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BizHelp24 Edition No. 160
Thursday 13
th July 2006

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July 2006 - Small Business News

 


Could You do More to Prevent Employment Tribunals?

Small businesses are the most likely to face employment tribunals, and a large number of these lose the cases that get to the tribunal stage. However, new research from Warwick Business School shows that small businesses are not at a disadvantage, you just need to follow the correct disciplinary procedures.

The research shows that having tribunal procedures in place (and actually using them) will make you much more likely to win cases that reach a tribunal stage.  Small businesses are the least likely to have disciplinary and dismissal procedures, and are the least likely to follow them, and it is this that could put you at a disadvantage in a tribunal, not the size of your business.

By not having adequate disciplinary procedures, problems that could potentially be solved within your businesses are taken to a claim at an employment tribunal because the employee feels like it is their only choice of action.

Professor Paul Edwards of Warwick Business School's Industrial Relations Research Unit says, 'small firms have the benefit of being able to handle employment relations issues informally, but informality can be an excuse for a lack of professionalism. Formal procedures do not need to be complex or bureaucratic, but they must be consistent and fair. Proper procedures help to avoid ET cases'.

The result is clear; spend a little time making sure your disciplinary procedures are sufficient, and if you follow them properly you could save a lot of time, money and effort in the event of an employee dispute.
 

Find out more about the legal procedures for Sacking, Dismissal and Redundancy in our article here.


 

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BizHelp24 – UK business and finance information, news, help and services for small businesses BizHelp24 is a UK business and finance resource providing Small Business Help, Start up Information, news and services; for individuals and Sole Traders. Comprehensively covering a wide range of key business, finance, and service topics. Employment and personal information includes Work Times and Break Entitlement, Body Language, employee Holiday Entitlement and Employment Contracts. Credit Policy information includes Letter of Credit, useful Credit Notes, Business Loans. and Cash Flow Control. Other information areas include Bankruptcy, Homeworking, Business Failure, Company House and Company Names,

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