New requirement to prevent sexual harassment

From 26th October 2024, businesses will have to fulfil a new requirement to prevent sexual harassment in the workplace. This is due to the introduction of the Worker Protection (Amendment of Equality Act 2010) Act 2023. The EHRC guidance suggests this preventative duty extends to harassment of this kind by a third-party. This includes customers, clients, suppliers, visitors, members of the public – anyone who interacts with your staff at work. Essentially, employers potentially have vicarious liability for the acts of colleagues and third-parties in the workplace. That said the situation with regard to third parties is still relatively unclear from a legal perspective. The new Labour government have indicated that they intend to strengthen this new protection, so employers would do well to be on the front foot now, as there may be more to come.

What are employers expected to do?

Employers are expected to take ‘reasonable steps’ to prevent sexual harassment at work, although there is no definition of what those reasonable steps might be. The expectation is that they include actions that are practical, proportionate and tailored to the specific workplace. If employers can demonstrate that they took these reasonable steps, they might be able to successfully defend a claim of sexual harassment at work at a tribunal. Failure to do so could not only result in an uncapped compensation payment to the claimant, but also up to 25% uplift on compensation if an employer has breached the specific duty to prevent sexual harassment.

10 Reasonable steps to consider
  1. Ensure your anti-harassment policies are up to date and reflect the new requirements. Make it clear what the Company’s expectations about behaviour in the workplace are. Consider creating a specific anti-sexual harassment policy and ensure this is regularly communicated to all staff, and third-parties.
  2. Ensure that the ‘workplace’ is correctly defined in line with the Equality Act.  This extends to workplace social and off-site events, and interactions (both in person, in writing and on social media) that are connected to work.
  3. Conduct a risk assessment of your workplace to identify where there is a risk of harassment. Ensure you include third-party risk, review the number of complaints received and the outcomes of those investigations.
  4. Conduct regular anonymous staff surveys to get feedback on workplace culture including this specific area.  Or create an anonymous reporting system through the use of QR codes, publicised in discrete areas.
  5. Ensure the process for raising a complaint is straightforward, that it’s clearly explained and easy to access.
  6. Put up notices in staff areas, and anywhere your staff come in to contact with third parties.
  7. Invest in up-to-date regular mandatory anti-harassment training. Use this to educate employees about acceptable behaviour, and what to do if they witness sexual harassment.
  8. Invest in up-to-date regular mandatory manager training. Use this to educate your people managers about how to address issues and spot the early signs of harassment.
  9. Ensure those who are responsible for investigating any complaints are trained and capable of doing so.
  10. Ensure the senior team are aligned in taking a zero-tolerance approach to harassment. Make sure they are committed to creating and maintaining a culture that values diversity, inclusion and respect.
Consequences

If your employees do experience sexual harassment in the workplace, there are a number of different negative consequences.

As well as putting the business at risk of an employment tribunal claim (which is both costly and time-consuming), the consequences of sexual harassment in the ‘post #metoo era’ extend wider than this:

  • Your reputation as a business may come under scrutiny. This may lead to potential lost business opportunities if investors, stakeholders, or potential customers or clients decide they don’t want to be associated with a business that has a problem with sexual harassment. Publicly listed companies have lost share value when issues of sexual harassment have been present.
  • Your reputation as an employer will be detrimentally affected – not many people would seek to be employed by a company that has issues with sexual harassment in the workplace, and those already working for you will undoubtedly look for other opportunities. You are likely to find it hard to find and hang on to talent.
  • The mental health of your employees is likely to be detrimentally affected, affecting productivity, absence and performance.
  • The EHRC also have the ability to investigate and enforce the new requirements if an employer fails to comply with the requirement to prevent sexual harassment in the workplace. This process would also be extremely involved and time-consuming and further damage your reputation.

This change takes effect on 26th October 2024, which means you need to have the ‘reasonable steps’ in place by this date in order to avoid a breach of the new duty to prevent sexual harassment in the workplace.

If you are concerned about what these changes mean for your business, Helpful HR can help, so get in touch.

What is a Written Statement of Employment Particulars?

In April 2020, it became a requirement for all employees to receive a ‘Written Statement of Employment Particulars’. This is a document which needs to be provided on or before their start date with their employer.  In addition, employees who joined their employer before 6th April 2020 can ask for a Written Statement at any time. On receipt of a request, employers must provide it to the employee within one month of their request.

The legal requirement

With this change it became a requirement that the Written Statement included certain terms and conditions. It is no longer sufficient to rely on a basic offer letter confirming job title, salary and start date.  The terms and conditions that must be included in a written statement are as follows:

  • the employer’s name
  • the employee or worker’s name
  • the start date
  • the date that ‘continuous employment’ started
  • job title, or a brief description of the job
  • the employer’s address
  • the normal places or addresses of work
  • pay, including how often and when
  • working hours and days, or if it’s variable
  • holiday entitlement, including an explanation of how its calculated if the employee or worker leaves the employer
  • the amount of sick leave and pay applicable
  • any other paid leave
  • any contractual benefits
  • any non-contractual benefits
  • the notice period either side must give when employment ends
  • how long a temporary job will last
  • any probation period, including its conditions and how long it is
  • if the employee will work abroad, and any terms that apply
  • what training that must be completed by the employee or worker, including training the employer does not pay for

As an employer, you need to have all these terms detailed in Written Statements you issue to new joiners. You need to quickly define your current practices and policies.  That way you will be ready for requests for a written statement from existing employees who started prior to 6th April 2020, as well as new hires.

In addition, the law allows for other terms to be provided at a later date, within 2 months of the employee starting. These other terms relate to pension arrangements, collective agreements, non-compulsory training (if provided), and disciplinary rules.

Benefits of providing a Written Statement

As well as the legal requirement to provide details of these specific terms of employment, there are benefits for both parties in having these points clearly written down.  Both parties will know and understand what to expect from the other, and what their obligations are.  This avoids ambiguity and inconsistency, which helps to prevent unnecessary problems or employment issues.  Doing this may also prevent potential allegations of discrimination if employees are treated differently (whether inadvertently or not).  Employees will feel secure in their relationship with their employer, which is more likely to develop trust and loyalty.

If you fail to provide the relevant documentation to your employees within the timelines specified by law, the potential penalty would be between two and four weeks’ pay.

Benefits of a Contract of Employment

The requirement under law is for a Written Statement of Employment Particulars, as detailed above, however many employers opt for a full contract of employment for their employees.  This is because in a full employment contract you can include terms which protect the business interests, for example clauses around confidentiality, post-termination restrictions, intellectual property and conflict of interests.  Having everything included in one comprehensive document also reduces administration time for the business, and provides clarity for the employee.

It’s important that employers are on the front foot when it comes to providing employees with details of their terms and conditions of employment as there are clear timelines to meet and clear advantages to providing this information.

If you would like to ensure that you’re protecting your business interests, and are meeting your legal requirements to provide employees with details of their terms of their employment, get in touch.

Bullying at work

The topic of bullying at work was in the mainstream media in April 2023 after the resignation of the then deputy prime minister, Dominic Raab after an investigation in to claims of bullying made against him; especially after his underwhelming acceptance of the allegations against him, famously stating that “in setting the threshold for bullying so low, this inquiry has set a dangerous precedent” in his resignation letter.

Dominic Saab’s resignation came less than two years after Priti Patel (then Home Secretary) was accused of bullying and was found to have been in breach of the ministerial code.

What is Bullying?

When it comes to dealing with bullying at work, as a business you need to identify or define what ‘bullying’ is, so you can ensure your employees have a clear understanding of what it actually means.

In guidance from ACAS they say that there is no legal definition of ‘bullying’ but it is described as unwanted behaviour from a person or group that is either:

  • Offensive, intimidating, malicious or insulting
  • An abuse or misuse of power that undermines, humiliates, or causes physical or emotional harm to someone.

This behaviour could be a pattern or a one off, face to face, on social media, emails, phonecalls, outside of work or in work, and it can go unnoticed by others. It could be among peers, or in a senior/junior relationship (and despite what you might think, a senior person can be bullied by a junior person).

The union Unison also has some clear guidelines and defines bullying as persistant offensive, intimidating, humiliating behaviour, which attempts to undermine an individual or a group of employees.

Likewise Indeed.com has some advice about bullying, describing a workplace bully as someone who repeatedly harms or mistreats employees by causing them pain or engaging in other forms of physical or verbal harassment.

Legal firms often describe bullying as offensive, intimidating, malicious, insulting or humiliating behaviour, or an abuse of power or authority which attempts to undermine an individual or group of employees, and which may cause them to suffer work-related stress.

There is no shortage of information about what bullying may involve, leaving organisations with no room to claim ignorance on the subject.

Examples of bullying

Bullying takes different forms, so to illustrate the breadth of possibilities, it’s helpful to outline some examples to bring the topic to life.  Examples could include:

  • Setting someone up to fail / setting impossible targets
  • Spreading malicious rumours about someone
  • Making humiliating comments about someone online
  • Undermining someone’s authority
  • Undermining someone’s competence with constant criticism
  • Ridiculing someone openly, by blaming or criticising them in front of others
  • Making threats about the security of someone’s employment if they exercise a right, or make a reasonable request

At work, it’s unlikely the bullying will take a physical form, and it will be more verbal and emotionally challenging behaviour.

Reality

If someone expresses upset about another person’s behaviour towards them does that automatically make them a bully?  Unfortunately, there are shades of grey when it comes to this issue.  The investigation into a complaint will be key in identifying if it was a reasonable response to someone’s behaviour.

If a someone says, “Your shoes are an interesting colour!” and the recipient of the comment states they are offended or feel belittled, does that mean they’re being bullied?  The question is whether it was reasonable to expect someone to be offended or feel belittled by a comment.

However, if someone says, “Come on, old man, do you need a sit-down?!” even as a joke, the question of whether it was reasonable to be offended by that comment may be easier to answer.  But it’s rarely that easy, so the investigation into the behaviour and the context needs to be done with an open mind, and with the definition of bullying and the relevant complaints procedure front and centre.

Direct financial risks to your business

The most obvious risk employers will be concerned about is the risk of a legal claim.  So what does that actually mean, and what is the risk?

Under the Equality Act 2010, if the bullying is due to a ‘protected characteristic’ then it is classed as harassment.  Protected characteristics are:

  • Age
  • Disability
  • Gender reassignment
  • Race
  • Religion or belief
  • Sex
  • Sexual orientation
  • Pregnancy (also covered under direct discrimination legislation)

Any harassment claim at an employment tribunal under the Equality Act 2010 has an uncapped potential award. This means it’s difficult to quantify the potential financial risk, but the cost of defending a claim will be substantial (by current estimates, upwards of £15k), without including the compensation the Tribunal panel may award, if the claim is successful.

The other risk of a bullying claim is for constructive dismissal (Unfair Dismissal). This would arise if the employee feels the bullying is so bad they have no option but to leave.  Awards for Unfair Dismissal are capped at around a year’s salary, or c.£90k, so still represents significant financial risk.

Indirect financial risks to your business

The impact of having a workplace which tolerates (or fails to address) bullying could be serious.  Your workforce will operate in a state of fear,  afraid to make mistakes or put forward new ideas.  This does not engender creativity or engagement at work, both of which will affect your productivity.

Your attrition rates will increase as employees leave what they feel is a ‘toxic’ culture. As a result your recruitment costs will go up, and you will lose talent.

In addition, do not underestimate the power of reputational damage.  Social media platforms provide an opportunity for unhappy employees to share their experiences. With the advent of websites like Glassdoor, employers who fail to deal with bullying will quickly be exposed, making it even harder to attract and retain talent. It may also affect the success of the business. Potential customers may choose a competitor due to the reputation you have as an employer, directly hitting your bottom line.

Practicalities of dealing with it

The first thing to do is make sure you have an anti-bullying and harassment policy place. You should ensure it’s shared with all your workers, and that it is followed. This is a communication and training piece, AND a leadership one.  Leaders must lead by example, otherwise the policy ‘isn’t worth the paper it’s written on’ (to coin a phrase).

Best practice is for employers to create an inclusive culture.  Peter Cheese, CEO of the CIPD states workplaces should have a “safe culture where people can speak up, where differences are respected and celebrated.” Research by the CIPD shows that employees are looking for an inclusive and supportive culture.

As well as having a policy and communicating it to everyone, leaders and managers need to ‘walk the walk’. Managers need training to recognise bullying, encourage people to flag concerns to them, and ensure they investigate and address it.  There should be a consistent approach, therefore following policy and procedure is key.  The investigation must have integrity and confidentiality so any subsequent decisions are fair and reasonable, and are seen as such.

 

Dealing with bullying is never easy, undoubtedly, but it needs to be done reduce risk to your business. If you have concerns about culture in your business and you don’t know where to start, get in touch here.

Employment law changes in April 2020

As an employer it’s important to know of any forthcoming employment law changes. Being aware of the changes ensures you can prepare for them and protect your business from any legal claims. Here’s a rundown of the changes taking effect from April 2020.

Introducing parental bereavement leave

An Act passed in 2018 has resulted in the introduction of parental bereavement leave to provide support for bereaved parents. The leave will be available to parents who lose a child under 18, or suffer a still-birth in the later stages of pregnancy.

What is it?

Employees will be entitled to 2 weeks leave, and employees with 26-weeks continuous service will also be entitled to pay at the statutory rate. This leave is separate from the statutory right to unpaid time-off in an emergency, and compassionate leave which is discretionary.

Action to take

Employers should take the following steps, prior to April 2020:

  • review your current leave policies and decide if you will follow or exceed the minimum requirements of this legislation;
  • review and update policies and handbook to include this entitlement, as well as any other policies which may benefit from this information (for example, any family friendly policies);
  • consider if you need to review and update other content in your handbook, and
  • review and update your contracts of employment, so they are fit for purpose.

More information

Changes to written statements of particulars of employment

The current law states that written statements must be issued by employers to their employees within 2 months of their start date.  The new law will require employers to give all workers (not just employees) a written statement on or before their start date. In addition the written statements must include:

  • the hours and days of the week the worker /employee is required to work, if they are varied and how;
  • any details of a probationary period;
  • their entitlements to paid leave;
  • any details of training provided by the employer and
  • other benefits not covered elsewhere in the written statement.
Action to take

Employers should take the following steps, prior to April 2020:

  • be aware of exactly what needs to be included in the written statement;
  • know about any other information which needs to be provided to employees in writing;
  • ensure you have a template statement / contract of employment which is ready to use, should you need to make a new hire and
  • review your current written statement / contract of employment to ensure it complies with the new requirements.

More information

Increase in the holiday pay reference period from 12 weeks to 52 weeks

The reference period for calculating holiday pay for workers with irregular hours will change. Employers will need to look back over the past 52 weeks for the purposes of calculating holiday pay.

IR35 changes for the private and public sector

The public sector IR35 reforms will be extended to cover medium and large private-sector employers. This means that responsibility for determining if IR35 applies to independent contractors will shift to the organisation, not the individual. Employers should review whether they fall in to the category ‘medium’ or ‘large’ employer and then review their contractors and pay arrangements to determine how the new rules will affect them.

More information

If you’re concerned about what these employment law changes mean for your business and need help in preparing for them, please get in touch with Helpful HR.

 

 

Managing Sickness Absence

Current statistics tell us that on average each year businesses lose a working week per employee to sickness absence. If your company has 10 employees, you could be losing 10 working weeks each year. A lot of business owners don’t measure the real cost of absence, but it’s definitely something they worry about.

Whilst we know everyone gets sick from time to time, effective absence management and a clear policy ensures you stay on the front foot. It will prevent a sickness absence issue from becoming a problem, financially or in terms of productivity and quality.

Top-tips for your sickness absence policy:
  • Make sure employees know when and who to call when they are unable to attend work due to sickness. Insist on a telephone call where possible.
  • Include the requirement to provide a ‘Fit Note’ covering continuous periods of absence longer than a week
  • Have a policy of carrying out return to work interviews with employees consistently for any sickness absence
  • Introduce a Sickness Absence Review process with clear trigger points, to flag high levels of absence and discuss constructively with employees
  • Ensure the Sickness Absence Review process covers short and long-term absence
  • Manage expectations around sick pay by stating the policy clearly. Ie if you have company sick pay or Statutory Sick Pay, and when they apply
  • State that the company can require employees to attend a medical examination with a doctor should it deem necessary
  • Include information and links about any support available through company benefits, or public bodies/charities
  • Ensure the policy covers support the company provides on mental health issues

By following these top tips for putting together your policy, you can address any sickness absence issues arising before they reach unacceptable levels.

If you’re worried about sickness absence in your business and would like help to introduce a policy so you can manage sickness absence, get in touch.

 

Love is in the Air

Valentine’s Day is less than a month away, so our thoughts are turning to ‘romance at work’ and the questions that subject raises. During a working week we spend up to half of our waking time with our work colleagues, so it’s not surprising that close friendships and romantic relationships form.

We all know people in long-term relationships with partners they met at work. Whilst personal relationships can cause issues, it’s probably unrealistic to ban personal relationships at work. If you introduce a ban, it would inevitably force budding romances and friendships to become covert. This would lead to an environment of mistrust, deception and fear. However it would be unwise to stay silent on how you deal with relationships as an employer. So, what is the best way to approach them?

Developing a policy

Here are 6 top tips for a developing a policy:

  • Be Realistic. Focus on transparency and create a working environment where your employees can be open with you.
  • Be Specific. Define the point employees need to declare a relationship beyond that of a good working relationship – be it a close friendship or a romantic relationship.
  • Be Cautious. Include clients, suppliers and customers in the policy.
  • Be Fair. Ensure you are clear about the possible outcomes of declaring a relationship. For example in a management relationship, allow for a change to reporting lines.
  • Be Professional. Clearly communicate expectations about professional conduct, i.e. public displays of affection and favouritism.
  • Be Prepared. Accept that sometimes relationships don’t work out, and this too will need to be managed appropriately.

Following these top tips will ensure your policy is realistic and practical, and will ensure your business isn’t compromised by relationships at work.

So, while things can go wrong and issues may arise, having a clear policy will make it easier to take a fair and consistent approach, with the least disruption to your business.

If you would like help developing a policy about managing personal relationships at work, please get in touch.