Legal Aspects of Business: Employment Law Case Study Analysis

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Legal Aspects of Business
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Table of Contents
Introduction......................................................................................................................................3
Letter................................................................................................................................................3
Conclusion.......................................................................................................................................9
Reference List................................................................................................................................10
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Introduction
As per the legislation of UK, all organisations are bound to create a contract with the employees
so that a cordial relation is being maintained between them. The primary motive of employment
law is to protect the right and duties of employees so that they can be motivated. The
employment Right Act, 1996 has mentioned that a contract needs to be signed between the
employees and management so that working atmosphere of the organisation can be maintained.
In the written statement the name of the employees and the employer need to be stated along
with title of the job, date of employment and salary. Further, details of holiday need to be
mentioned in the employment contract so that transparency can be maintained between both the
parties.
On contrary, in contract law, rules and regulation of employment also need to be stated along
with leave policy. Further, National Minimum Wage Act, 1998, has mentioned that an employee
need to receive a minimum salary of 7.83 pounds after completing 25 years of service within a
business venture. The working time regulation Act, 1998 has stated that an employee has the
right to enjoy 28 days paid holiday so that a balance can be created between professional and
personal life. Finally, pension Act, 1995 has mentioned that organisations need to pay certain
amount to the employees in form of pension so that they can live secured life after retirement.
The equality Act, 2010 has mentioned that organisations should not create discrimination among
employees and need to treat members equally.
In the present study, a letter of recommendation is being provided to Alex so that he can deal
with James.
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Letter
To Alex,
Director of the company
3, Edgar Building
George Street
Bath
England
BA1, 2FJ
Subject: Letter of legal advice
Sir,
This is to inform you that as per Employment Law of UK, you are supposed to review your
working policies after every three months. However, this period can be being exceeded under
special circumstances. As per agency rule if a labour spends more than 12 weeks within an
organisation then the individual is liable to receive basic employment rights such as, sick
leave. (legislation.gov.uk, 2019). Thus, in this case Alex also needs to permit sick leave to
James because he has served the organisation for a long period. As James is a hardworking
employee therefore Alex need to keep the appointment intact.
As per Trade Union and Labour relations Act, 1992, employers reserve the right to hire
substitute if original employees fail to produce medical reports from authorised medical
practitioners (legislation.gov.uk, 2019). Thus, in this case if James fails to produce his medical
reports to Alex then he can be removed from the organisation. Further, Alex has the right to
reduce James’ Sick pay if he fails to produce medical documents from authorised medical
practitioners. Subsection 2, of the concerned Act has stated that an employee need to produce
appoint card instead of medical certificate in order to proof his sickness. In this case, also
James has the liability to show medical certificate to Alex after returning to work other he can be
replaced (legislation.gov.uk, 2019).
Section 57 ZB of right to remuneration for time off has mentioned that employers need to pay
the full salary to the labours at appropriate hourly rate if they are on sick leave. In the present
case study Alex has abide by right to Remuneration Act by providing full salary to James
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because he was on sick leave. However, Alex will not be able to reduce the payment because he
can be charged of breaching provisions of Section 57ZB (legislation.gov.uk, 2019).
Section 68B, has mentioned that organisations can recruit alternatives within the organisation
if the organisational worker is on maternity leave (legislation.gov.uk, 2019). However, in this
regard Alex has breached the provisions of Section 68B Right to offer Alternative work
because he has recruited an alternative employee in the place of James despite taking a sick
leave (legislation.gov.uk, 2019).
Provisions of equality Act, 2010 has mentioned that salary of employees needs to be fixed as per
the time year of service. Thus, in this case Alex needs to consider years of service at the time of
fixing the salary of James. Section 14 has mentioned that employees need to be treated equally
by the employers so that they can remain motivated (legislation.gov.uk, 2019). It has been
further, mentioned that within an organisation, discrimination should not be made based on age,
disability, race, sex and religion believes. Thus, in this case Alex need to treat James equally as
other employees no extra privileges need to be provided to him. Section 7(1), has stated that
Alex need to provide same facility to other employees when they will be on sick leave other he
will be liable of breaching provisions of equality Act, 2010 (legislation.gov.uk, 2019). Thus,
keeping in mind the health condition of James, Alex should not terminate him otherwise; he will
be liable of breaching equality Act, 2010.
After analysing the case study, it has been noted that Alex has agreed to pay full salary to James
because of his sickness. However, now if he reduce James salary then he will be liable of
breaching the contract designed between James and Alex.
In a similar case between O’Brien v Bolton St Catherine’s Academy (CA), Ms. O'Brien was
being dismissed by her employer because she was absent from her work due to sickness.
However, initially the employer has agreed to pay salary to O'Brien. Thus, in this case contract
has been breached between O'Brien and St, Catherine Academy (personneltoday.com, 2019).
In this case section 2 of Trade Union and Labour relations Act, 1992 has also been breached
because despite of providing medical certificate Ms. Brien have been terminated from her job.
Further, Ms. O'Brien has approached to the court in order to get justice. After hearing to both the
parties, apex court has mentioned that the school has not provided justice to Brien after
witnessing medical reports. Further, the court has suggested that school authority could have
undertaken medical examinations for their concern. Lastly, the court has mentioned that before
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dismissing an employee from work authorities are expected to analyse the health condition of the
labourers for a period.
After discussing the case example, Alex is suggested to wait for a period so that he can also
analyse the health condition of James. Moreover, Alex can also conduct medical check up of
James for his own satisfaction. On the other hand, being a director of the company Alec can also
provide financial assistance to James so that he can avail better treatment facilities.
At the time of providing suggestions to Alex provisions of the employment, Right Act has also
been referred so that the study can be completed in an effective manner. Part 1 of the
employment Right Act, has stated that employers need to provide sick leave to the workforce so
that they can live a healthy life (legislation.gov.uk, 2019). The duration of leave will be
depending on severity of injury. For example, in this case Alex has the responsibility to provide
sick leave to James because he is suspected of Cancer. Moreover, at the time of selecting leave
duration Alex can analyse the severity of disease (legislation.gov.uk, 2019).
Further, point number 2 and 3 of part one has stated that employers need to pay sick payment to
employees (legislation.gov.uk, 2019). In this case, Alex is liable to pay full salary to James
because he is unable to function due to sickness. At times, the employers are responsible to pay
part of the salary for the treatment procedure. In this regard, Alex can pay a part of James salary
so that overall treatment procedure can take place systematically. Further short Term incapability
payment is also needed to be paid to sick employees so that they can make both the end meet.
Section 88 and section 89 of employment right Act has stated that sick pay needed to be
calculated on daily wage rate for the convenience of employees. In employment Right Act, 1996,
it has been mentioned that in order to receive sick pay employees need to convince the
employers by providing medical reports. In this case, in order to receive sick pay James need to
convince Alex that he is incapable of doing work because he is physically unfit
(legislation.gov.uk, 2019).
As per the comment of the scholars, long-term sickness means an employee is not participating
in his profession for more than a year (legislation.gov.uk, 2019). However, James condition
cannot be considered as long sick leave because he has remain absent from work only for 4
weeks. Hence, no legal action can be taken against him. Further, no third person can substitute
him in the workplace because it can de-motivate him. However, if financial condition of Alex is
considered then it is illogical to pay salary to an employee who is absent at work since 4 weeks.
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On the other hand, if no salary is paid to James then breach of employment contract will take
place (legislation.gov.uk, 2019).
The equality act, 2010, has mentioned that all the employees of the organisation need to be
treated equally so that retention rate of employees can be improvised. On contrary, within
organisations employees are discriminated based on religion, caste, sex and gender. Thus,
employees get de-motivated. Workplace harassment is also considered as discrimination of
employees. In order to reduce the rate of employee discrimination equal opportunities are needed
to be provided to the employees so that they can be motivated at their workplace. When an
individual discriminates, another based on general characteristics then it is termed as direct
discrimination (legislation.gov.uk, 2019). In order to remain un-discriminated, Alex need to
provide equal opportunities to the employees so that organizational atmosphere can be
maintained. No discrimination is allowed based on features and looks of employees. For
instance, equal opportunities need to be provided to good looking and average looking
employees so that employee turnover rate can be reduced largely. Section 13 of equality Act, has
mentioned that no two employees should be compared to each other because it may affect the
relation between them (legislation.gov.uk, 2019).
On the other hand, no discrimination is to be made between a married employee and bachelor
employee because it creates stress among them. Thus, they have a tendency to leave the
organization. For instance, in the present case study Alex need to treat James and other
employees equally so that they get attracted towards the working environment
(legislation.gov.uk, 2019).
On the other hand, no discrimination is to be made between disable employees and general
employees because it creates mental stress. For instance, Alex need to treat James and other
employees in a same manner other mental stress of James will get increased which in turn will
affect the health condition of James. On contrary, employment harassment is defined as
unwanted activities that affect mental condition of the victim. For instance, within the
organisation if other employees conduct unlawful activities of James then his health condition
may deteriorate. Subsection 55 (7) has mentioned that employees should be terminated based on
health condition because it affects mental condition (legislation.gov.uk, 2019). Thus, it is
suggested that Alex should not terminate James based on his health condition. However, he
should analyse the present health condition of James in order to provide moral support to him.
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Section 18 has mentioned that in organisations maternity discrimination should not take place
because it makes the employees de-motivated. Further, at the time of recruiting employees no
discrimination should be made between employees because it may affect overall productivity of
business venture. In order to maintain equality of employee is proper training needs to be
provided to the employees so that their skill level can be improved (legislation.gov.uk, 2019).
For instance, in a similar case study between Government Legal Service v Brookes (EAT) the
employees have been discriminated while undertaking the recruitment process. Thus, satisfaction
level among the candidates has been reduced. Further, in the case it has been noted that Brookes
have decided to conduct online psychometric test. However, one of the candidates was
suffering from Aspergers’ disease. Thus, he was unable to answer the question in multiple-
choice form. Moreover, the candidate asked the management to make some other arrangements
so that the individual can appear in the test. On the other hand, management has failed to make
other arrangements for the candidate. Thus, claim of indirect disability was being brought against
the organisation. The claimant has appeared to the court in order to get justice. After hearing to
both the parties, the apex court has mentioned that at the time of recruiting employees
management need to be flexible so that future candidates can be attracted. Further, court of
appeal has mentioned that management of the organisation need to change the recruitment
procedure so that all candidates can receive similar opportunities (personneltoday.com, 2019).
The organisation needs to provide disability guidelines to the employees so that they perform
their job roles systematically. In the beginning, the management need to explain the job role to
the employees so that they can gain a clear concept about it (legislation.gov.uk, 2019).
Thus, after analysing the provision of equality Act, 2010, it has been noted that its main motive
is to protect employees from being harassed by their management and co-workers. Further,
government of UK has also started launching global campaign so that employees can be
protected from being harassed at their workplace (legislation.gov.uk, 2019). On contrary, at
times, the employees are not paid salary in order to harass them. People suffering from diseases
like cancer and HIV are also termed as disabled because they are unable to perform their
activities. For instance, in the present case study, James can be termed as disabled because he
fails to perform his daily activities because of his health condition. Further discrimination act has
protected candidates who have overcome their disability.
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Lastly, it is needed to be suggested that employees should not be terminated through unfair
dismal because it may affect the health condition of the individual. Thus, Alex needs to analyse
the health condition of James so that he can recover. Moreover, he does not have the liability to
suddenly terminate James from the organisation.
I shall be highly obliged to you if you kindly go through my suggestions to treat James situation.
Thanking you
Yours faithfully
………………….
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Conclusion
Thus, in this study employment laws have been critically analysed so that better insights can be
gained. In this section equality act has mentioned that employees need to be treated so that their
interest level can be uplifted. Further, no individuals should be compared to others because it
may affect relation between them. Management of organisations need to pay salary to employees
if they fail to perform their duties due to sickness. Further if require employees can ask for
financial help from management in order to receive proper treatment.
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Reference List
ilo.org 2019 employment rules [Online] Available at:
http://www.ilo.org/dyn/travail/docs/2238/Wages%20Order%20-%202010.pdf [Accessed on 7
May 2019].
legislation.gov.uk 2019 discrimination act [Online] Available at:
http://www.legislation.gov.uk/ukpga/2010/15/pdfs/ukpga_20100015_en.pdf [Accessed on 7 May
2019].
legislation.gov.uk 2019 employment law [Online] Available at: http://www.legislation.gov.uk/
[Accessed on 7 May 2019].
legislation.gov.uk 2019 employment right Act [Online] available at:
http://www.legislation.gov.uk/uksi/2010/93/schedule/2/part/1/made/data.pdf [Accessed on 7
May 2019].
legislation.gov.uk 2019 equality Act [Online] available at:
http://www.legislation.gov.uk/ukpga/2010/15/pdfs/ukpga_20100015_en.pdf [Accessed on 7 May
2019].
personneltoday.com 2019 case examples [Online] available at:
https://www.personneltoday.com/hr/key-employment-law-cases-2017/ [Accessed on 7 May
2019].
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