This year is a busy one for employment law developments, looking ahead, here are some things to have on your radar:
Fit note reform
As a prelude to a full consultation on specific policy proposals later in the year, the government has issued a call for evidence to explore reforming the fit note process.
As part of this, employers are invited to comment on the efficacy of the current fit note system in meeting their needs, what could be improved and what, if any, additional information provided by a ‘may be fit for work’ fit note could support employees return to work from sickness absence. Employers are also being asked what they need in order to feel confident in having in-depth work and health conversations with employees.
The call for evidence closed on 8th July 2024. We will keep you updated on the HR aspects of fit note reform, in the meantime if you would like to participate in the call for evidence you can find out more here.
TUPE – changes to information and consultation requirements
If the Transfer of Undertakings (Protection of Employment) Regulations (TUPE) applies to a service provision change or the buying or selling of a business or part of one, information and often consultation with ‘appropriate representatives’ is usually required.
For transfers taking place on or after 1st July 2024, changes will mean that businesses with fewer than 50 employees, and businesses of any size carrying out a TUPE transfer of fewer than 10 employees, will not need to inform and consult with employee representatives. They can instead inform and where necessary, consult directly with affected employees, providing there are no existing employee representatives in place and affected employees haven’t been invited to elect representatives.
TUPE can be tricky for businesses to navigate and it’s important to get it right whether you are the ‘incoming’ or ‘outgoing’ employer. If you have a business situation that TUPE may apply to, get in touch in good time for advice on the employment law changes.
New Code of Practice on Dismissal and Re-engagement
The government has confirmed that a new Code of Practice on Dismissal and Re-engagement will be brought into force by July 2024, subject to Parliamentary approval.
The Code sets out how employers should act when seeking to change employment terms and conditions if they envisage possibly having to dismiss and re-engage. The Code seeks to ensure dismissal and re-engagement are only used as a last resort.
Very briefly, the Code requires employers to consult in good faith with employees/employee representatives/trade unions (as appropriate) and explore alternative options, without raising the prospect of dismissal unreasonably early or using the threat of dismissal as a negotiating tactic to put undue pressure on employees in circumstances where the business is not envisaging dismissal. The Code also states that employers should contact Acas before raising the prospect of dismissal and re-engagement.
The Code will apply irrespective of the number of employees who might be affected by the employer’s proposals and the requirements of the Code are in addition to other legal obligations regarding information and consultation requirements (for example where it is necessary to comply with collective redundancy obligations on a change to terms and conditions of employment).
When in force, employment tribunals will be required to take the Code into account when considering relevant cases and will have the power to increase an employee’s compensation by up to 25% if an employer has unreasonably failed to comply with the Code.
We will keep you up to date with developments in this area, in the meantime if you wish to change the terms and conditions of any of your employees please get in touch for specific advice on your situation.
Have an HR issue you would like assistance with? Please don’t hesitate to get in touch.