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Employers Could Face Legislation Overload in 2012- 11/01/2012
Employers could be facing legislation overload in 2012, with more changes to employment law than in many previous years, but many of the Government’s well reported proposals for change have not yet been firmed up, according to a leading employment lawyer.
Charlotte Charlesworth-Jones, a specialist employment solicitor at Wolverhampton law firm FBC Manby Bowdler LLP, says: “In the first few months of 2012, the Government is to put forward a raft of measures aimed at reforming employment law and much detail is still to be confirmed, though employers should be aware of the potential changes and the effect on their organisation.”
One change that is known for certain is the change in pension age, which for women will rise to 65 in 2018; the age for both men and women will rise to 66 by October 2020 and to 67 at some time between 2026 and 2028. This follows on from the abolition of the default retirement age and will mean that workers can choose to carry on working after the state pension age and choose when to start taking their state pension.
Mrs Charlesworth-Jones says: “The scrapping of the retirement age has come at the same time as figures show a huge 32% increase in the number of age discrimination claims and for employers the change means ensuring there are age-friendly attitudes and processes in place.
Employers should also be preparing for the change in apprenticeship agreements due to be introduced in April and for auto-enrolment of workers into pension schemes and minimum employer contributions provisions affecting larger organisations from October. Change to Employment Tribunals and unfair dismissal claims are also expected to be introduced in April.
Mrs Charlesworth-Jones says: “The Government has also announced some of the other measures that will be coming up for legislation in the near future, but there is no guarantee that these changes will actually be enacted.”
These include increasing the qualifying period for bringing an unfair dismissal claim to two years and introducing ‘protected conversations’ in which employer and employee will be able to discuss issues without fear of subsequent retribution or accusations. It is also consulting on extending parental leave.
“The Government hopes that such reforms will bring down unemployment and stimulate investment and expansion, by cutting red tape and the risks involved in taking on new staff. But the devil is always in the detail and we will have to wait and see what that holds, and certainly there should be no change to employment policies until we’ve got the full picture,” warns Mrs Charlesworth-Jones
“In the meantime, the start of the new year is a good time to review current practice. Employers need to make sure they have robust processes in place, particularly looking at how they are treating older workers. If we do see the promised increase in the unfair dismissal qualifying period, it’s quite likely that other claims will increase, such as age discrimination.
“Businesses should also be checking to see they’ve covered all bases with the raft of legislation and the outcome of significant cases we’ve seen in the past year – the Bribery Act, the changes around agency workers, and how to manage social media use by staff.”