The Most Expensive Sandwich in HR History?
Potentially the most expensive sandwich in HR history… was it filled with foie gras? Were there layers of lobster? Absolutely covered in caviar?
Well, no. It was a plain, ordinary sandwich by all accounts, coming well under the expenses limit. Yet this sandwich was integral to a Senior Banker’s dismissal (Szabolcs Fekete v Citibank NA 2023).
Fekete, a Senior Banker, put two sandwiches, two pasta dishes, and two drinks, on his lunch expenses during a work trip.
The quantity was suspicious, so he was questioned about this rather substantial lunch. Fekete responded to say the items were all for him and they were well within his expenses limit. He was hungry after skipping breakfast, the drinks were small, and the second sandwich was for his dinner. He asked why he was being put under scrutiny. However, the investigation continued, and Fekete later admitted some items were consumed by his partner, in breach of his employer’s Expenses policy. The Disciplinary procedure concluded with his dismissal.
Fekete then raised an Unfair Dismissal claim. He argued the sanction was unfairly harsh and had not sufficiently considered that he had been going through personal difficulties at the time. However, he lost the case as the Judge decided the dismissal was a reasonable response. The Judge’s conclusions emphasised that as a global financial institution, it was reasonable for Citibank to have high standards for honesty and ethical conduct.
If the Disciplinary Policy had been unreasonable, the case could have ended differently of course!
Bright Contracts clients have access to a comprehensive Employee Handbook, including a template Disciplinary Policy. Please contact us if you would like more information.
The Importance of Having a Social Media Policy
Social media platforms may be fun and can keep us connected, especially in most recent times. They are also used as an effective marketing tool for many businesses. We should be mindful of the dangers of social media. A social media policy is ideal for laying out your expectations for how workers use social media in the workplace.
The pandemic introduced new ways of staying connected with colleagues and customers. You may have introduced additional social technologies to assist employees with team communication and project collaboration. You may have promoted more usage of professional social media platforms like LinkedIn in absence of face-to-face networking possibilities.
Employers without a social media policy face risks. There are many advantages to using social media however, it is understandable why an employer may wish to provide instructions on utilising and handling work-related social media accounts.
Employees must understand that while online they are representing the company. They must act in a way that promotes the brand, whether it is through posting or how they interact with other users.
Like many other aspects of employment law, a well-drafted policy can make the difference. Bright Contracts software has a preformatted social media policy in the “Terms and Conditions” section of the Handbook, which is completely editable to your business needs.
The Five Steps in Risk Assessment
The five steps in risk assessment are identifying hazards in the workplace, identifying who might be harmed by the hazards and taking reasonable steps to eliminate or reduce the risks, recording your findings, and reviewing and updating your risk assessment regularly.
1. Identifying hazards in your workplace
The first step in risk assessment is identifying hazards. You must identify things in your workplace which pose a risk to the health and safety of staff or visitors. Walk around your premises to consider what could potentially cause a hazard and consult with staff about what they think the risks are.
When performing a general risk assessment, you should look for risks such as:
Slip and trip hazards like deliveries not put away, loose flooring, spillages, etc.
- Electrical equipment
- Fire hazards
- Risks associated with manual handling or lifting
- Environmental issues, such as ventilation, temperature, or noise levels
- General maintenance risks, such as damaged or defective equipment, storage, cleaning supplies, or presence of vermin or pests
- Risks associated with workstations
- Working at height or objects falling from a height
- Risks caused by visitors to the workplace
- Lone working
You must keep an open mind to any risks specific to your industry and premises.
2. Identify who might be at risk
Secondly, you have to identify any particular group of staff whose health and safety is at risk due to the work they do. For example, warehouse workers might be particularly at risk of falls from height or things falling on them, whereas your office staff are more likely to be affected by poorly arranged workstations.
Additionally, sometimes a group of people will be at risk due to a shared characteristic, rather than the nature of their roles, e.g., pregnant women or young people. For example, if you employ any women of child-bearing age, the nature of the work could involve a particular risk to a new or expectant mother or her baby. These risks must be considered in the general risk assessment.
3. Taking steps to reduce or remove the risks
As part of your risk assessment, you must decide what to do about the hazards and risks you uncover, and take action to deal with them.
You must get rid of any hazards that you can and try to reduce the risks posed by any that you cannot remove.
Some suggestions on how to reduce or remove hazards in the workplace include:
- Changing the design or layout of your workplace
- Providing different or better work equipment, including any protective equipment
- Having better premises or a better equipment maintenance regime
- Providing better welfare facilities, e.g., rest breaks
4. Keeping written records
If you employ more than five people, you are legally required to keep written records of your risk assessments. If you have less than five employees, you do not have to write anything down, however, it is good practice to always keep a record of your risk assessments in writing so you can refer to them if needed.
5. Reviewing your risk assessment
As soon as you become an employer you should perform a general risk assessment. You are then legally required to review and renew your general risk assessment if it is no longer valid or if there have been changes to anything that is covered.
As business changes over time, you should regularly review and update your risk assessment. Annual reviews are common for most businesses.
Related Articles:
How to Conduct a Risk Assessment for Remote Workers
Extra Bank Holiday for the Queen’s Jubilee
As you may have heard already, there will be an extra bank holiday to mark the Queens jubilee year, celebrating 70 years on the throne. The May Bank Holiday Weekend will be moved to Thursday the 2nd of June and an additional Bank Holiday on Friday the 3rd of June will see a four-day weekend to celebrate her Platinum Jubilee.
Are my employees entitled to have extra bank holiday for the Queen’s Platinum Jubilee?
It is important to note that employees do not have an automatic right to time off on a bank holiday. It will depend on the wording of their contracts.
For example, if their contracts state that their annual leave entitlement includes usual or standard bank holidays or specifies which or what numbers of bank holidays are included, they will not be entitled to this additional bank holiday.
If their contracts state that their annual leave entitlement is a certain number of days plus bank holidays, then they will be entitled to the additional day’s leave.
What are the entitlements for the extra bank holiday?
You most likely have a process in place for bank holidays, depending on whether your business needs to be staffed on these days. Here are some helpful pointers:
- Staff are entitled to the extra bank holiday if their contract states – 20 days holiday plus bank holidays.
- Staff in England and Wales are not entitled to the extra bank holiday if their contract states – 20 days holiday plus 8 bank holidays (listed).
- Staff in Scotland are not entitled to the extra bank holiday if their contract states – 20 days holiday plus 9 bank holidays (listed).
- Staff are not entitled to the extra bank holiday if their contract states – 28 days or 5.6 weeks which includes bank holidays.
If you have employees working various hours you need to remember that part-time workers should not be treated less favourably than the full-time workers.
What to do if employees are not entitled to the extra bank holiday?
You have the following options if your employees are not entitled to the extra bank holiday:
1. Open on the extra day and require your staff to work as normal.
If you decided to open on the Friday and require your staff to work, they could still request to have that day off as part of their normal annual leave entitlement. However, you do not have to grant that request.
2. Close on the extra day and require your staff to take the day as leave out of their annual leave entitlement.
If you choose this option, you will have to give your employees at least two days’ notice if they are required to use their annual leave entitlement.
3. Close on the day of the bank holiday and grant your staff an extra day’s paid leave on a discretionary basis.
Whichever option you decide to go for it would be recommended that you communicate to your staff as soon as you can.
Related Articles:
Pilot Testing the Four-day Working Week
For many years campaigners have been promoting the idea of a shorter working week. Nicola Sturgeon, ahead of Scottish Election in 2021, proposed a £10 million fund to allow companies to pilot and explore the benefits of a four- day working week. It was criticised that the standard 9-5 five day working week was outdated. In a recent poll it was reported that 64% of Britons would support the introduction of a four-day working week with no reduction in their pay. There is no doubt that the pandemic has influenced changes to the workplace with a lot of employers adopting the hybrid working method. The six-month pilot programme will start in the UK in June 2022. It will be conducted by a pressure group, 4 Day Week Campaign. There is hope that the four-day working week will replace the traditional 9-5. However, there are a few considerations to this implementation such as the changing of contracts, dealing with holiday entitlement and change in pay and productivity.
Changing Contracts
Once a contract is made the employer cannot make any changes without the consent from the employee. In this case changing the terms of an employment contract will need approval from the employee.
Holiday Entitlement
Legally employees are entitled to 5.6 weeks paid holiday a year (28 days inclusive of band holidays for employees working a five-day week). For someone who works four-days a week would be entitled to 22.4 days a year (inclusive of bank holidays). It is suggested that if the four-day working week was to become permanent the holiday allowances would have to reduce in line with the overall reduction in working hours. Those who worked a five-day week would result in a 20% reduction in holiday allowance.
Change in pay and productivity
The four-day working week comes with fear that employees will have to work longer hours each day to compensate for the missing day. Employees also fear that it will lead to a loss in pay for working four days instead of five. However, the Campaign calls for no reduction in the employees pay.
Furthermore, some employers who were resistant to the pilot had a concern of a decrease in levels of output leading to affects in the organisations profit. Iceland has been leading this campaign since 2015. The trials were a success, and it was found that participants maintained the same level of performance and productivity.
All in all, the campaign is advocating no reduction in the pay of employees who want to reduce their working days. It is up to employers whether they want to permanently adopt a four-day working week, there will be no change to the law to reflect this.
Related Articles:
Everyone's Talking About Flexible Working
Supporting Female Employees: Implementing a Menopause Policy
2021 has been a year of big change for everyone and has given rise to many different topics of conversation, a vitally important topic is that of menopause among the female workforces. Media outlets across the UK have been discussing menopause and from these discussions it has been said that ‘The menopause is where mental health was 10 years ago’. A statement which could not be more true. These discussions have brought to the surface the realisation that menopause is considered a taboo subject, like mental health was and like mental health we are not educated enough in what menopause is, the symptoms of it and how we can help those going through menopause which is why it is so important for employers to educate their workforce and to recognise the importance of supporting women in the workplace who are transitioning through menopause which is why we believe it is vitally important for organisations to implement a menopause policy as we believe it needs to be acknowledged and recognised as an important occupational issue requiring supports to be made available.
To ensure that companies show a positive attitude towards the menopause, we want to encourage employers to create an atmosphere where women feel there are colleagues with whom they can comfortably discuss menopausal symptoms and that they can ask for support and adjustments in order to work safely and without fear of negative repercussions. For this reason, the menopause is an issue for men as well as women. So let’s touch on the basics of menopause by answering the simple question, ‘What is menopause?’ Menopause is a natural stage of life when a woman’s estrogen levels decline and she stops having periods. As menopausal symptoms are typically experienced for several years, it is best described as a ‘transition’ rather than a one-off event. The menopause typically happens between age 45 and 55. The ‘perimenopause’ is the phase leading up to the menopause, when a woman’s hormone balance starts to change. For some women this can start as early as their twenties or as late as their late forties.
There are various symptoms that can be experienced through menopause and can be both physical and/or psychological. They can include: hot flushes, insomnia, headaches, fatigue, memory lapses, anxiety, depression and heart palpitations and each of these symptoms can affect an employee’s comfort and performance at work which is why we developed our menopause policy to ensure you are assisting your female employees in their daily duties. In order to assist those experiencing these symptoms in their daily duties, it is important that your company menopause policy explores making reasonable accommodations to the individuals role or working environment with the aim of reducing the effect that the menopause is having on the individual which is explored in our new menopause policy available on Bright Contracts today! We are committed to ensuring appropriate support and assistance is provided to female employees and that exclusionary or discriminatory practices will not be tolerated. Our menopause policy is fully compliant with the Safety, Health and Welfare at Work etc. Act 1974 as well as the Equality Act 2010.
Check out your Bright Contracts today to view the update, or if you would like to become a Bright Contracts user you can download the software and purchase a licence today.
To access the update, log out of your Bright Contracts company file and log back in, you will then see a yellow bar across the top of the page asking you if you would like to upgrade the content.
Does my employee need a written statement of employment?
The main purpose of the written statement of employment, often referred to as the contract of employment, is to clarify the terms of a person’s employment and avoid uncertainty or misunderstandings, where employee expectations might not be the same as employer intentions.
All employers must provide an employee with a written statement of their terms of employment within 2 months of commencement of employment, including full-time staff, part-time staff, fixed-term and casual workers.
The written statement must include the following information:
- The full name of employer and employee
- The address of the employer
- Place of work
- Job title or nature of work
- The date the employment started
- Type of contract
- Rate of pay
- Pay intervals
- Hours of work
- Paid leave
- Incapacity for work, sick pay
- Any terms relating to a pension scheme
- Period of notice to be given by employer or employee
- Details of any collective agreements
- Pay reference period
Additional clauses can be recommended to further clarify the relationship. These might include:
- Probation clause
- Pay in lieu of notice clause
- Confidentiality clause
- Right to search
- The calculation of holiday pay
Failure to to provide contracts of employment could leave you wide open to a claim from their employees. Employers found not to have written terms of employment in place will be fined a maximum of 4 weeks’ remuneration per employee. Clearly worded contracts of employment are key to the success of any business. They will ensure your business is on the right side of employment law as well as help prevent disputes with employees.
To book a free online demo of Bright Contracts click here
To download your free trial of Bright Contracts click here
BrightPay - Payroll and Auto Enrolment Software
Bright Contracts - Employment Contracts and Handbooks
Trivial Benefit In Kind
Christmas is a time for giving so why not give your employees a seasonal gift like a turkey or a nice bottle of wine?
In order to provide these gifts – it must be ensured that the gift falls under trivial benefits in kind.
Trivial benefits apply where the benefit:
- Is not cash or a cash voucher
- Costs £50 or less
- Is not provided as part of a salary sacrifice or other contractual arrangement
- Is not provided in recognition of services performed by the employee as part of the employment, or in anticipation of such services
Accordingly, gifts that cost under the £50 limit would qualify. It is also possible to provide employees with a gift voucher (not a cash voucher) where the limit is £50 or less. They can only be provided as a gesture of goodwill be it at Christmas or other such seasonal occasions.
Employers no longer need to report such trivial benefits on P11ds or PAYE Settlement Agreements (PSA). However, if the gifts have a value in excess of £50 or cannot be counted as trivial benefit, then the gift must be reported on the form P11d and Class 1A NICS may be payable on the value of the gift.
£300 Annual Cap
There is an annual trivial benefits cap of £300 that is applied to directors or other office-holders of “close companies” (close company is a limited company that’s run by 5 or fewer shareholders) and to members of their families or households. The £300 annual cap does not apply to other employees.
BrightPay - Payroll and Auto Enrolment Software
Bright Contracts - Employment Contracts and Handbooks
How to Avoid Harassment in the Workplace
The recent allegations against Harvey Weinstein in the US have created somewhat of a snowball effect worldwide with thousands of women and men speaking out about their accounts of sexual harassment and assault, many of them being work related. Allegations involving high profile individuals and people in authority have demonstrated just how widespread a problem this has become across all industries and professions and has exposed a sinister culture of silence, fear and acceptance which we must now turn on its head.
In the UK, the Equality Act 2010 prohibits sexual harassment, defined as conduct of a sexual nature which has the purpose or effect of violating the victim’s dignity, or of creating an intimidating, hostile, degrading, humiliating or offensive environment. Examples might include unwelcome sexual advances, displaying pornographic images, or sending emails containing material of a sexual nature.
Employers in the UK are responsible for their employees’ actions in the course of their employment, even if such actions are taken without the employer’s knowledge or approval. Employers should be able to demonstrate that all reasonable steps to prevent the employee from taking discriminatory action were taken, in order to build a successful defense.
Employers are therefore compelled to take steps to ensure a harassment-free work environment. Effectively organisations must set down clearly defined procedures to deal with all forms of harassment including sexual harassment.
There are a number of steps an employer can take to help prevent this type of behavior from occurring in the workplace:
A Bullying and Harassment policy
- to protect the dignity of employees and to encourage respect in the workplace
An Equal Opportunities policy
- to create a workplace which provides for Equal Opportunities for all staff
A Whistleblowing policy
- to enable staff to voice concerns in a responsible and effective manner.
Transparent and fair procedures throughout
Disciplinary action
- A sanction that is appropriate for the level of alleged harassment – to help try and change the culture of silence that has allowed harassment to become normal and protected.
Provision of on-going training
- At all levels within organisation
Bright Contracts has a fully customisable Staff Handbook, which includes a Bullying and Harassment Policy and also an Equality Policy and Whistleblowing Policy.
To book a free online demo of Bright Contracts click here
To download your free Bright Contracts trial click here
£25,000 awarded for unfair dismissal due to pregnancy
Leeds Employment Tribunal recently awarded just over £25,000 in compensation after it ruled a woman was unfairly dismissed from her training job at Bradford District Training Agency after she became pregnant.
The woman told the tribunal that her contract had been verbally extended at the same time as she received a promotion and pay increase. She spent a number of weeks chasing the company for her written terms of the extended contract, which would have kept her in her role until March 2017. She was later dismissed, shortly after announcing her pregnancy.
The company stated that the woman lost her job due to redundancy and that her fixed-term contract had expired, it was nothing to do with her pregnancy. However, the tribunal found that the company had offered unreliable evidence and the company’s behavior was ‘substantially and procedurally unfair’ and stated that firing an employee because of being pregnant was a ‘serious act of discrimination’.
The woman was awarded £9,130 for loss of earnings and £15,600 for injury to feelings and £435 for loss of statutory rights.
Naeema Choudry, a partner at law firm Eversheds Sutherland, stated that; “Tribunals will undertake a thorough evaluation of the facts and evidence whether there is an inference of discrimination. While it is not unlawful to make redundant a pregnant employee if the decision is linked in any way to the pregnancy it will amount to unlawful discrimination and unfair dismissal. Similarly, if the contract of employment of a pregnant worker is not renewed because of her pregnancy or future maternity leave, this would also amount to unlawful discrimination.”
This case shows us that tribunals take discrimination very seriously and that they will not simply accept at face value the reason for dismissal put forward by an employer. Employers should also be aware that as there is no cap on the amount of compensation that a tribunal can award in a claim for discrimination.
To book a free online demo of Bright Contracts click here
To download your free trial of Bright Contracts click here
