IN THE NEWS THIS WEEK:
* When is an employer liable for the acts of their employees?
* Government announces consultation on changes to the working time regulations
* Guidance for managers tackling stressed employees
* National minimum wage increase
* New arbitration scheme
* Steele & Co redundancy training workshop
WHEN IS AN EMPLOYER LIABLE FOR THE ACTS OF THEIR EMPLOYEES?
The case of Lister v Helsey Hall Ltd redefines the test for employer's
vicarious liability for wrongful acts of its employees. The House of Lords
stated, "in determining whether an employee's wrongful act has been
committed in the course of his employment so as to make the employers
vicariously liable, the correct approach is to concentrate on the relative
closeness of the connection between the nature of the employment and the
employee's wrongdoing". In this case a boarding school was held liable for
claims of personal injury for acts of sexual abuse committed by the warden
of the school on the maladjusted and vulnerable boys in his care.
The court stated that it was incorrect to question whether the acts could be
viewed as authorised or a wrongful and unauthorised mode of doing some act
authorised by the employer. The test is now in line with employer's
vicarious liability for acts of discrimination carried out in an employment
context.
GOVERNMENT ANNOUNCES CONSULTATION ON CHANGES TO THE WORKING TIME REGULATIONS
On 26 June 2001 the Employment Relations Minister, Alan Johnson, announced
that consultation will take place on amendments to the Working Time
Regulations 1998 (WTR) which will remove the qualifying period necessary
to receive entitlement to paid annual leave.
The announcement follows the ruling of the ECJ in the case brought by the
Broadcasting, Entertainment, Cinematographic and Theatre Union (BECTU)
against the United Kingdom. BECTU claimed that the 13-week paid annual
leave qualifying period set by the WTR is not consistent with the
provisions of the Working Time Directive (WTD) which the WTR implement.
The court stated the right to paid annual leave constitutes a social right
directly conferred by the WTD on every worker in order to ensure
protection of his health and safety. The right applies to all sectors of
activity and no distinction is to be drawn between workers employed under
a contract of indefinite duration and those employed under a fixed-term
contract.
In light of the decision, any contracts of employment which state the
worker or employee cannot take holiday before say a 3-month probationary
period are unlawful and will require amendment. Employers may consider
clauses which require an employee to repay any holiday taken in excess of
their entitlement to be crucial in light of this decision. If you require
assistance in amending your contracts of employment or a health check of
your contracts please contact the London Employment Team.
GUIDANCE FOR MANAGERS TACKLING STRESSED EMPLOYEES
The Health and Safety Executive (HSE) estimate that stress is responsible
for the loss of 6.5. million working days each year, costing employers
around £370 million and society as a whole as much as £3.75 billion. An
estimated half a million people in Britain are suffering from work-related
stress, anxiety or depression at levels that make them ill.
The HSE have published comprehensive guidance on preventing work
related-stress. Tackling work-related stress: a managers' guide to
improving and maintaining employee health and well-being is for managers
in organisations employing over 50 people. The publication provides a
step-by-step approach to tackling the causes of stress in the workplace.
It helps them to identify who is at risk and what steps they can take to
prevent problems occurring, as well as outlining employers' statutory
obligations and making the case for taking effective action now.
We are offering a special discounted long term sickness absence policy for
two weeks only, at the fee of £250 plus VAT. Please contact us using the
buttons above if you are interested.
Contact http://www.hsebooks.co.uk for
ordering copies of the publication which is priced at £7.95.
NATIONAL MINIMUM WAGE INCREASE
The government announced on 21 June 2001 details of the minimum wage youth
rate increase. The rate will rise from £3.20 to £3.50 an hour from October,
2001 and again rise to £3.60 in October 2002.
NEW ACAS ARBITRATION SCHEME FOR UNFAIR DISMISSAL
now have an alternative to Employment Tribunal proceedings for claims
of unfair dismissal only. The scheme came into force on 21 May 2001 and is
open to parties with new and existing claims of unfair dismissal. The
scheme is described as confidential, relatively fast, cost-efficient,
non-legalistic and informal. Entry to the scheme is voluntary and there
must be an agreement by both parties to the dispute to go to binding
.
Further details and guidance of the scheme are set out on the website
at http://www.steeleslaw.co.uk
See this and other articles from Steele & Co on the web at:
hrmguide.co.uk
This bulletin is intended for general guidance only and should not be
relied upon without detailed legal advice on your specific circumstances.