement


What is it? Franchising your business lets you licence your business model to companies or individual in particular geographical areas and allows you to increase your profits while maintaining a significant degree of control over your brand. A Franchise agreement is an agreement under which the owner of a business grants a licence or licences to others (the “franchisees”) to operate that business in a particular area within the UK or internationally either on a “sole” or “non-exclusive” basis, for a fee therefore spreading their corporate identity and products or services without the expense of setting up new establishments. All franchisees will use a common identity including the name, trademarks, goodwill, other intellectual property and or products of the franchisor. The franchisor will also provide a “Quality Manual” which in effect is a rule book setting out all the relevant detail needed for the successful day-to-day running of the franchised business eg minimum standards and insurance requirements. The agreement will usually include a confidentiality clause protecting all commercially sensitive information and trade secrets from unauthorised disclosure thereby protecting the interests of the franchisor. Why is it important? Franchising has benefits for the franchisor and the franchisee. The franchisor can grow its business without having to open, staff and manage new premises or branches itself whilst the franchisee can manage his/her own business which has been already tested by the franchisor and has access to the franchisor’s experience and expertise. McDonalds and Kentucky Fried Chicken (KFC) operate their own restaurants and food outlets but also grant franchises to others to operate McDonalds and KFC businesses using their logos with McDonalds and Kentucky Fried Chicken exercising tight quality control over the restaurants, their location, food, health and safety etc.





Managing licenses


Running an online business


Protecting your IP


Business Relationships


Writing a business plan


Running an online business

Invitation letter to a disciplinary appeal hearing for misconduct


What is it?

Make sure you do things right when you discipline an employee. Our employment solicitors can provide you with a disciplinary hearing letter/notice to be sent to the employee which sets out in clear and simple terms the disciplinary allegations, process to be followed, the employee's rights and potential sanctions.

Why is it important?

If you are formally disciplining an employee for misconduct, this letter ensures that you are complying with the unfair dismissal laws. It also meets the requirements of the statutory ACAS Code of Practice on Disciplinary and Grievance Procedures. It is always best practice to give the employee a right to appeal any misconduct decision. The letter should tell the employee they must appeal in writing with their grounds of appeal. If you accept an appeal by the employee, you should respond with a letter inviting the employee to an appeal hearing for misconduct.

Risks

Non-compliance with the ACAS Code of Practice on Disciplinary and Grievance Procedures will be taken into account by an employment tribunal when deciding whether an employee has been treated fairly and can also result in the tribunal increasing the amount of compensation awarded your employee if the case went to court.




Invitation letter to an appeal hearing for misconduct


What is it?

The right to appeal against the outcome of disciplinary action is an important element of a fair disciplinary process. Where an employee appeals against a disciplinary sanction, the employer should invite them to a disciplinary appeal hearing.

Why is it important?

The ACAS Code of Practice on Disciplinary and Grievance Procedures states that the employee should be given the right to appeal against any disciplinary sanction or decision.Our employment solicitors can provide you with an invitation letter to an appeal hearing that helps ensure that your processes are watertight. The invitation should include information about the employee's right to be accompanied at the appeal hearing.

Risks

Non-compliance with the ACAS Code of Practice on Disciplinary and Grievance Procedures will be taken into account by an employment tribunal when deciding whether an employee has been treated fairly and can also result in the tribunal increasing the amount of compensation awarded if the case went to court.




Disciplinary outcome letter for misconduct - warning or no action


What is it?

This is a letter that can be used to inform the employee of the outcome of the disciplinary meeting when the outcome is a warning or that no further action is to be taken by the employer.




Invitation letter to a performance appeal hearing


What is it?

This is a letter that should be used to invite an employee to a performance appeal hearing.




Invitation letter to a performance appraisal


What is it?

An appraisal is a formal process that allows you and a member of staff to assess the staff member’s performance over a period of time eg on a 6 month or 12 month basis. A detailed appraisal has a number of benefits for you and your employees.

Why is it important?

For example, it gives you the opportunity to:

1. review and provide feedback on their performance and set objectives to maximise performance.

2. It also gives the employee the opportunity to comment on their performance, suggest improvements and bring any problems to your attention.

3. It can therefore assist in motivating employees, resolution of problems and the prevention of legal disputes.

Our employment solicitors can provide you with an invitation to attend an appraisal meeting letter tailored to your specific requirements. This letter sets the date for the meeting, who will conduct the meeting and whether the member of staff needs to bring any particular documents or information to the meeting.

Contact our employment law solicitors on 01234 938089.




Poor performance outcome letter - warning or no action


What is it?

This is a letter that can be used to inform the employee of the outcome of the poor performance meeting when the outcome is a warning or no further action is to be taken.




Disciplinary procedure


What is it?

A disciplinary procedure is a formal way for an employer to deal with an employee’s unacceptable or improper behaviour (‘misconduct’) or performance (‘capability’).

Why is it important?

You should put your disciplinary procedure in writing and make it easily available to all staff. IIt should say what performance and behaviour might lead to disciplinary action and what action your employer might take.

It should also include the name of someone you can speak to if you do not agree with your employer’s disciplinary decision.

Disciplinary steps : Your disciplinary procedure should include the following steps:

  1. A letter setting out the issue.

  2. A meeting to discuss the issue.

  3. A disciplinary decision.

  4. A chance to appeal this decision.

Risks

Before starting a disciplinary procedure against a member of staff , you should first see whether the problem can be resolved in an informal way. This can often be the quickest and easiest solution.

If you need help in resolving an employment matter or dispute, please contact our employment solicitors on 01234 938089. We can provide you with advice on a fixed fee basis.




Suspension Letter


What is it? This is a letter that can be used to inform the employee that the employee will be suspended pending investigation of the disciplinary allegations.




Dismissal letter for misconduct


What is it? This Dismissal Letter should be used to inform the employee of the outcome of the disciplinary meeting when that outcome is dismissal on the grounds of misconduct falling short of Gross Misconduct. Why is it important? To comply with the ACAS Code of Practice on Disciplinary and Grievance Procedures the employee should be given the right to appeal against any disciplinary sanction or decision.




Dismissal letter for poor performance


What is it? This Dismissal Letter should be used to inform the employee of the outcome of the disciplinary meeting when that outcome is dismissal for poor performance. Why is it important? To comply with the ACAS Code of Practice on Disciplinary and Grievance Procedures the employee should be given the right to appeal against any disciplinary sanction or decision.




Gross misconduct dismissal letter


What is it? This Gross Misconduct Notice of Dismissal Letter should be used to inform the employee of the outcome of the disciplinary meeting when that outcome is dismissal on the ground of gross misconduct. An employee can be dismissed “on the spot” for gross misconduct eg fighting at work. Why is it important? However it is best practice to follow up a gross misconduct “on the spot dismissal” with a letter fully explaining the dismissal and the reasons for the dismissal. Risks To comply with the ACAS Code of Practice on Disciplinary and Grievance Procedures the employee should be given the right to appeal against any disciplinary sanction or decision.




Dismissal letter for employees without unfair dismissal rights


What is it? This Dismissal Letter should be used to inform the employee of their dismissal when they have under two years’ service with the employer. Why is it important? It is best practice to put an employee on a performance improvement plan(PIP) first before dismissing them irrespective of their length of service. This letter can be used where an employee is dismissed either with or without having been put on a performance improvement plan. In all cases, the employer should adopt a professional and respectful tone when communicating with the soon-to-be dismissed employee. Risks To comply with the ACAS Code of Practice on Disciplinary and Grievance Procedures the employee should be given the right to appeal against any disciplinary sanction or decision.




Appeal letter


What is it?

This is a letter from an employee against whom a disciplinary sanction has been imposed appealing against the dismissal.

If you need help in resolving an employment matter or dispute, please contact our employment solicitors on 01234 938089. We can provide you with advice on a fixed fee basis.





Buying & Selling Goods & Services

Communications and equipment policy


What is it? This policy explains to employees the rules and procedures to follow when using the employer’s IT resources and electronic communication systems at work. It sets out the extent to which the business allows the use of its IT resources and the use of PCs, laptops, internet, emails, software and passwords. Why is it important? Having such a policy ensures that your employees are aware of and comply with your rules regarding the use of IT resources and communication systems while at work.




Data protection and data security policy


What is it?

A data protection policy is an internal document that serves as the core of a business’s GDPR compliance practices.

It explains the GDPR’s requirements to employees and states the business’s commitment to compliance. The policy does not need to include specific details on how the business will meet the Regulation’s requirements, as these will be covered in the business’s procedures.

Why do you need a GDPR data protection policy?

  • to provide the groundwork from which your business can achieve GDPR compliance.

  • to make the GDPR understandable to your staff.

  • to prove that your business is committed to GDPR compliance.

Why is it important?

We highly recommend our clients to have the following data protection related policies :

a)Encryption policies

b)Acceptable use policies

c) Password policies

c)Email policies

d)Data-processing policies

Risks

Your business’s policies are at the heart of your business operations. They set out exactly how employees should handle certain issues, ensuring that everybody is following agreed best practices.

Effective policies are all the more important now that the Data Protection Act 2018 and the GDPR (General Data Protection Regulations) are in place. The DPA and the GDPR are not just about implementing technological and organisational measures to protect the information your business stores.

You also need to demonstrate your compliance, which is why data security policies are essential.

Employee training is vital to ensure each of these policies is maintained.

For advice and more information on Data Protection, contact your expert Data Protection solicitors at Pure Business Law.




Social media policy


What is it? A social media policy sets out how a business and its employees should conduct themselves on the internet and what is and is not appropriate for employees to post about their company on social networks. Why is it important? It helps protect your company’s online reputation. The policy must reflect the business culture and be designed to minimise risks such as employees making derogatory remarks about your business or workplace online.




Equal opportunities policy


What is it? This policy sets out the business’s commitment to treating its employees fairly and giving everyone the same opportunities for employment, pay and promotion without discriminating against anyone on the grounds of age, sex, race, gender, ethnic origins, gender etc (the nine protected characteristics”).




Flexible working policy


What is it? A flexible working policy is a policy that sets out different working arrangements where employees are given greater freedom in the hours they work and how they fulfil the obligations of their roles. You are legally obliged to provide your employees with details of your business’s flexible working policy and procedures Flexible working includes working from home, part-time working job sharing, compressed hours, flexible start and finish times and phased retirement. Why is it important? The Advisory, Conciliation and Arbitration Service (ACAS) recommends that employers put in place a flexible working policy as best practice to ensure that you deal with flexible working requests consistently and to ensure that staff are all aware of how you deal with them. Flexible working has advantages and disadvantages. Is flexible working right for your business? Contact us to discuss!




Health and safety policy


What is it? A health and safety policy states the employer’s commitment to protect employees’ health and safety and to cooperate with other parties such as employees, supervisors, the health and safety representative to ensure a safe work environment.If you have five or more employees, you are legally required to have a written health and safety policy. Why is it important? If you do not have a written policy the Health and Safety Executive (HSE) can take action against you and prosecute you. Even if you do not have five employees it is best practice to have a written health and safety policy to make your health and safety arrangements clear. Consideration of the health, safety and welfare of staff is an integral part of the management process. The purpose of a Health and Safety policy is to establish general standards for health and safety at work and to distribute responsibility for their achievement to all managers, supervisors and other employees through the normal line management processes. Risks Managers must approach health and safety in a systematic way, by identifying hazards and problems, planning improvements, taking executive action and monitoring results. There should be an annual audit and regular risk assessments.




Grievance procedure


What is it? You are legally obliged to provide your employees with details of your business’s grievance and disciplinary procedures. The grievance procedure is a tool by which a member of staff may formally have a grievance (i.e. “complaint”) regarding any condition of their employment heard by the Company management. Your grievance procedure should set out the process to be followed, to whom a grievance should be reported and the right to appeal a finding. The employee has the right to representation by a Trade Union representative or a work colleague. Why is it important? Your disciplinary policy should include examples of the types of conduct or behaviour that will lead to disciplinary action as well as information about the process your business will follow in investigating and handling a disciplinary matter. You also need to set out the names of the people in your business who will deal with disciplinary matters and any appeals arising from the disciplinary process. It is also good practice to have a Whistleblowing policy, a Bullying and harassment policy and a smoking, drugs and alcohol policy alongside your standard grievance and disciplinary procedures.




Redundancy policy


What is it? A redundancy policy provides employers with detailed procedures to follow within a business when making staff redundant so avoiding possible unfair dismissal claims. The policy also provides employees with information regarding the procedures the employer must follow thereby helping to avoid uncertainty for staff. It sets out each step of the redundancy process and outlines the statutory settlements for redundant staff. Employees who are made redundant and have at least 2 or more years continuous service are entitled to statutory redundancy pay. Why is it important? Having a redundancy policy in place will provide an employer with a clear framework to carry out redundancies and provides employees with clear notice of how any redundancy would be undertaken.




Sickness policy


What is it? If you have employees, you are required to set out details of their sick pay and leave entitlements in their employment contracts. A sickness policy sets out your procedures for dealing with and managing employee sickness absences and return to work eg how you want your staff to notify you when they are sick, whether your company offers any enhanced sick pay (ie contractual sick pay) over the minimum statutory sick pay (SSP), what absence levels will trigger the beginning of the disciplinary procedure, your policy regarding time off for medical appointments. Why is it important? Having a sickness policy in place is not a legal requirement however it can be reassuring and can help to remove some of the stress and uncertainty associated with sickness absence. It can also help to ensure that sickness absences are handled fairly and consistently across your work force. Risks When writing your policy you must remember that if an employee is ill and or off work due to a disability you must make any reasonable adjustments to help that employee remain at work or return to work before imposing any sanction under your sickness absence policy. This could include agreeing to provide them with a special type of chair (if the employee has back pain), changing their working hours so they can attend work more easily or providing a phased return to work ie the employee works for 3 or 4 hours for the first few weeks and then increases their working hours gradually. If you do not have a sickness policy and you treat staff inconsistently you may end up being sued by an employee for discrimination.




Maternity policy


What is it? This is required by law. A maternity leave policy sets out the policies and procedures that your business has to manage pregnancy absence and return to work. Why is it important? You must ensure that written information about the rights and policies applicable to new and expectant parents is available to all staff members so that they are aware of their rights and obligations. Your maternity policy should also include information about time off work for antenatal or pre-adoption appointments, the rules about leave and pay during the child’s first 12 months and return to work rights of the expectant partner. Your policy should also include information about whether your business will offer the minimum statutory rights or an enhanced entitlement.




Parental leave policy


What is it? This is required by law .A parental leave policy sets out the policies and procedures that your business has to manage parental leave for reasons associated with childcare eg when a parent has to take time off to look after children for one reason or the other and return to work. Your parental leave policy should set out the policies and procedures that your business has to manage parental leave after pregnancy absence and return to work. Why is it important? You must ensure that written information about the rights and policies applicable to new and expectant parents is available to all staff members so that they are aware of their rights and obligations. Your parental leave policy should also include information about time off work for antenatal or pre-adoption appointments, the rules about leave and pay during the child’s first 12 months and return to work rights of the expectant partner. Your policy should also include information about whether your business will offer the minimum statutory rights or an enhanced entitlement.




Paternity policy


What is it? This is required by law . A paternity leave policy sets out the policies and procedures that your business has to manage paternity leave either when a father wants to take time off to look after his child after childbirth or adoption etc. and return to work. You must ensure that written information about the rights and policies applicable to new and expectant parents is available to all staff members so that they are aware of their rights and obligations. What is it important? Your paternity leave policy should also include information about time off work for antenatal or pre-adoption appointments, the rules about leave and pay during the child’s first 12 months and return to work rights of the expectant partner. Your policy should also include information about whether your business will offer the minimum statutory rights or an enhanced entitlement.




Shared parental leave policy


What is it? This is required by law. A shared parental leave policy sets out the policies and procedures that your business has to manage shared parental leave and return to work. Why is it important? Your shared parental leave policy should also include information about time off work for antenatal or pre-adoption appointments, the rules about leave and pay during the child’s first 12 months and return to work rights of the expectant partner. Your policy should also include information about whether your business will offer the minimum statutory rights or an enhanced entitlement.




Environmental policy


What is it? Although not a legal requirement it is good business practice to have an Environmental policy. An Environmental policy confirms that your company is committed to continuous improvement in managing environmental issues including proper management and monitoring of waste, reduction of pollution and emissions, compliance with environmental legislation and environmental codes of practice, training for staff and the monitoring of environmental performance. Why is it important? This will in turn assist you in building and maintaining good relations with the community and the general public. Once written it should be signed by the most senior director in the company to show that it is company policy and should be reviewed on a regular basis alongside your Health and Safety policies. Whilst not required by law an Environmental policy may also come in useful if you are bidding for medium-sized and large tenders. We are experienced in preparing such policies for offices, shops, construction, automotive workshops, hotels, transport ,logistics, parcel delivery, restaurants, manufacturing cleaning companies.





Managing a company

Invitation letter to a disciplinary appeal hearing for misconduct


What is it?

Make sure you do things right when you discipline an employee. Our employment solicitors can provide you with a disciplinary hearing letter/notice to be sent to the employee which sets out in clear and simple terms the disciplinary allegations, process to be followed, the employee's rights and potential sanctions.

Why is it important?

If you are formally disciplining an employee for misconduct, this letter ensures that you are complying with the unfair dismissal laws. It also meets the requirements of the statutory ACAS Code of Practice on Disciplinary and Grievance Procedures. It is always best practice to give the employee a right to appeal any misconduct decision. The letter should tell the employee they must appeal in writing with their grounds of appeal. If you accept an appeal by the employee, you should respond with a letter inviting the employee to an appeal hearing for misconduct.

Risks

Non-compliance with the ACAS Code of Practice on Disciplinary and Grievance Procedures will be taken into account by an employment tribunal when deciding whether an employee has been treated fairly and can also result in the tribunal increasing the amount of compensation awarded your employee if the case went to court.




Invitation letter to an appeal hearing for misconduct


What is it?

The right to appeal against the outcome of disciplinary action is an important element of a fair disciplinary process. Where an employee appeals against a disciplinary sanction, the employer should invite them to a disciplinary appeal hearing.

Why is it important?

The ACAS Code of Practice on Disciplinary and Grievance Procedures states that the employee should be given the right to appeal against any disciplinary sanction or decision.Our employment solicitors can provide you with an invitation letter to an appeal hearing that helps ensure that your processes are watertight. The invitation should include information about the employee's right to be accompanied at the appeal hearing.

Risks

Non-compliance with the ACAS Code of Practice on Disciplinary and Grievance Procedures will be taken into account by an employment tribunal when deciding whether an employee has been treated fairly and can also result in the tribunal increasing the amount of compensation awarded if the case went to court.




Disciplinary outcome letter for misconduct - warning or no action


What is it?

This is a letter that can be used to inform the employee of the outcome of the disciplinary meeting when the outcome is a warning or that no further action is to be taken by the employer.




Invitation letter to a performance appeal hearing


What is it?

This is a letter that should be used to invite an employee to a performance appeal hearing.




Invitation letter to a performance appraisal


What is it?

An appraisal is a formal process that allows you and a member of staff to assess the staff member’s performance over a period of time eg on a 6 month or 12 month basis. A detailed appraisal has a number of benefits for you and your employees.

Why is it important?

For example, it gives you the opportunity to:

1. review and provide feedback on their performance and set objectives to maximise performance.

2. It also gives the employee the opportunity to comment on their performance, suggest improvements and bring any problems to your attention.

3. It can therefore assist in motivating employees, resolution of problems and the prevention of legal disputes.

Our employment solicitors can provide you with an invitation to attend an appraisal meeting letter tailored to your specific requirements. This letter sets the date for the meeting, who will conduct the meeting and whether the member of staff needs to bring any particular documents or information to the meeting.

Contact our employment law solicitors on 01234 938089.




Poor performance outcome letter - warning or no action


What is it?

This is a letter that can be used to inform the employee of the outcome of the poor performance meeting when the outcome is a warning or no further action is to be taken.




Disciplinary procedure


What is it?

A disciplinary procedure is a formal way for an employer to deal with an employee’s unacceptable or improper behaviour (‘misconduct’) or performance (‘capability’).

Why is it important?

You should put your disciplinary procedure in writing and make it easily available to all staff. IIt should say what performance and behaviour might lead to disciplinary action and what action your employer might take.

It should also include the name of someone you can speak to if you do not agree with your employer’s disciplinary decision.

Disciplinary steps : Your disciplinary procedure should include the following steps:

  1. A letter setting out the issue.

  2. A meeting to discuss the issue.

  3. A disciplinary decision.

  4. A chance to appeal this decision.

Risks

Before starting a disciplinary procedure against a member of staff , you should first see whether the problem can be resolved in an informal way. This can often be the quickest and easiest solution.

If you need help in resolving an employment matter or dispute, please contact our employment solicitors on 01234 938089. We can provide you with advice on a fixed fee basis.




Suspension Letter


What is it? This is a letter that can be used to inform the employee that the employee will be suspended pending investigation of the disciplinary allegations.




Dismissal letter for misconduct


What is it? This Dismissal Letter should be used to inform the employee of the outcome of the disciplinary meeting when that outcome is dismissal on the grounds of misconduct falling short of Gross Misconduct. Why is it important? To comply with the ACAS Code of Practice on Disciplinary and Grievance Procedures the employee should be given the right to appeal against any disciplinary sanction or decision.




Dismissal letter for poor performance


What is it? This Dismissal Letter should be used to inform the employee of the outcome of the disciplinary meeting when that outcome is dismissal for poor performance. Why is it important? To comply with the ACAS Code of Practice on Disciplinary and Grievance Procedures the employee should be given the right to appeal against any disciplinary sanction or decision.




Gross misconduct dismissal letter


What is it? This Gross Misconduct Notice of Dismissal Letter should be used to inform the employee of the outcome of the disciplinary meeting when that outcome is dismissal on the ground of gross misconduct. An employee can be dismissed “on the spot” for gross misconduct eg fighting at work. Why is it important? However it is best practice to follow up a gross misconduct “on the spot dismissal” with a letter fully explaining the dismissal and the reasons for the dismissal. Risks To comply with the ACAS Code of Practice on Disciplinary and Grievance Procedures the employee should be given the right to appeal against any disciplinary sanction or decision.




Dismissal letter for employees without unfair dismissal rights


What is it? This Dismissal Letter should be used to inform the employee of their dismissal when they have under two years’ service with the employer. Why is it important? It is best practice to put an employee on a performance improvement plan(PIP) first before dismissing them irrespective of their length of service. This letter can be used where an employee is dismissed either with or without having been put on a performance improvement plan. In all cases, the employer should adopt a professional and respectful tone when communicating with the soon-to-be dismissed employee. Risks To comply with the ACAS Code of Practice on Disciplinary and Grievance Procedures the employee should be given the right to appeal against any disciplinary sanction or decision.




Appeal letter


What is it?

This is a letter from an employee against whom a disciplinary sanction has been imposed appealing against the dismissal.

If you need help in resolving an employment matter or dispute, please contact our employment solicitors on 01234 938089. We can provide you with advice on a fixed fee basis.





Settlement agreements & Ref

Settlement agreement


What is it?

A Settlement Agreement is a binding contract between an employer and employee which settles claims that an employee may have against their employer. Whilst such an agreement is usually used in relation to be ending the employment it may also be used to settle a dispute that has arisen between an employer and employee where there is no intention by either party to end the employment.

Why is it important?

The terms of the settlement agreement must be mutually agreed between the employer and employee and must include a waiver of the specific claims which the employee has or could have. The agreement should contain a breakdown of the payments which have been agreed and should also state whether any of the payments are to be paid to the employee free of tax. Payments of up to £30k compensation can often be paid without deduction of tax if the payment is being made on an “ex gratia basis” (i.e. it is a payment you have voluntarily decided to make rather than one that you are legally obliged to make) or as compensation damages for a breach of contract.

Risks?

For a settlement agreement to be legally binding it must meet a number of statutory requirements eg it must be in writing, must specify the particular claims or complaints which the agreement is settling and the employee must have received advice on the terms and effect of the agreement from an independent solicitor or a trade union official whose advice is covered by insurance.

If the settlement agreement does not meet all of the statutory requirements, it will not be binding and the employee can still bring claims against the employer relating to the claims allegedly “settled” by the settlement agreement.It is a good idea to take proper legal advice before you decide to enter into a settlement agreement.

For more information on settlement agreements, contact our employment solicitors




Reference letter


What is it?

A Reference letter is a letter that is usually written to testify to a person’s or (sometimes) a company’s skills, experience, character and or achievements. It is used in various circumstances eg when a candidate applies for a job and needs a reference to support their application, if a job candidate is made a job offer and is asked to provide a reference letter before the contract can be signed, a landlord asks a prospective tenant to provide a reference letter testifying to their character and good financial statues, a student applies for funding and is asked to provide a reference letter or a company applies for a tender and is asked to provide reference letters testifying to their ability to do the job and their trustworthiness.

Why is it important?

A Reference letter is a formal document and should be written in a business-like style. Do not mention any weaknesses that the candidate has or say anything that could be construed as derogatory or libel. If you honestly feel that the applicant has no good qualities or if you have had a dispute with them in the past you should tell them to get a reference letter from someone else. An employer must give a reference if there was a written agreement to do so and they are in a regulated industry such as Financial services.

Risks

You are under no obligation to give a work reference but if you do it must be fair and accurate. Your employee may be able to sue you in court and claim damages if you give a reference, they think is misleading or unfair. To do so the employee must be able to show that (a ) the reference is misleading or inaccurate and (b) they suffered a loss eg a job offer was withdrawn.It is essential that you do not lie in it or you could be sued.

Need some advice? Contact our employment solicitors.





Commercial notices

Communications and equipment policy


What is it? This policy explains to employees the rules and procedures to follow when using the employer’s IT resources and electronic communication systems at work. It sets out the extent to which the business allows the use of its IT resources and the use of PCs, laptops, internet, emails, software and passwords. Why is it important? Having such a policy ensures that your employees are aware of and comply with your rules regarding the use of IT resources and communication systems while at work.




Data protection and data security policy


What is it?

A data protection policy is an internal document that serves as the core of a business’s GDPR compliance practices.

It explains the GDPR’s requirements to employees and states the business’s commitment to compliance. The policy does not need to include specific details on how the business will meet the Regulation’s requirements, as these will be covered in the business’s procedures.

Why do you need a GDPR data protection policy?

  • to provide the groundwork from which your business can achieve GDPR compliance.

  • to make the GDPR understandable to your staff.

  • to prove that your business is committed to GDPR compliance.

Why is it important?

We highly recommend our clients to have the following data protection related policies :

a)Encryption policies

b)Acceptable use policies

c) Password policies

c)Email policies

d)Data-processing policies

Risks

Your business’s policies are at the heart of your business operations. They set out exactly how employees should handle certain issues, ensuring that everybody is following agreed best practices.

Effective policies are all the more important now that the Data Protection Act 2018 and the GDPR (General Data Protection Regulations) are in place. The DPA and the GDPR are not just about implementing technological and organisational measures to protect the information your business stores.

You also need to demonstrate your compliance, which is why data security policies are essential.

Employee training is vital to ensure each of these policies is maintained.

For advice and more information on Data Protection, contact your expert Data Protection solicitors at Pure Business Law.




Social media policy


What is it? A social media policy sets out how a business and its employees should conduct themselves on the internet and what is and is not appropriate for employees to post about their company on social networks. Why is it important? It helps protect your company’s online reputation. The policy must reflect the business culture and be designed to minimise risks such as employees making derogatory remarks about your business or workplace online.




Equal opportunities policy


What is it? This policy sets out the business’s commitment to treating its employees fairly and giving everyone the same opportunities for employment, pay and promotion without discriminating against anyone on the grounds of age, sex, race, gender, ethnic origins, gender etc (the nine protected characteristics”).




Flexible working policy


What is it? A flexible working policy is a policy that sets out different working arrangements where employees are given greater freedom in the hours they work and how they fulfil the obligations of their roles. You are legally obliged to provide your employees with details of your business’s flexible working policy and procedures Flexible working includes working from home, part-time working job sharing, compressed hours, flexible start and finish times and phased retirement. Why is it important? The Advisory, Conciliation and Arbitration Service (ACAS) recommends that employers put in place a flexible working policy as best practice to ensure that you deal with flexible working requests consistently and to ensure that staff are all aware of how you deal with them. Flexible working has advantages and disadvantages. Is flexible working right for your business? Contact us to discuss!




Health and safety policy


What is it? A health and safety policy states the employer’s commitment to protect employees’ health and safety and to cooperate with other parties such as employees, supervisors, the health and safety representative to ensure a safe work environment.If you have five or more employees, you are legally required to have a written health and safety policy. Why is it important? If you do not have a written policy the Health and Safety Executive (HSE) can take action against you and prosecute you. Even if you do not have five employees it is best practice to have a written health and safety policy to make your health and safety arrangements clear. Consideration of the health, safety and welfare of staff is an integral part of the management process. The purpose of a Health and Safety policy is to establish general standards for health and safety at work and to distribute responsibility for their achievement to all managers, supervisors and other employees through the normal line management processes. Risks Managers must approach health and safety in a systematic way, by identifying hazards and problems, planning improvements, taking executive action and monitoring results. There should be an annual audit and regular risk assessments.




Grievance procedure


What is it? You are legally obliged to provide your employees with details of your business’s grievance and disciplinary procedures. The grievance procedure is a tool by which a member of staff may formally have a grievance (i.e. “complaint”) regarding any condition of their employment heard by the Company management. Your grievance procedure should set out the process to be followed, to whom a grievance should be reported and the right to appeal a finding. The employee has the right to representation by a Trade Union representative or a work colleague. Why is it important? Your disciplinary policy should include examples of the types of conduct or behaviour that will lead to disciplinary action as well as information about the process your business will follow in investigating and handling a disciplinary matter. You also need to set out the names of the people in your business who will deal with disciplinary matters and any appeals arising from the disciplinary process. It is also good practice to have a Whistleblowing policy, a Bullying and harassment policy and a smoking, drugs and alcohol policy alongside your standard grievance and disciplinary procedures.




Redundancy policy


What is it? A redundancy policy provides employers with detailed procedures to follow within a business when making staff redundant so avoiding possible unfair dismissal claims. The policy also provides employees with information regarding the procedures the employer must follow thereby helping to avoid uncertainty for staff. It sets out each step of the redundancy process and outlines the statutory settlements for redundant staff. Employees who are made redundant and have at least 2 or more years continuous service are entitled to statutory redundancy pay. Why is it important? Having a redundancy policy in place will provide an employer with a clear framework to carry out redundancies and provides employees with clear notice of how any redundancy would be undertaken.




Sickness policy


What is it? If you have employees, you are required to set out details of their sick pay and leave entitlements in their employment contracts. A sickness policy sets out your procedures for dealing with and managing employee sickness absences and return to work eg how you want your staff to notify you when they are sick, whether your company offers any enhanced sick pay (ie contractual sick pay) over the minimum statutory sick pay (SSP), what absence levels will trigger the beginning of the disciplinary procedure, your policy regarding time off for medical appointments. Why is it important? Having a sickness policy in place is not a legal requirement however it can be reassuring and can help to remove some of the stress and uncertainty associated with sickness absence. It can also help to ensure that sickness absences are handled fairly and consistently across your work force. Risks When writing your policy you must remember that if an employee is ill and or off work due to a disability you must make any reasonable adjustments to help that employee remain at work or return to work before imposing any sanction under your sickness absence policy. This could include agreeing to provide them with a special type of chair (if the employee has back pain), changing their working hours so they can attend work more easily or providing a phased return to work ie the employee works for 3 or 4 hours for the first few weeks and then increases their working hours gradually. If you do not have a sickness policy and you treat staff inconsistently you may end up being sued by an employee for discrimination.




Maternity policy


What is it? This is required by law. A maternity leave policy sets out the policies and procedures that your business has to manage pregnancy absence and return to work. Why is it important? You must ensure that written information about the rights and policies applicable to new and expectant parents is available to all staff members so that they are aware of their rights and obligations. Your maternity policy should also include information about time off work for antenatal or pre-adoption appointments, the rules about leave and pay during the child’s first 12 months and return to work rights of the expectant partner. Your policy should also include information about whether your business will offer the minimum statutory rights or an enhanced entitlement.




Parental leave policy


What is it? This is required by law .A parental leave policy sets out the policies and procedures that your business has to manage parental leave for reasons associated with childcare eg when a parent has to take time off to look after children for one reason or the other and return to work. Your parental leave policy should set out the policies and procedures that your business has to manage parental leave after pregnancy absence and return to work. Why is it important? You must ensure that written information about the rights and policies applicable to new and expectant parents is available to all staff members so that they are aware of their rights and obligations. Your parental leave policy should also include information about time off work for antenatal or pre-adoption appointments, the rules about leave and pay during the child’s first 12 months and return to work rights of the expectant partner. Your policy should also include information about whether your business will offer the minimum statutory rights or an enhanced entitlement.




Paternity policy


What is it? This is required by law . A paternity leave policy sets out the policies and procedures that your business has to manage paternity leave either when a father wants to take time off to look after his child after childbirth or adoption etc. and return to work. You must ensure that written information about the rights and policies applicable to new and expectant parents is available to all staff members so that they are aware of their rights and obligations. What is it important? Your paternity leave policy should also include information about time off work for antenatal or pre-adoption appointments, the rules about leave and pay during the child’s first 12 months and return to work rights of the expectant partner. Your policy should also include information about whether your business will offer the minimum statutory rights or an enhanced entitlement.




Shared parental leave policy


What is it? This is required by law. A shared parental leave policy sets out the policies and procedures that your business has to manage shared parental leave and return to work. Why is it important? Your shared parental leave policy should also include information about time off work for antenatal or pre-adoption appointments, the rules about leave and pay during the child’s first 12 months and return to work rights of the expectant partner. Your policy should also include information about whether your business will offer the minimum statutory rights or an enhanced entitlement.




Environmental policy


What is it? Although not a legal requirement it is good business practice to have an Environmental policy. An Environmental policy confirms that your company is committed to continuous improvement in managing environmental issues including proper management and monitoring of waste, reduction of pollution and emissions, compliance with environmental legislation and environmental codes of practice, training for staff and the monitoring of environmental performance. Why is it important? This will in turn assist you in building and maintaining good relations with the community and the general public. Once written it should be signed by the most senior director in the company to show that it is company policy and should be reviewed on a regular basis alongside your Health and Safety policies. Whilst not required by law an Environmental policy may also come in useful if you are bidding for medium-sized and large tenders. We are experienced in preparing such policies for offices, shops, construction, automotive workshops, hotels, transport ,logistics, parcel delivery, restaurants, manufacturing cleaning companies.





Letting a commercial property

Communications and equipment policy


What is it? This policy explains to employees the rules and procedures to follow when using the employer’s IT resources and electronic communication systems at work. It sets out the extent to which the business allows the use of its IT resources and the use of PCs, laptops, internet, emails, software and passwords. Why is it important? Having such a policy ensures that your employees are aware of and comply with your rules regarding the use of IT resources and communication systems while at work.




Data protection and data security policy


What is it?

A data protection policy is an internal document that serves as the core of a business’s GDPR compliance practices.

It explains the GDPR’s requirements to employees and states the business’s commitment to compliance. The policy does not need to include specific details on how the business will meet the Regulation’s requirements, as these will be covered in the business’s procedures.

Why do you need a GDPR data protection policy?

  • to provide the groundwork from which your business can achieve GDPR compliance.

  • to make the GDPR understandable to your staff.

  • to prove that your business is committed to GDPR compliance.

Why is it important?

We highly recommend our clients to have the following data protection related policies :

a)Encryption policies

b)Acceptable use policies

c) Password policies

c)Email policies

d)Data-processing policies

Risks

Your business’s policies are at the heart of your business operations. They set out exactly how employees should handle certain issues, ensuring that everybody is following agreed best practices.

Effective policies are all the more important now that the Data Protection Act 2018 and the GDPR (General Data Protection Regulations) are in place. The DPA and the GDPR are not just about implementing technological and organisational measures to protect the information your business stores.

You also need to demonstrate your compliance, which is why data security policies are essential.

Employee training is vital to ensure each of these policies is maintained.

For advice and more information on Data Protection, contact your expert Data Protection solicitors at Pure Business Law.




Social media policy


What is it? A social media policy sets out how a business and its employees should conduct themselves on the internet and what is and is not appropriate for employees to post about their company on social networks. Why is it important? It helps protect your company’s online reputation. The policy must reflect the business culture and be designed to minimise risks such as employees making derogatory remarks about your business or workplace online.




Equal opportunities policy


What is it? This policy sets out the business’s commitment to treating its employees fairly and giving everyone the same opportunities for employment, pay and promotion without discriminating against anyone on the grounds of age, sex, race, gender, ethnic origins, gender etc (the nine protected characteristics”).




Flexible working policy


What is it? A flexible working policy is a policy that sets out different working arrangements where employees are given greater freedom in the hours they work and how they fulfil the obligations of their roles. You are legally obliged to provide your employees with details of your business’s flexible working policy and procedures Flexible working includes working from home, part-time working job sharing, compressed hours, flexible start and finish times and phased retirement. Why is it important? The Advisory, Conciliation and Arbitration Service (ACAS) recommends that employers put in place a flexible working policy as best practice to ensure that you deal with flexible working requests consistently and to ensure that staff are all aware of how you deal with them. Flexible working has advantages and disadvantages. Is flexible working right for your business? Contact us to discuss!




Health and safety policy


What is it? A health and safety policy states the employer’s commitment to protect employees’ health and safety and to cooperate with other parties such as employees, supervisors, the health and safety representative to ensure a safe work environment.If you have five or more employees, you are legally required to have a written health and safety policy. Why is it important? If you do not have a written policy the Health and Safety Executive (HSE) can take action against you and prosecute you. Even if you do not have five employees it is best practice to have a written health and safety policy to make your health and safety arrangements clear. Consideration of the health, safety and welfare of staff is an integral part of the management process. The purpose of a Health and Safety policy is to establish general standards for health and safety at work and to distribute responsibility for their achievement to all managers, supervisors and other employees through the normal line management processes. Risks Managers must approach health and safety in a systematic way, by identifying hazards and problems, planning improvements, taking executive action and monitoring results. There should be an annual audit and regular risk assessments.




Grievance procedure


What is it? You are legally obliged to provide your employees with details of your business’s grievance and disciplinary procedures. The grievance procedure is a tool by which a member of staff may formally have a grievance (i.e. “complaint”) regarding any condition of their employment heard by the Company management. Your grievance procedure should set out the process to be followed, to whom a grievance should be reported and the right to appeal a finding. The employee has the right to representation by a Trade Union representative or a work colleague. Why is it important? Your disciplinary policy should include examples of the types of conduct or behaviour that will lead to disciplinary action as well as information about the process your business will follow in investigating and handling a disciplinary matter. You also need to set out the names of the people in your business who will deal with disciplinary matters and any appeals arising from the disciplinary process. It is also good practice to have a Whistleblowing policy, a Bullying and harassment policy and a smoking, drugs and alcohol policy alongside your standard grievance and disciplinary procedures.




Redundancy policy


What is it? A redundancy policy provides employers with detailed procedures to follow within a business when making staff redundant so avoiding possible unfair dismissal claims. The policy also provides employees with information regarding the procedures the employer must follow thereby helping to avoid uncertainty for staff. It sets out each step of the redundancy process and outlines the statutory settlements for redundant staff. Employees who are made redundant and have at least 2 or more years continuous service are entitled to statutory redundancy pay. Why is it important? Having a redundancy policy in place will provide an employer with a clear framework to carry out redundancies and provides employees with clear notice of how any redundancy would be undertaken.




Sickness policy


What is it? If you have employees, you are required to set out details of their sick pay and leave entitlements in their employment contracts. A sickness policy sets out your procedures for dealing with and managing employee sickness absences and return to work eg how you want your staff to notify you when they are sick, whether your company offers any enhanced sick pay (ie contractual sick pay) over the minimum statutory sick pay (SSP), what absence levels will trigger the beginning of the disciplinary procedure, your policy regarding time off for medical appointments. Why is it important? Having a sickness policy in place is not a legal requirement however it can be reassuring and can help to remove some of the stress and uncertainty associated with sickness absence. It can also help to ensure that sickness absences are handled fairly and consistently across your work force. Risks When writing your policy you must remember that if an employee is ill and or off work due to a disability you must make any reasonable adjustments to help that employee remain at work or return to work before imposing any sanction under your sickness absence policy. This could include agreeing to provide them with a special type of chair (if the employee has back pain), changing their working hours so they can attend work more easily or providing a phased return to work ie the employee works for 3 or 4 hours for the first few weeks and then increases their working hours gradually. If you do not have a sickness policy and you treat staff inconsistently you may end up being sued by an employee for discrimination.




Maternity policy


What is it? This is required by law. A maternity leave policy sets out the policies and procedures that your business has to manage pregnancy absence and return to work. Why is it important? You must ensure that written information about the rights and policies applicable to new and expectant parents is available to all staff members so that they are aware of their rights and obligations. Your maternity policy should also include information about time off work for antenatal or pre-adoption appointments, the rules about leave and pay during the child’s first 12 months and return to work rights of the expectant partner. Your policy should also include information about whether your business will offer the minimum statutory rights or an enhanced entitlement.




Parental leave policy


What is it? This is required by law .A parental leave policy sets out the policies and procedures that your business has to manage parental leave for reasons associated with childcare eg when a parent has to take time off to look after children for one reason or the other and return to work. Your parental leave policy should set out the policies and procedures that your business has to manage parental leave after pregnancy absence and return to work. Why is it important? You must ensure that written information about the rights and policies applicable to new and expectant parents is available to all staff members so that they are aware of their rights and obligations. Your parental leave policy should also include information about time off work for antenatal or pre-adoption appointments, the rules about leave and pay during the child’s first 12 months and return to work rights of the expectant partner. Your policy should also include information about whether your business will offer the minimum statutory rights or an enhanced entitlement.




Paternity policy


What is it? This is required by law . A paternity leave policy sets out the policies and procedures that your business has to manage paternity leave either when a father wants to take time off to look after his child after childbirth or adoption etc. and return to work. You must ensure that written information about the rights and policies applicable to new and expectant parents is available to all staff members so that they are aware of their rights and obligations. What is it important? Your paternity leave policy should also include information about time off work for antenatal or pre-adoption appointments, the rules about leave and pay during the child’s first 12 months and return to work rights of the expectant partner. Your policy should also include information about whether your business will offer the minimum statutory rights or an enhanced entitlement.




Shared parental leave policy


What is it? This is required by law. A shared parental leave policy sets out the policies and procedures that your business has to manage shared parental leave and return to work. Why is it important? Your shared parental leave policy should also include information about time off work for antenatal or pre-adoption appointments, the rules about leave and pay during the child’s first 12 months and return to work rights of the expectant partner. Your policy should also include information about whether your business will offer the minimum statutory rights or an enhanced entitlement.




Environmental policy


What is it? Although not a legal requirement it is good business practice to have an Environmental policy. An Environmental policy confirms that your company is committed to continuous improvement in managing environmental issues including proper management and monitoring of waste, reduction of pollution and emissions, compliance with environmental legislation and environmental codes of practice, training for staff and the monitoring of environmental performance. Why is it important? This will in turn assist you in building and maintaining good relations with the community and the general public. Once written it should be signed by the most senior director in the company to show that it is company policy and should be reviewed on a regular basis alongside your Health and Safety policies. Whilst not required by law an Environmental policy may also come in useful if you are bidding for medium-sized and large tenders. We are experienced in preparing such policies for offices, shops, construction, automotive workshops, hotels, transport ,logistics, parcel delivery, restaurants, manufacturing cleaning companies.





Sale and Purchase of Commerial Property

Licence to assign


What is it? If you are a landlord of commercial property, and your lease to your tenant includes a provision that says that your tenant cannot assign the lease to another (the “assignee”) without your consent and your tenant wants to assign or transfer their lease obligations to another commercial tenant you need a licence to assign to give them your consent. Why is it important? If the lease absolutely prevents assignment, then you can refuse consent without stating a reason. However, if the lease prohibits assignment without the landlord’s consent the landlord must have a good reason for refusing consent. If the tenant considers that the landlord’s reason is unreasonable the tenant can challenge the refusal in court. A tenant’s request to assign the lease may be made orally, by letter or by email as there is no prescribed form for a tenant’s application for consent to assign. A landlord can charge a tenant a fee to register an assignment. Landlords generally insist that the tenant or lessee gives a guarantee (Authorised Guarantee Agreement “AGA”) in the lease to be responsible for any breaches of covenants by the assignee so that the landlord can claim against the original tenant if the assignee breaches any of its obligations under the lease.




Licence to sublet


What is it? A licence to sublet is an agreement between a landlord and a tenant that gives the tenant the right to sublet part or the whole of the property to another tenant (the “sub-tenant”). If the lease absolutely prevents sub-letting, then you can refuse consent without stating a reason. However, if the lease prohibits sub-letting without the landlord’s consent the landlord must have a good reason for refusing consent. If the tenant considers that the landlord’s reason is unreasonable the tenant can challenge the refusal in court. Why is it important? Where there is a sub-lease the sub-lessee’s landlord is the tenant or lessee so if the sub-lessee breaches its obligations under the sub-lease the lessee or tenant is the only person entitled to take action against the sub-lessee. Landlords generally insist that the sub-tenant joins in the licence to sublet so that the landlord can claim against the sub-tenant if there is any breach of its obligations under the sub-lease.




Sale Agreement


What is it? If you are selling a commercial property, we will prepare the sale contract and related documents, deal with all enquiries raised by the buyer’s solicitors, report to you and advise you and once the contract has been agreed, complete the transaction as quickly and effectively as possible.




Purchase Agreement


What is it? If you are buying a commercial property we will review, amend and advise you on the contract, raise all relevant enquiries, conduct searches, report to you, advise you and then once the parties have agreed the contract complete and register the conveyance as quickly and effectively as possible





Buying & Selling a business

Joint Venture Agreement


What is it? This agreement is needed when two or more parties decide to engage in a business collaboration to deal with a particular project. There are two main types of joint ventures: i) A contractual joint venture is a contract between two parties who are looking to work together on a commercial project and pool their resources but do not want to create a separate legal entity such as a joint venture company or an LLP.(eg two businesses collaborating to bid for a contract or carry out research and development) . The collaboration will be generally be short term or for a defined period and will be of restricted scope with a well-defined purpose. ii)A corporate joint venture is a contract between two parties looking to work together on a commercial project where they will both set up a separate company (“a joint venture company”) separate from their current operations, own shares in it, have representatives from each of the companies sitting on its board and or want their company to have limited liability for the debts and obligations of the joint venture. This type of joint venture is usually suitable if you will be collaboration on a longer term project and or your collaboration will be more risky and complex and therefore justifies the time and effort of setting up a separate company.




Manufacturing Agreement


What is it? This agreement is needed if you want to employ the services of another company an individual to manufacture goods/products for you for your business. The agreement should cover a number of key areas including manufacture of the goods, materials, specification, quality control, packaging, storage, confidentiality, data protection, insurance, pricing, payment, delivery, title and risk, intellectual property, disputes, force majeure, service of notices, liability and indemnity clauses.




Memorandum of Understanding


What is it? An MOU is a pre-contract, non-binding document setting out the key terms agreed by parties who intend to enter into a binding contract. It is also known as Heads of Terms, a Letter of Intent or a Term Sheet. It is a useful tool when two or more parties intend to enter into a future contract and want to identify, describe and agree, without it being contractually binding, the terms to be further negotiated and then recorded in a contractually binding contract. There will occasionally be statements in a MOU which are exceptions to the general approach that a MOU is not binding : this will occur if the parties put in statements which the MOU expressly states are to be of legally binding effect until a definitive contract is signed. If that is the case those statements will generally be binding. Why is it important? An MOU is useful to set out the progress made during negotiations, reduce the potential for misunderstandings, indicate the major issues which still need to be resolved and make it clear what the parties intend when they enter into the contract. Risks The disadvantage of a MOU is that it can take up a considerable amount of time and may distract the parties from working on negotiating a full and detailed binding contract. There have been occasions when the parties to a proposed commercial arrangement never actually agree or sign a definite contract and have gone on to implement their deal based only on the MOU. This creates a very uncertain legal position which may lead to disputes and legal problems.




Agency Agreement


What is it? The term “agent” is often used as shorthand in a business or legal context to mean a person authorised to act for or on behalf of another who is sometimes called the “principal” As a business you need to be able to distinguish whether or not a particular arrangement amounts to a commercial agency rather than another kind of agency or relationship. This is vital if you are to understand the various legal obligations, duties and liabilities that you owe your contractors/ agents and vice versa. There are different types of individuals and companies which describe themselves as “agents”. These include for instance – commercial agents, sales agents. Employment agents, escrow agents etc. Why is it important? A commercial agent is a kind of sales agent whose relationship with their principal is largely governed by the Commercial Agents (Council Directive) Regulations 1993 whereas the relationship between any other type of sales and their principal is largely governed by the common law and not by the Regulations. A “commercial agent” is defined by the Regulations as a “…self-employed intermediary who has continuing authority to negotiate the sale or purchase of goods on behalf of their principal or to negotiate and conclude such transactions on behalf of and in the name of that principal”. Risks All commercial agency arrangements must comply with the Commercial Agents Regulations 1993. In accordance with the European Withdrawal Act 2018( ad subject to the terms of any final Brexit deal) the Regulations will remain in force post-Brexit.In contrast a sales agent is a freelance self-employed individual or contractor who may or may not work for numerous clients. You need an Agency Agreement if you want to appoint a third party to act on your behalf, marketing and selling your products and services – generally in exchange for commission on any sales. An agency agreement sets out the terms and conditions of the relationship, the commission or fees the notice period and any exclusivity rights. Other ways in which a business can expand without considerable outlay are via a distributorship and a franchise. In contrast to a distributorship, an agent earns commission on sales but does not pay for the goods, own the goods or set the sale price charged to the customer.




Referral Agreement


What is it? A referral agreement is used where, in order to obtain more customers and sales and widen Business A’s customer base or sell into a new market, a supplier of goods or services (Business A) wishes to engage another person or business (Individual B or Business B) to effect an introduction/referral of new customers to Business A in return for which the agent receives a fee for the introduction/referral itself or for the introduction/referral where it results in a sale within a stated period after the introduction/referral. It is also known as an Introduction agreement. Examples of referrers/introducers are agents who introduce a seller of a business to a potential buyer or who introduce a potential investor to a business. Why is it important? If a business colleague is referring work to you or you are the referrer you should get a referral agreement that sets out the terms of your agreement. This will help avoid problems. A referral agreement can also be used where an e-commerce website wishes to increase its sales by allowing other websites to refer customers to them in return for a commission on sales obtained through such referrals. The fees can be either a fixed fee or percentage basis with payment when the referral is made or upon the first transaction or both. The fees and payment clause can be drafted so that if the refer fails to introduce any new business they will not get a fee.There are specific referral agreements for the introduction of clients for financial services eg investment advice and insurance products.




Licensing Agreement


What is it? There are numerous types of licensing agreements eg IP licensing agreement eg a trademark licence agreement, a licence to occupy property, a software licence agreement etc.A software licence agreement is an agreement between a software licensor (generally a software developer and/or owner) and licensee who will be using the licensed software in the course of a business or personally. Why is it important? We always recommend that our clients get a licensing agreement if for example they want to give a person or another business the right to use their technology, software or any other type of intellectual property. A software licence will set out what the user may or may not do with a piece of software thereby helping developers ensure that they maximise returns on their investments, restrict others from free use of their creative and inventive work and product software that remains stable across a broad range of computer systems.




End User Licence Agreement


What is it? This is a licence agreement between a software provider and a user where software is distributed en-masse through retailers or electronically eg Microsoft and people who use its software. The different types of end-user licences include a Web Wrap software licence (designed for use with software that is distributed electronically via download ) Click Wrap Licence (designed for use with software that can be distributed electronically via download or on physical media such as a CD or DVD-Rom, Shrink Wrap Licence (designed for use in or on the packaging of software that is distributed on physical media such as a CD or DVD-Rom).




Service Level Agreement


What is it? Businesses often seek to obtain services from other businesses for various reasons. In some cases, a simple service agreement is all that is needed especially where the services in question are to be provided over a short term.However, in some cases a long-term relationship and the need for service consistency is essential. In such cases a business owner may prefer to enter into a Service Level Agreement with the service provider. Why is it important? Commonly used in the IT & Technology industries, but also applicable in other areas of business especially where large-scale or complex services are involved Service Level Agreements set out the services to be provided under a contract and also sets out the levels of performance to which those services must be provided. Detailed provisions govern the monitoring of the performance of the services and the agreement. Risks The service provider is thereby incentivised to consistently provide services in line with the agreed performance levels. If it fails to meet the agreed service levels it is subject to penalties. Service level agreements are preferable to standard service agreements as they contain much more detail, enhanced clarity and accountability over and above standard service agreements.




Partnership agreement


What is it? There are 2 main types of partnership agreements: An unlimited partnership – This is a relationship between two or more parties carrying on business together to make a profit. It is usually referred to as a “partnership” or a “general partnership” to distinguish it from other types of partnership such as a limited liability partnership. A partnership can arise by law even if there is no agreement in writing and even if the parties did not intend to create a partnership. An unlimited partnership is not a separate legal entity unlike a company or a limited liability partnership. Therefore, its partners have unlimited liability for the partnership’s debts. A limited liability partnership – Unlike an unlimited partnership a limited liability partnership (LLP) requires the establishment of a separate corporate body through which the collaboration will be conducted. The partners will have limited liability in the same way as shareholders in a company. The partners will usually sign a member’s agreement setting out how the LLP will be run.




LLP agreement


What is it? This agreement applies when you have a limited liability partnership. Unlike an unlimited partnership a limited liability partnership (LLP) requires the establishment of a separate corporate body through which the collaboration will be conducted. Why is it important? The partners will have limited liability in the same way as shareholders in a company. The partners will usually sign a member’s agreement (LLP Agreement) setting out how the LLP will be run.




Distribution agreement


What is it? A distributor buys goods from a supplier to sell on to customers. They can earn a profit margin based on the “mark-up” they add to the original sale price. A Distributorship agreement is an agreement whereby the manufacturer appoints the distributor on a “sole” or “non-exclusive” basis) to resell the manufacturer’s products in a particular territory/ies. In this case, the ownership of the goods is transferred to the distributor prior to the marketing and sale of the goods which means that the distributor may hold stocks of goods which they pay for and own – they therefore bear the risk as to whether they can resell the goods. There are different types of distribution agreements eg exclusive, sole and selective distribution agreements. Business relationships can sour if based on verbal agreements. Protect your rights by ensuring you have a written distribution agreement.




Model release letter


What is it? A signed Model Release Form protects your profit margin and your copyright. Whether you work in a marketing business graphic design or are a commercial vlogger or blogger you need to ensure that any photographs that you use in your business has a properly signed release form. Whilst you do not generally need written permission to take photos, if you take photos and wish to publish the photos on the internet or in any other way or if you are starting a photography business you can protect yourself from any liability or legal proceedings by using a Model Release Form or Letter. A Model Release Form is the contract between the photographer or User and the “model” (i.e. the subject or owner of the image or photograph). Designed to protect both parties it specifies the ways in which the images or models can or cannot be used (eg for advertising, to make prints, post on social media etc), the media formats, the use or not of the model’s name, the model’s rights (or not) to inspect the end product before publication and the expiry (or not) of the release. Why is it important? A Model Release Form is not about obtaining permission to take photographs – it is about obtaining signed consent to publish the photographs for commercial purposes. Whilst it is generally okay to take pictures of a person or people in a public place without written permission if you want to use that photo for specific commercial purposes eg to promote a product on the internet or elsewhere it is best to be safe and get a signed release form from the “model” or owner of the “model”. Risks But do get legal advice before you use a release form template as it may need adapting to fit your particular needs.And remember! If you want to use images for a purpose not originally agreed, you MUST get further signed consent.




Sales agency agreement


What is it? If you are a business selling products you may decide to employ the services of a sales agent. A sales agent is a freelance self-employed business or contractor who might or might not work for several clients. The term “sales agent” includes a “commercial agent” but it is usual to distinguish the two forms of agency by referring to someone as a sales agent only if they are not a “commercial agent” as the legal position of a “commercial agent” differs substantially from other forms of “sales agency”. The business that owns the products will be called the “Principal” and the sales agent will be called the “Agent”. The sales agent is paid commission only and so is motivated to make as many sales as possible to maximise their income.Central to the relationship between a business and their sales agent will be the “Agency Agreement”. The Sales Agency agreement will set out the product the agent will be selling, where the agent will be selling those products, how the sales are to take place, commission payable on all sales and the key rights and responsibilities of the parties. Why is it important? The use of sales agents as opposed to an employed sales team has a number of benefits for the business (i.e. the “Principal”) since commission is only payable on achieved sales, there are no fixed employment costs, and the agent will often already have a network of contacts ie established customer base, will know the market in their area and will have credibility with their customer base.




Sub-contracting agreement


What is it? Many business contracts allow one or both parties to sub-contract all or part of their obligations under a contract. This can be done via a letter termed a “Notice of Intention to Sub-contract” from the main contractor to the other party to the main contract or via a formal “Sub-contracting” agreement. Where a “Notice of intention to sub-contract” letter is used, the main contractor (ie sender of the letter) would inform the other party to the contract (ie the recipient of the letter) that the main contractor intends to subcontract certain of their obligations under a contract and will provide details of the subcontractor(s) to whom the obligations will be sub-contracted, a detailed description of the obligations to be sub-contracted with cross-references to the relevant parts of the Contract agreement between the main contractor and the other party to the contract agreement. The recipient will also be reminded that they are not a party to the sub-contract and that the main contractor will remain their primary contact person and will also remain liable for any acts of omissions of the subcontractors. As an option, the main contractor may also decide to enter into a formal “Sub-contracting” agreement with the sub-contractor and send a copy of this to




Franchise Agreement


What is it? Franchising your business lets you licence your business model to companies or individual in particular geographical areas and allows you to increase your profits while maintaining a significant degree of control over your brand. A Franchise agreement is an agreement under which the owner of a business grants a licence or licences to others (the “franchisees”) to operate that business in a particular area within the UK or internationally either on a “sole” or “non-exclusive” basis, for a fee therefore spreading their corporate identity and products or services without the expense of setting up new establishments. All franchisees will use a common identity including the name, trademarks, goodwill, other intellectual property and or products of the franchisor. The franchisor will also provide a “Quality Manual” which in effect is a rule book setting out all the relevant detail needed for the successful day-to-day running of the franchised business eg minimum standards and insurance requirements. The agreement will usually include a confidentiality clause protecting all commercially sensitive information and trade secrets from unauthorised disclosure thereby protecting the interests of the franchisor. Why is it important? Franchising has benefits for the franchisor and the franchisee. The franchisor can grow its business without having to open, staff and manage new premises or branches itself whilst the franchisee can manage his/her own business which has been already tested by the franchisor and has access to the franchisor’s experience and expertise. McDonalds and Kentucky Fried Chicken (KFC) operate their own restaurants and food outlets but also grant franchises to others to operate McDonalds and KFC businesses using their logos with McDonalds and Kentucky Fried Chicken exercising tight quality control over the restaurants, their location, food, health and safety etc.





Managing licenses


Running an online business


Protecting your IP


Business Relationships


Writing a business plan


Operating as a Sole Trader

Settlement agreement


What is it?

A Settlement Agreement is a binding contract between an employer and employee which settles claims that an employee may have against their employer. Whilst such an agreement is usually used in relation to be ending the employment it may also be used to settle a dispute that has arisen between an employer and employee where there is no intention by either party to end the employment.

Why is it important?

The terms of the settlement agreement must be mutually agreed between the employer and employee and must include a waiver of the specific claims which the employee has or could have. The agreement should contain a breakdown of the payments which have been agreed and should also state whether any of the payments are to be paid to the employee free of tax. Payments of up to £30k compensation can often be paid without deduction of tax if the payment is being made on an “ex gratia basis” (i.e. it is a payment you have voluntarily decided to make rather than one that you are legally obliged to make) or as compensation damages for a breach of contract.

Risks?

For a settlement agreement to be legally binding it must meet a number of statutory requirements eg it must be in writing, must specify the particular claims or complaints which the agreement is settling and the employee must have received advice on the terms and effect of the agreement from an independent solicitor or a trade union official whose advice is covered by insurance.

If the settlement agreement does not meet all of the statutory requirements, it will not be binding and the employee can still bring claims against the employer relating to the claims allegedly “settled” by the settlement agreement.It is a good idea to take proper legal advice before you decide to enter into a settlement agreement.

For more information on settlement agreements, contact our employment solicitors




Reference letter


What is it?

A Reference letter is a letter that is usually written to testify to a person’s or (sometimes) a company’s skills, experience, character and or achievements. It is used in various circumstances eg when a candidate applies for a job and needs a reference to support their application, if a job candidate is made a job offer and is asked to provide a reference letter before the contract can be signed, a landlord asks a prospective tenant to provide a reference letter testifying to their character and good financial statues, a student applies for funding and is asked to provide a reference letter or a company applies for a tender and is asked to provide reference letters testifying to their ability to do the job and their trustworthiness.

Why is it important?

A Reference letter is a formal document and should be written in a business-like style. Do not mention any weaknesses that the candidate has or say anything that could be construed as derogatory or libel. If you honestly feel that the applicant has no good qualities or if you have had a dispute with them in the past you should tell them to get a reference letter from someone else. An employer must give a reference if there was a written agreement to do so and they are in a regulated industry such as Financial services.

Risks

You are under no obligation to give a work reference but if you do it must be fair and accurate. Your employee may be able to sue you in court and claim damages if you give a reference, they think is misleading or unfair. To do so the employee must be able to show that (a ) the reference is misleading or inaccurate and (b) they suffered a loss eg a job offer was withdrawn.It is essential that you do not lie in it or you could be sued.

Need some advice? Contact our employment solicitors.





Ending or Assigning an Existing Agreement

Letter ending a contract


What is it? A letter terminating a contract also known as a Notice of Contract Termination, Notice of Cancellation of Contract or a Contract Termination Letter is a formal declaration indicating your intention to terminate a contract with the other party to the contract. When writing a letter terminating a contract ensure that you have the legal right to terminate the contract in the particular circumstances and keep your tone formal,straightforward, courteous and professional. Risks You should also ensure that :

  • The letter contains a clear description of the reasons for the termination of the contract.
  • The date of termination is mentioned.
  • The letter thanks the other party for their services.

Our contract solicitors can provide you with a bespoke letter for a reasonable fixed fee that you can use to cancel a contract or agreement.




Letter assigning a contract


What is it?

Transferring a contract from one party to another is known as ‘assigning’ a contract or ‘an assignment’ of the contract. An assignment ends one party’s involvement in the contract and transfers their contractual rights, benefits and interests to a new party.

Risks

Some contracts may contain a clause prohibiting assignment; other contracts may require the other party to consent to the assignment. Unless assignment is prohibited in a contract, a party may assign their rights to third party without the consent of the other party to the agreement. A letter of assignment is used to effect the assignment and will be signed by the outgoing party and the incoming party.





Health & Safety

Communications and equipment policy


What is it? This policy explains to employees the rules and procedures to follow when using the employer’s IT resources and electronic communication systems at work. It sets out the extent to which the business allows the use of its IT resources and the use of PCs, laptops, internet, emails, software and passwords. Why is it important? Having such a policy ensures that your employees are aware of and comply with your rules regarding the use of IT resources and communication systems while at work.




Data protection and data security policy


What is it?

A data protection policy is an internal document that serves as the core of a business’s GDPR compliance practices.

It explains the GDPR’s requirements to employees and states the business’s commitment to compliance. The policy does not need to include specific details on how the business will meet the Regulation’s requirements, as these will be covered in the business’s procedures.

Why do you need a GDPR data protection policy?

  • to provide the groundwork from which your business can achieve GDPR compliance.

  • to make the GDPR understandable to your staff.

  • to prove that your business is committed to GDPR compliance.

Why is it important?

We highly recommend our clients to have the following data protection related policies :

a)Encryption policies

b)Acceptable use policies

c) Password policies

c)Email policies

d)Data-processing policies

Risks

Your business’s policies are at the heart of your business operations. They set out exactly how employees should handle certain issues, ensuring that everybody is following agreed best practices.

Effective policies are all the more important now that the Data Protection Act 2018 and the GDPR (General Data Protection Regulations) are in place. The DPA and the GDPR are not just about implementing technological and organisational measures to protect the information your business stores.

You also need to demonstrate your compliance, which is why data security policies are essential.

Employee training is vital to ensure each of these policies is maintained.

For advice and more information on Data Protection, contact your expert Data Protection solicitors at Pure Business Law.




Social media policy


What is it? A social media policy sets out how a business and its employees should conduct themselves on the internet and what is and is not appropriate for employees to post about their company on social networks. Why is it important? It helps protect your company’s online reputation. The policy must reflect the business culture and be designed to minimise risks such as employees making derogatory remarks about your business or workplace online.




Equal opportunities policy


What is it? This policy sets out the business’s commitment to treating its employees fairly and giving everyone the same opportunities for employment, pay and promotion without discriminating against anyone on the grounds of age, sex, race, gender, ethnic origins, gender etc (the nine protected characteristics”).




Flexible working policy


What is it? A flexible working policy is a policy that sets out different working arrangements where employees are given greater freedom in the hours they work and how they fulfil the obligations of their roles. You are legally obliged to provide your employees with details of your business’s flexible working policy and procedures Flexible working includes working from home, part-time working job sharing, compressed hours, flexible start and finish times and phased retirement. Why is it important? The Advisory, Conciliation and Arbitration Service (ACAS) recommends that employers put in place a flexible working policy as best practice to ensure that you deal with flexible working requests consistently and to ensure that staff are all aware of how you deal with them. Flexible working has advantages and disadvantages. Is flexible working right for your business? Contact us to discuss!




Health and safety policy


What is it? A health and safety policy states the employer’s commitment to protect employees’ health and safety and to cooperate with other parties such as employees, supervisors, the health and safety representative to ensure a safe work environment.If you have five or more employees, you are legally required to have a written health and safety policy. Why is it important? If you do not have a written policy the Health and Safety Executive (HSE) can take action against you and prosecute you. Even if you do not have five employees it is best practice to have a written health and safety policy to make your health and safety arrangements clear. Consideration of the health, safety and welfare of staff is an integral part of the management process. The purpose of a Health and Safety policy is to establish general standards for health and safety at work and to distribute responsibility for their achievement to all managers, supervisors and other employees through the normal line management processes. Risks Managers must approach health and safety in a systematic way, by identifying hazards and problems, planning improvements, taking executive action and monitoring results. There should be an annual audit and regular risk assessments.




Grievance procedure


What is it? You are legally obliged to provide your employees with details of your business’s grievance and disciplinary procedures. The grievance procedure is a tool by which a member of staff may formally have a grievance (i.e. “complaint”) regarding any condition of their employment heard by the Company management. Your grievance procedure should set out the process to be followed, to whom a grievance should be reported and the right to appeal a finding. The employee has the right to representation by a Trade Union representative or a work colleague. Why is it important? Your disciplinary policy should include examples of the types of conduct or behaviour that will lead to disciplinary action as well as information about the process your business will follow in investigating and handling a disciplinary matter. You also need to set out the names of the people in your business who will deal with disciplinary matters and any appeals arising from the disciplinary process. It is also good practice to have a Whistleblowing policy, a Bullying and harassment policy and a smoking, drugs and alcohol policy alongside your standard grievance and disciplinary procedures.




Redundancy policy


What is it? A redundancy policy provides employers with detailed procedures to follow within a business when making staff redundant so avoiding possible unfair dismissal claims. The policy also provides employees with information regarding the procedures the employer must follow thereby helping to avoid uncertainty for staff. It sets out each step of the redundancy process and outlines the statutory settlements for redundant staff. Employees who are made redundant and have at least 2 or more years continuous service are entitled to statutory redundancy pay. Why is it important? Having a redundancy policy in place will provide an employer with a clear framework to carry out redundancies and provides employees with clear notice of how any redundancy would be undertaken.




Sickness policy


What is it? If you have employees, you are required to set out details of their sick pay and leave entitlements in their employment contracts. A sickness policy sets out your procedures for dealing with and managing employee sickness absences and return to work eg how you want your staff to notify you when they are sick, whether your company offers any enhanced sick pay (ie contractual sick pay) over the minimum statutory sick pay (SSP), what absence levels will trigger the beginning of the disciplinary procedure, your policy regarding time off for medical appointments. Why is it important? Having a sickness policy in place is not a legal requirement however it can be reassuring and can help to remove some of the stress and uncertainty associated with sickness absence. It can also help to ensure that sickness absences are handled fairly and consistently across your work force. Risks When writing your policy you must remember that if an employee is ill and or off work due to a disability you must make any reasonable adjustments to help that employee remain at work or return to work before imposing any sanction under your sickness absence policy. This could include agreeing to provide them with a special type of chair (if the employee has back pain), changing their working hours so they can attend work more easily or providing a phased return to work ie the employee works for 3 or 4 hours for the first few weeks and then increases their working hours gradually. If you do not have a sickness policy and you treat staff inconsistently you may end up being sued by an employee for discrimination.




Maternity policy


What is it? This is required by law. A maternity leave policy sets out the policies and procedures that your business has to manage pregnancy absence and return to work. Why is it important? You must ensure that written information about the rights and policies applicable to new and expectant parents is available to all staff members so that they are aware of their rights and obligations. Your maternity policy should also include information about time off work for antenatal or pre-adoption appointments, the rules about leave and pay during the child’s first 12 months and return to work rights of the expectant partner. Your policy should also include information about whether your business will offer the minimum statutory rights or an enhanced entitlement.




Parental leave policy


What is it? This is required by law .A parental leave policy sets out the policies and procedures that your business has to manage parental leave for reasons associated with childcare eg when a parent has to take time off to look after children for one reason or the other and return to work. Your parental leave policy should set out the policies and procedures that your business has to manage parental leave after pregnancy absence and return to work. Why is it important? You must ensure that written information about the rights and policies applicable to new and expectant parents is available to all staff members so that they are aware of their rights and obligations. Your parental leave policy should also include information about time off work for antenatal or pre-adoption appointments, the rules about leave and pay during the child’s first 12 months and return to work rights of the expectant partner. Your policy should also include information about whether your business will offer the minimum statutory rights or an enhanced entitlement.




Paternity policy


What is it? This is required by law . A paternity leave policy sets out the policies and procedures that your business has to manage paternity leave either when a father wants to take time off to look after his child after childbirth or adoption etc. and return to work. You must ensure that written information about the rights and policies applicable to new and expectant parents is available to all staff members so that they are aware of their rights and obligations. What is it important? Your paternity leave policy should also include information about time off work for antenatal or pre-adoption appointments, the rules about leave and pay during the child’s first 12 months and return to work rights of the expectant partner. Your policy should also include information about whether your business will offer the minimum statutory rights or an enhanced entitlement.




Shared parental leave policy


What is it? This is required by law. A shared parental leave policy sets out the policies and procedures that your business has to manage shared parental leave and return to work. Why is it important? Your shared parental leave policy should also include information about time off work for antenatal or pre-adoption appointments, the rules about leave and pay during the child’s first 12 months and return to work rights of the expectant partner. Your policy should also include information about whether your business will offer the minimum statutory rights or an enhanced entitlement.




Environmental policy


What is it? Although not a legal requirement it is good business practice to have an Environmental policy. An Environmental policy confirms that your company is committed to continuous improvement in managing environmental issues including proper management and monitoring of waste, reduction of pollution and emissions, compliance with environmental legislation and environmental codes of practice, training for staff and the monitoring of environmental performance. Why is it important? This will in turn assist you in building and maintaining good relations with the community and the general public. Once written it should be signed by the most senior director in the company to show that it is company policy and should be reviewed on a regular basis alongside your Health and Safety policies. Whilst not required by law an Environmental policy may also come in useful if you are bidding for medium-sized and large tenders. We are experienced in preparing such policies for offices, shops, construction, automotive workshops, hotels, transport ,logistics, parcel delivery, restaurants, manufacturing cleaning companies.





 
 
 
 

Planning & Highways

Communications and equipment policy


What is it? This policy explains to employees the rules and procedures to follow when using the employer’s IT resources and electronic communication systems at work. It sets out the extent to which the business allows the use of its IT resources and the use of PCs, laptops, internet, emails, software and passwords. Why is it important? Having such a policy ensures that your employees are aware of and comply with your rules regarding the use of IT resources and communication systems while at work.




Data protection and data security policy


What is it?

A data protection policy is an internal document that serves as the core of a business’s GDPR compliance practices.

It explains the GDPR’s requirements to employees and states the business’s commitment to compliance. The policy does not need to include specific details on how the business will meet the Regulation’s requirements, as these will be covered in the business’s procedures.

Why do you need a GDPR data protection policy?

  • to provide the groundwork from which your business can achieve GDPR compliance.

  • to make the GDPR understandable to your staff.

  • to prove that your business is committed to GDPR compliance.

Why is it important?

We highly recommend our clients to have the following data protection related policies :

a)Encryption policies

b)Acceptable use policies

c) Password policies

c)Email policies

d)Data-processing policies

Risks

Your business’s policies are at the heart of your business operations. They set out exactly how employees should handle certain issues, ensuring that everybody is following agreed best practices.

Effective policies are all the more important now that the Data Protection Act 2018 and the GDPR (General Data Protection Regulations) are in place. The DPA and the GDPR are not just about implementing technological and organisational measures to protect the information your business stores.

You also need to demonstrate your compliance, which is why data security policies are essential.

Employee training is vital to ensure each of these policies is maintained.

For advice and more information on Data Protection, contact your expert Data Protection solicitors at Pure Business Law.




Social media policy


What is it? A social media policy sets out how a business and its employees should conduct themselves on the internet and what is and is not appropriate for employees to post about their company on social networks. Why is it important? It helps protect your company’s online reputation. The policy must reflect the business culture and be designed to minimise risks such as employees making derogatory remarks about your business or workplace online.




Equal opportunities policy


What is it? This policy sets out the business’s commitment to treating its employees fairly and giving everyone the same opportunities for employment, pay and promotion without discriminating against anyone on the grounds of age, sex, race, gender, ethnic origins, gender etc (the nine protected characteristics”).




Flexible working policy


What is it? A flexible working policy is a policy that sets out different working arrangements where employees are given greater freedom in the hours they work and how they fulfil the obligations of their roles. You are legally obliged to provide your employees with details of your business’s flexible working policy and procedures Flexible working includes working from home, part-time working job sharing, compressed hours, flexible start and finish times and phased retirement. Why is it important? The Advisory, Conciliation and Arbitration Service (ACAS) recommends that employers put in place a flexible working policy as best practice to ensure that you deal with flexible working requests consistently and to ensure that staff are all aware of how you deal with them. Flexible working has advantages and disadvantages. Is flexible working right for your business? Contact us to discuss!




Health and safety policy


What is it? A health and safety policy states the employer’s commitment to protect employees’ health and safety and to cooperate with other parties such as employees, supervisors, the health and safety representative to ensure a safe work environment.If you have five or more employees, you are legally required to have a written health and safety policy. Why is it important? If you do not have a written policy the Health and Safety Executive (HSE) can take action against you and prosecute you. Even if you do not have five employees it is best practice to have a written health and safety policy to make your health and safety arrangements clear. Consideration of the health, safety and welfare of staff is an integral part of the management process. The purpose of a Health and Safety policy is to establish general standards for health and safety at work and to distribute responsibility for their achievement to all managers, supervisors and other employees through the normal line management processes. Risks Managers must approach health and safety in a systematic way, by identifying hazards and problems, planning improvements, taking executive action and monitoring results. There should be an annual audit and regular risk assessments.




Grievance procedure


What is it? You are legally obliged to provide your employees with details of your business’s grievance and disciplinary procedures. The grievance procedure is a tool by which a member of staff may formally have a grievance (i.e. “complaint”) regarding any condition of their employment heard by the Company management. Your grievance procedure should set out the process to be followed, to whom a grievance should be reported and the right to appeal a finding. The employee has the right to representation by a Trade Union representative or a work colleague. Why is it important? Your disciplinary policy should include examples of the types of conduct or behaviour that will lead to disciplinary action as well as information about the process your business will follow in investigating and handling a disciplinary matter. You also need to set out the names of the people in your business who will deal with disciplinary matters and any appeals arising from the disciplinary process. It is also good practice to have a Whistleblowing policy, a Bullying and harassment policy and a smoking, drugs and alcohol policy alongside your standard grievance and disciplinary procedures.




Redundancy policy


What is it? A redundancy policy provides employers with detailed procedures to follow within a business when making staff redundant so avoiding possible unfair dismissal claims. The policy also provides employees with information regarding the procedures the employer must follow thereby helping to avoid uncertainty for staff. It sets out each step of the redundancy process and outlines the statutory settlements for redundant staff. Employees who are made redundant and have at least 2 or more years continuous service are entitled to statutory redundancy pay. Why is it important? Having a redundancy policy in place will provide an employer with a clear framework to carry out redundancies and provides employees with clear notice of how any redundancy would be undertaken.




Sickness policy


What is it? If you have employees, you are required to set out details of their sick pay and leave entitlements in their employment contracts. A sickness policy sets out your procedures for dealing with and managing employee sickness absences and return to work eg how you want your staff to notify you when they are sick, whether your company offers any enhanced sick pay (ie contractual sick pay) over the minimum statutory sick pay (SSP), what absence levels will trigger the beginning of the disciplinary procedure, your policy regarding time off for medical appointments. Why is it important? Having a sickness policy in place is not a legal requirement however it can be reassuring and can help to remove some of the stress and uncertainty associated with sickness absence. It can also help to ensure that sickness absences are handled fairly and consistently across your work force. Risks When writing your policy you must remember that if an employee is ill and or off work due to a disability you must make any reasonable adjustments to help that employee remain at work or return to work before imposing any sanction under your sickness absence policy. This could include agreeing to provide them with a special type of chair (if the employee has back pain), changing their working hours so they can attend work more easily or providing a phased return to work ie the employee works for 3 or 4 hours for the first few weeks and then increases their working hours gradually. If you do not have a sickness policy and you treat staff inconsistently you may end up being sued by an employee for discrimination.




Maternity policy


What is it? This is required by law. A maternity leave policy sets out the policies and procedures that your business has to manage pregnancy absence and return to work. Why is it important? You must ensure that written information about the rights and policies applicable to new and expectant parents is available to all staff members so that they are aware of their rights and obligations. Your maternity policy should also include information about time off work for antenatal or pre-adoption appointments, the rules about leave and pay during the child’s first 12 months and return to work rights of the expectant partner. Your policy should also include information about whether your business will offer the minimum statutory rights or an enhanced entitlement.




Parental leave policy


What is it? This is required by law .A parental leave policy sets out the policies and procedures that your business has to manage parental leave for reasons associated with childcare eg when a parent has to take time off to look after children for one reason or the other and return to work. Your parental leave policy should set out the policies and procedures that your business has to manage parental leave after pregnancy absence and return to work. Why is it important? You must ensure that written information about the rights and policies applicable to new and expectant parents is available to all staff members so that they are aware of their rights and obligations. Your parental leave policy should also include information about time off work for antenatal or pre-adoption appointments, the rules about leave and pay during the child’s first 12 months and return to work rights of the expectant partner. Your policy should also include information about whether your business will offer the minimum statutory rights or an enhanced entitlement.




Paternity policy


What is it? This is required by law . A paternity leave policy sets out the policies and procedures that your business has to manage paternity leave either when a father wants to take time off to look after his child after childbirth or adoption etc. and return to work. You must ensure that written information about the rights and policies applicable to new and expectant parents is available to all staff members so that they are aware of their rights and obligations. What is it important? Your paternity leave policy should also include information about time off work for antenatal or pre-adoption appointments, the rules about leave and pay during the child’s first 12 months and return to work rights of the expectant partner. Your policy should also include information about whether your business will offer the minimum statutory rights or an enhanced entitlement.




Shared parental leave policy


What is it? This is required by law. A shared parental leave policy sets out the policies and procedures that your business has to manage shared parental leave and return to work. Why is it important? Your shared parental leave policy should also include information about time off work for antenatal or pre-adoption appointments, the rules about leave and pay during the child’s first 12 months and return to work rights of the expectant partner. Your policy should also include information about whether your business will offer the minimum statutory rights or an enhanced entitlement.




Environmental policy


What is it? Although not a legal requirement it is good business practice to have an Environmental policy. An Environmental policy confirms that your company is committed to continuous improvement in managing environmental issues including proper management and monitoring of waste, reduction of pollution and emissions, compliance with environmental legislation and environmental codes of practice, training for staff and the monitoring of environmental performance. Why is it important? This will in turn assist you in building and maintaining good relations with the community and the general public. Once written it should be signed by the most senior director in the company to show that it is company policy and should be reviewed on a regular basis alongside your Health and Safety policies. Whilst not required by law an Environmental policy may also come in useful if you are bidding for medium-sized and large tenders. We are experienced in preparing such policies for offices, shops, construction, automotive workshops, hotels, transport ,logistics, parcel delivery, restaurants, manufacturing cleaning companies.





 

Managing employee performance

Invitation letter to a disciplinary appeal hearing for misconduct


What is it?

Make sure you do things right when you discipline an employee. Our employment solicitors can provide you with a disciplinary hearing letter/notice to be sent to the employee which sets out in clear and simple terms the disciplinary allegations, process to be followed, the employee's rights and potential sanctions.

Why is it important?

If you are formally disciplining an employee for misconduct, this letter ensures that you are complying with the unfair dismissal laws. It also meets the requirements of the statutory ACAS Code of Practice on Disciplinary and Grievance Procedures. It is always best practice to give the employee a right to appeal any misconduct decision. The letter should tell the employee they must appeal in writing with their grounds of appeal. If you accept an appeal by the employee, you should respond with a letter inviting the employee to an appeal hearing for misconduct.

Risks

Non-compliance with the ACAS Code of Practice on Disciplinary and Grievance Procedures will be taken into account by an employment tribunal when deciding whether an employee has been treated fairly and can also result in the tribunal increasing the amount of compensation awarded your employee if the case went to court.




Invitation letter to an appeal hearing for misconduct


What is it?

The right to appeal against the outcome of disciplinary action is an important element of a fair disciplinary process. Where an employee appeals against a disciplinary sanction, the employer should invite them to a disciplinary appeal hearing.

Why is it important?

The ACAS Code of Practice on Disciplinary and Grievance Procedures states that the employee should be given the right to appeal against any disciplinary sanction or decision.Our employment solicitors can provide you with an invitation letter to an appeal hearing that helps ensure that your processes are watertight. The invitation should include information about the employee's right to be accompanied at the appeal hearing.

Risks

Non-compliance with the ACAS Code of Practice on Disciplinary and Grievance Procedures will be taken into account by an employment tribunal when deciding whether an employee has been treated fairly and can also result in the tribunal increasing the amount of compensation awarded if the case went to court.




Disciplinary outcome letter for misconduct - warning or no action


What is it?

This is a letter that can be used to inform the employee of the outcome of the disciplinary meeting when the outcome is a warning or that no further action is to be taken by the employer.




Invitation letter to a performance appeal hearing


What is it?

This is a letter that should be used to invite an employee to a performance appeal hearing.




Invitation letter to a performance appraisal


What is it?

An appraisal is a formal process that allows you and a member of staff to assess the staff member’s performance over a period of time eg on a 6 month or 12 month basis. A detailed appraisal has a number of benefits for you and your employees.

Why is it important?

For example, it gives you the opportunity to:

1. review and provide feedback on their performance and set objectives to maximise performance.

2. It also gives the employee the opportunity to comment on their performance, suggest improvements and bring any problems to your attention.

3. It can therefore assist in motivating employees, resolution of problems and the prevention of legal disputes.

Our employment solicitors can provide you with an invitation to attend an appraisal meeting letter tailored to your specific requirements. This letter sets the date for the meeting, who will conduct the meeting and whether the member of staff needs to bring any particular documents or information to the meeting.

Contact our employment law solicitors on 01234 938089.




Poor performance outcome letter - warning or no action


What is it?

This is a letter that can be used to inform the employee of the outcome of the poor performance meeting when the outcome is a warning or no further action is to be taken.




Disciplinary procedure


What is it?

A disciplinary procedure is a formal way for an employer to deal with an employee’s unacceptable or improper behaviour (‘misconduct’) or performance (‘capability’).

Why is it important?

You should put your disciplinary procedure in writing and make it easily available to all staff. IIt should say what performance and behaviour might lead to disciplinary action and what action your employer might take.

It should also include the name of someone you can speak to if you do not agree with your employer’s disciplinary decision.

Disciplinary steps : Your disciplinary procedure should include the following steps:

  1. A letter setting out the issue.

  2. A meeting to discuss the issue.

  3. A disciplinary decision.

  4. A chance to appeal this decision.

Risks

Before starting a disciplinary procedure against a member of staff , you should first see whether the problem can be resolved in an informal way. This can often be the quickest and easiest solution.

If you need help in resolving an employment matter or dispute, please contact our employment solicitors on 01234 938089. We can provide you with advice on a fixed fee basis.




Suspension Letter


What is it? This is a letter that can be used to inform the employee that the employee will be suspended pending investigation of the disciplinary allegations.




Dismissal letter for misconduct


What is it? This Dismissal Letter should be used to inform the employee of the outcome of the disciplinary meeting when that outcome is dismissal on the grounds of misconduct falling short of Gross Misconduct. Why is it important? To comply with the ACAS Code of Practice on Disciplinary and Grievance Procedures the employee should be given the right to appeal against any disciplinary sanction or decision.




Dismissal letter for poor performance


What is it? This Dismissal Letter should be used to inform the employee of the outcome of the disciplinary meeting when that outcome is dismissal for poor performance. Why is it important? To comply with the ACAS Code of Practice on Disciplinary and Grievance Procedures the employee should be given the right to appeal against any disciplinary sanction or decision.




Gross misconduct dismissal letter


What is it? This Gross Misconduct Notice of Dismissal Letter should be used to inform the employee of the outcome of the disciplinary meeting when that outcome is dismissal on the ground of gross misconduct. An employee can be dismissed “on the spot” for gross misconduct eg fighting at work. Why is it important? However it is best practice to follow up a gross misconduct “on the spot dismissal” with a letter fully explaining the dismissal and the reasons for the dismissal. Risks To comply with the ACAS Code of Practice on Disciplinary and Grievance Procedures the employee should be given the right to appeal against any disciplinary sanction or decision.




Dismissal letter for employees without unfair dismissal rights


What is it? This Dismissal Letter should be used to inform the employee of their dismissal when they have under two years’ service with the employer. Why is it important? It is best practice to put an employee on a performance improvement plan(PIP) first before dismissing them irrespective of their length of service. This letter can be used where an employee is dismissed either with or without having been put on a performance improvement plan. In all cases, the employer should adopt a professional and respectful tone when communicating with the soon-to-be dismissed employee. Risks To comply with the ACAS Code of Practice on Disciplinary and Grievance Procedures the employee should be given the right to appeal against any disciplinary sanction or decision.




Appeal letter


What is it?

This is a letter from an employee against whom a disciplinary sanction has been imposed appealing against the dismissal.

If you need help in resolving an employment matter or dispute, please contact our employment solicitors on 01234 938089. We can provide you with advice on a fixed fee basis.





Reorganisation & Redundancies

Settlement agreement


What is it?

A Settlement Agreement is a binding contract between an employer and employee which settles claims that an employee may have against their employer. Whilst such an agreement is usually used in relation to be ending the employment it may also be used to settle a dispute that has arisen between an employer and employee where there is no intention by either party to end the employment.

Why is it important?

The terms of the settlement agreement must be mutually agreed between the employer and employee and must include a waiver of the specific claims which the employee has or could have. The agreement should contain a breakdown of the payments which have been agreed and should also state whether any of the payments are to be paid to the employee free of tax. Payments of up to £30k compensation can often be paid without deduction of tax if the payment is being made on an “ex gratia basis” (i.e. it is a payment you have voluntarily decided to make rather than one that you are legally obliged to make) or as compensation damages for a breach of contract.

Risks?

For a settlement agreement to be legally binding it must meet a number of statutory requirements eg it must be in writing, must specify the particular claims or complaints which the agreement is settling and the employee must have received advice on the terms and effect of the agreement from an independent solicitor or a trade union official whose advice is covered by insurance.

If the settlement agreement does not meet all of the statutory requirements, it will not be binding and the employee can still bring claims against the employer relating to the claims allegedly “settled” by the settlement agreement.It is a good idea to take proper legal advice before you decide to enter into a settlement agreement.

For more information on settlement agreements, contact our employment solicitors




Reference letter


What is it?

A Reference letter is a letter that is usually written to testify to a person’s or (sometimes) a company’s skills, experience, character and or achievements. It is used in various circumstances eg when a candidate applies for a job and needs a reference to support their application, if a job candidate is made a job offer and is asked to provide a reference letter before the contract can be signed, a landlord asks a prospective tenant to provide a reference letter testifying to their character and good financial statues, a student applies for funding and is asked to provide a reference letter or a company applies for a tender and is asked to provide reference letters testifying to their ability to do the job and their trustworthiness.

Why is it important?

A Reference letter is a formal document and should be written in a business-like style. Do not mention any weaknesses that the candidate has or say anything that could be construed as derogatory or libel. If you honestly feel that the applicant has no good qualities or if you have had a dispute with them in the past you should tell them to get a reference letter from someone else. An employer must give a reference if there was a written agreement to do so and they are in a regulated industry such as Financial services.

Risks

You are under no obligation to give a work reference but if you do it must be fair and accurate. Your employee may be able to sue you in court and claim damages if you give a reference, they think is misleading or unfair. To do so the employee must be able to show that (a ) the reference is misleading or inaccurate and (b) they suffered a loss eg a job offer was withdrawn.It is essential that you do not lie in it or you could be sued.

Need some advice? Contact our employment solicitors.





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Pure Business Law is the trading name for Pure Business Law Ltd-a private limited company registered in England & Wales with company registration number 10405413. Registered office and Principal place of business : Excel House, 3 Duke Street, Bedford. MK40 3HR. VAT number 265 5386 75.

 

 

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