Nick Ralph - New Limits on Unfair Dismissal Compensation - Case Study Example

Employment Relations Name Instructor’s Name Course Date NICK RALPH: LEGAL OPINION: NEW LIMITS ON UNFAIR DISMISSAL COMPENSATION. PERSONNEL TODAY. 17 TH JULY 2013 Introduction On 29th July 2013 a new limit on the unfair dismissal compensation award was to be introduced and it was to take effect immediately. Its main aim was to lower the pay limit that the government has been fighting to control. It was quoted by the government that ’it will be the lower of $74200(the current limit) or 52 times ex employees’ week’s pay’. The government’s main reason in this plan was to reduce the compensation plan to one year pay. The government’s use of ‘weeks’ pay touched Ralph as he sought to establish the implications of the quoted cap. Discussion The author first task in elaborating what a week’ pay involved was by establishing how it was calculated. He states that, a week’s pay is calculated rigidly under the given provisions in the employment rights Act 1996 (Nick, 2013). He believes that, this is either the remuneration payable under a contract for normal working hours in a week or where the remunerations vary with the amount of work done. To him, the average remuneration that is payable under a contract of employment should be estimated in a different way including the twelve weeks prior to dismissal. This kind of compensation plan by the government to employees unfairly sacked can highly cause a lot of anomalies as employees differ in ranks. The first anomaly that can be caused is that, different employees receive different remunerations and under the remunerations, benefits like car loans and mortgages are not included in the remuneration packages. Employees with such benefits may be limited to less than one year’s package if they are unfairly sacked. The second anomaly that such compensation plan may bring is that under bonuses of discretionary, they may not be included or considered to be payable under the contract of employment. The third anomaly is that the word ‘week’s pay’ does allow annual contractual bonuses to be attached in a manner that is just within the 12 week period that the employee is dismissed. This may prove to be challenging as all payments to be made need to capable of being computed at the relevant date. Meaning that, the employee may just have to wait for the next financial year to get his compensation fee. Conclusion This government regulation may prove to be expensive and ill-advised as its implementation may be faced with various challenges. Legally organizations can protest this regulation as it affects their financial budgets heavily. The sacked employee also stands a chance to pardon the government legally as this regulation may ensure that his compensation fee is held for a long time awaiting review of the organization’s budget. He may also be affected as most of his benefits, which were set for a whole year being limited. KEVAN HALL. DEALING WITH CONFLICT IN THE MATRIX. PERSONNEL TODAY. 20 TH SEPTEMBER 2013 Introduction As matrix management plan replaces some of the old and traditional methods of management, it has created more people-management issue. The author of this article establishes the ways in which one can easily manage the issues arising from a matrix form of management. Discussion Most of the organizations in the modern world today have been moving slowly from the traditional structures to modernized type of structures, which support an exclusive type of management (Kevan, 2013). This has been of essence as a matrix type of management involves consistent channels of serving customers to ensure a quality service to all. With the different supply chains developed across the rich network of the organization, work has to be divided across the boards to ensure that is effectively done. To effectively manage the whole structure, there must be more than one boss involved as setting up of virtual teams is inevitable. This kind of networking and cross handling of information increases the opportunities of for conflicts to occur amongst the employees. The first way that conflicts are initiated in the workplace is that such a management structure ensures that employees have more than boss hence, multiple streams of goals that each manager needs to achieve. The varied goals and missions lead to a timely and effective competition among themselves which later leads to conflicts. The second way is through the resources provided by the organization to share amongst the employees. The higher the number of managers, the broader the competition for resources becomes. This further leads to arguments and lack of accountability leading to conflicts within the organization. The third conflict factor is through diverse groups that employees have to work in to implement the organization’s policies. Such groups are a mixture of different people from different cultural backgrounds hence; misunderstandings can easily develop as both members in the group share different values. With all this conflict factors in place, the author suggests a various number of ways that conflict can be managed in the organization. The first way is by identifying the conflict. Through conflict identification, it is easier to generate ideas to counter the reason for the conflict. This policy also ensures that both parties understand the root cause of the conflict. The second way of solving conflicts is through resolving the conflict. At the end of the day, conflicts need to be resolved to ensure normalcy prevails. Conflict being a factor between two parties, it needs to be dealt with to ensure that both parties do not repeat the same. Conflict resolution enables both parties to find a common ground that they can share and reason out together. Conclusion Conflict is a major challenge in the modern workplace as most employees compete for resources and other roles available in the organization. Proper management of the conflict may prove beneficial in the long run as it will enable both parties to work together for the success of the organization. ROB MOSS. CAN ANTI SEMITISM COUNT AS A ‘PHILOSOPHICAL BELIEF’ UNDER THE EQUALITY ACT 2010? PERSONNEL TODAY: 04 TH JULY 2013 Introduction An employment tribunal judged that a teacher’s anti-Semitic views were not protected as ‘philosophical belief’ under the equality act. This was a case that a teacher was judged after he was allegedly reported to have pushed and shouted at a child in his class. Discussion Mr. Arya is a jobless man after the employment tribunal found him guilty of pushing and shouting at a child, making sexists and racist comments about the same child and later texting the assault to a friend. He included anti- Semitic views to a colleague in a text and email regarding the national union of teachers (Rob, 2013). Mr. Arya according to the author in his defense brought a number of claims against his former employee The London Borough of Waltham Forest including one that he allegedly assaulted and discriminated him on grounds of his philosophical belief. This philosophical belief stated that ‘the Jewish religion’s professed belief in Jews being God’s chosen people’ was at odds with a meritocratic and multicultural society. In the hearing preview the author states that the employment appeal tribunal to judge whether the views of Mr. Arya concluded that, his belief was genuinely held as it was just a belief not an opinion that he openly made. This belief was enclosed with a level of seriousness as it was based on his cultural setting. The author believes that, the judgment panel struggled with the requirement that beliefs must be worthy of respect in a democratic society and not incompatible with human dignity or conflict with the fundamental of rights to others. The presiding Judge concluded that, Mr. Arya’s belief was not a philosophical belief under the Equality act. He dismissed his case regarding other complaints against the employer and is yet to be listened to. Conclusions People hold different opinions regarding different situations in the working place but that doesn’t give one the authority to say whatever he feels is right. Opinions in the work place may destroy or build relations depending on the sentiments made to the other colleague. Both positive and negative sentiments can prove to be beneficial or costly in the wrong run if requisite steps are made to ensure one accounts for what he says. Good working relations ensure that bothemployees respect each other despite the differences in race, culture and lifestyle. Ethics also plays an integral role in such situations as it ensures that employees conduct their business ethically and professionally. NICK HEFFER. EMPLOYEE SHAREHOLDER RULES NOW IN FORCE, GUIDANCE ISSUED. EMPLOYMENT BUDDY. 6TH SDEPTEMBER 2013 Introduction The proposal for a new employee shareholder contract, which finally came into force in 1 September 2013, was met with a number of objections from the House of Lords as stated by the author. In the guidance produced by the government, it presents information which needs to be considered when thinking about employee shareholder contracts.  This includes the conditions which must be met, the rights that an employee shareholder has, and the general process and procedure to be followed for both the employer and the individual. The guidance also provides basic information on taxation and share valuation (Nick, 2013). Discussion The author believes that, by accepting and agreeing to a shareholder contract the worker is relinquishing certain rights in exchange for shares which could range from a minimum of £2,000 upwards. And at present there is no set upper value. He believes that, the new employment status will means different rights and responsibilities. In his submission he lies on points to prove his argument. The first point is that, a decision to apply for or accept an employee shareholder position can be made by anyone, from a new employee to an existing employee. According to him, employers can ask existing employees to change their employment contract to a shareholder contract; however an existing employee does not have to agree to any change.  Where an existing employee is subjected to any detriment for refusing to accept such a change, a complaint can be made in the employment tribunal. The second factor that he believes is essential is the provision of shares in a business, which could result in the recruitment of the best person for the job and for the business, especially in a competitive market. Where an employee has an actual stake in the business, he is likely to create a greater affinity and an increased responsibility by the individual towards the business. This will positively benefit the business and the individual. The last factor established under his argument is that, with the employee shareholder contract, certain rights are maintained and certain rights are relinquished in exchange for shares. The rights an employee shareholder will not have must be understood and clearly communicated to both parties in a written statement. Conclusion The employer’s rights to inherit part of the organization’s stake should not be challenged by enormous legal actions as their support to the organization is eminent. Being part of the organization, should positively enable them to run the organization as their own business. Wirth the experience and expertise that they present to the organization, they will be in a better position to run the organization effectively. HELEN NELSON. EMPLOYMENT TRIBUNAL FEES COME IN BUT REMAIN UNDER LEGAL CHALLENGE. EMPLOYMENT BUDDY. 02 AUGUST 2013 Introduction The author believes that through the introduction of Tribunal fees from 29 July 2013, it has undoubtedly created controversial as well as sparkling much debate. In his argument, he states that the government’s rationale to reduce the number of weak claims lodged in employment tribunals and hence forth limiting the impact of nuisance claims on business. To him, the current cost of employment tribunals to the taxpayer currently stands at around £74 million per year a factor that he considers as not being an appropriate means of achieving a legitimate aim. Discussion He establishes his argument through elaborating the new structure, whereby a fee will need to be paid on lodging a claim and a further “hearing fee” will become payable if the case proceeds to Tribunal. Further fees will then be applied if the decision is appealed. For our factsheet on tribunal fees, to him, the CBI and the Federation of Small Businesses welcome the fees, arguing they will help reduce speculative or weak claims (Helen, 2013). As the Government insist it is right to take some of the £74m cost of workplace disputes away from the taxpayer, the common citizen could not rest until his view were heard and determined by a court of law. Unison have since lodged an application for judicial review with the High Court, arguing that the new fee structure is in breach of European law and contrary to the principle of access to justice, as well as being discriminatory against women. Conclusion Employment tribunal is one of the bodies that have remained relevant through the ancient times to the modern world through its support to the community.  Through this tribunal, major employees have witnessed the benefits of being sacked or misled wrongly by their long term employers. But with the rising number of cases in the employment sector, tribunal fees may seem to be an overhead cost, bearing bin mind the few employees who earn less than the dollar mark a day. To make it effective and equal to everyone, the tribunal needs to operate at zero cost to ensure that the rights of all employees’ are safeguarded. NICK HUFFER. EC LAW MEANS MORE COLLECTIVE REDUNDANCIES FOR EMPLOYERS - WOOLWORTHS CASE BRINGS SUDDEN END TO "ESTABLISHMENT" TEST. EMPLOYMENT BUDDY. 05TH JULY 2013 Introduction According to the author, the employer is proposing to dismiss as redundant 20 or more employees over a 90 day period “at one establishment”. To him the upshot of the EAT’s decision is that the words “at one establishment” will no longer be part of that definition, meaning that the obligation to consult collectively will be triggered where, in  a 90 day period, 20 more employees are to be made redundant anywhere across the business, regardless of where they work. Discussion The author believes that this decision means that, for employers with one site or with employee numbers where having 20 proposed redundancies over 90 days is going to be very unlikely, the Woolworths decision is not something to worry about. In his argument he states that, with the need to aggregate redundancies across all sites, the Woolworth’s decision will mean that many more redundancy proposals than previously will be caught by the need to consult with employee representatives and there will be a need in that case for a minimum consultation period before redundancies can be carried out, normally 30 days but extending to 45 days where 100 or more redundancies are proposed (Nick, 2013). To him, this follows then that there will be an increased risk of protective awards, which can be up to 90 days gross actual pay per affected employee. The sums involved, intended to be punitive, can be huge. Conclusion More collective redundancies to employers is one of the best benefits that employers should ride on in their course of doing both professional and expertise work. Through the EC law, more employees may be positively affected as their needs will be taken care of effectively. Proper management and control of employees is essential as it increases the productivity of the organization. Employment rations play an integral role in the well being and success of the organization. Employees who easily and effectively manage their conflicts are able to create long term relations including making the working environment conducive to everyone. Major industrial actions are as a result of employees not effectively relaying their issues and demands to the organization. This negatively affects their perception about the organization and concludes by going on industrial action. To ensure that industrial actions are managed effectively for long term basis, the organization needs to fully implement incentives and other major needs that employees need. This will create better employment relations between the company and the staff. Through recruitment, the organization is able to add profitable and fruitful employees to its capacity. This can prove to be beneficial if the organization takes into consideration, equity, professionalism and expertise in its recruitment process. This will ensure that the employees recruited are of class as they would prove beneficial in the long run. The organization needs to limit the levels of corruption and integrity in this process if it aims to recruit the best. Reference list Helen, N. 2013. Employment Tribunal Fees Come in but Remain Under Legal Challenge. Employment Buddy. Kevan, H. 2013. Dealing With Conflict in the Matrix. Personnel Today. Nick, H. 2013. Employee Shareholder Rules now in Force, Guidance Issued. Employment Buddy. Nick, R. 2013. Legal Opinion: New Limits On Unfair Dismissal Compensation. Personnel Today. Nick, H. 2013. EC Law Means More Collective Redundancies for Employers - Woolworths Case Brings Sudden end to "Establishment" Test. Employment Buddy. Rob, M. 2013. Can Anti- Semitism Count as a ‘Philosophical Belief’ Under the Equality act 2010? 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