An Overview of UK Employment Law and Company Formation Process

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This essay provides a comprehensive overview of employment law and company formation in the United Kingdom. It delves into the various employment laws and statutes, including the Employment Rights Act 1996, the National Minimum Wage Act 1998, and the Equality Act 2010, outlining the rights and responsibilities of both employers and employees. The essay also details the essential steps involved in forming a company in the UK, such as choosing a company name, completing the online application, and submitting it to Companies House. It addresses key considerations like the number of people needed, the time required for formation, age requirements, and the possibility for non-UK residents to form a company, highlighting the importance of adhering to the Companies Act 2006 for transparency and accountability.
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Table of Contents
INTRODUCTION ..........................................................................................................................3
MAIN BODY...................................................................................................................................3
TASK-1.......................................................................................................................................3
TASK-2.......................................................................................................................................5
CONCLUSION ...............................................................................................................................8
REFERENCES................................................................................................................................9
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INTRODUCTION
The law of business is related to regulations and rules which governs commerce and
trade. The business law is related to employment, contract, intellectual property and many more.
All of these law have various procedure for completing transaction of business. The law specifies
rights and duties for employee and employer at time of enactment in the business concern. The
business law is also called as commercial law, this consider international legislations, agreements
on government bodies and business law which deals with mercantile law(Teague, and
Donaghey, 2018). There are many global meeting which dealing with international commerce
and trade within the countries. This report cover law of employment in UK. Moreover, this also
discuss about the fundamental features of the formation of the Company in the UK. This also
detail about present condition of constitution of organization in United Kingdom.
MAIN BODY
TASK-1
The law of employment discuss for the relation between worker and employer. The legislations
is established through the countries for ensuring fair and free environment of working to the
worker of a company. This include remedies which are given to the workers for breach of
contract(Ma, and, et. al., 2019). This is essential as this provides the right of both employees and
employers of the company. In lack of these laws, both employer and worker suffers as there is no
boundation on employers act.
The law of employment primarily cover these aspect which follows-
Employee Disability
Exploitation and Bullying
Discrimination on the basis of caste, sex, gander and many more.
Employment Contract
Payment of Holiday
Equivalent pay for equivalent work.
Payment of Minimum wage to workers
Parental leave
Sick leaves.
Maximum employed hours.
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Redundancy
All of these important facet were discussed in parts of employment law of United
Kingdom. The sections talks about right of both employer and employee(Khamraeva, 2021).
However, on breach of provisions in this act, there are punishments specified in the law of
employment.
Few of the essential legislations for law of employment are mentioned below-
Employment Rights Act, 1996- The law give workers right in the company. This
outline rights in a condition in which the employee were unlawfully dismissed,
pregnancy leave, unfair dis-mission, parental leave and many more. This covers right of
worker in case where employer believe that worker is reluctant and dismissed him on that
basis.
National Minimum Wage Act, 1998- The law make sure that the employee have to be
remunerative at least minimal wages which is distinct by authorities time to time in
reference with the rate of inflation in the state.
The Maternity and Parental Leave, etc. Regulations, 1999- The act is made for the
leaves at time of pregnancy for feminine employees. This give paid leaves to all the
workers for taking attention of their genitor at the case when they are ill.
Employment's Relations Act, 1999- The act provides relation between worker and
employer of the establishment. This also establish duties and rights for the employer and
employee in every condition.
Part time Workers ( Prevention of less favourable Treatment) Regulations Act,
2000- This make sure that workers are not being discriminating on the ground of full time
and part time employees. Usually, the workers who work part time were paid little for the
same activity which is done by full time worker. This act make sure that no such attention
is made to the worker on this ground.
Transfer of Undertakings ( Protection of employment) Regulations, 2006- The act is
made for precaution of employment of existent workers in any status in which a business
concern is transfer to any other type of enterprise. Therefore, this is for security of worker
who already works for this establishment.
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The Equality Act, 2010- This act provide protection of worker from discrimination on
the ground of gender, age, nationality, caste, sex, race and many more. This also forbid
the employer to take any decision which confers discrimination within the workers on
basis mentioned above.
Hence, the law of employment in United Kingdom do not favour any one party named
employee and employer. But, this laid down provisions from which the business concern can be
run smoothly with effort of employee and employer of a institution(Keeble, 2022). Usually this
outline duties and duty for both employee and employer. This is because there are numerous
provisions as dis-mission which gives power for employer to dismiss the employee for just and
legal ground. On same part, this gives some power to employee such as unfair dis-mission, in
which they can seek justness in the courts of United Kingdom. Therefore the law of employment
gives responsibility and welfare for both employee and employer.
TASK-2
The formation of a company is a process of incorporate a business concern in a sort of
limited institution. When a establishment is being registered and this become a separate legal
entity and a individual that is wholly clear from their owner and accountable for their personal
assets, finance and liabilities. This means that if a establishment become bankrupt and their
proprietor were not personally held liable for any of their obligation and liabilities assertion on
the far side the sum which is invested in the shares and committed for paying guarantees. The
protection of financial is also known as limited liabilities. A sole trader do not have fiscal
security of limited liabilities. There is no distinction within personal finances and business
finances(Freedland, and Dhorajiwala, 2020). This means that they do have limitless liability
and fully accountable for all claims and debts of business. When organized, a company have
strict practices of accounting and coverage necessitate in conformity of Companies Act 2006.
Every corporate detail is located in evidence of public which ensure whole transparency and
disclosure for public benefits and this is one of the first reason for setting up a limited
establishment other than running a business concern as sole trader.
These are the step as process to formation of a company:-
1. Choose name for a company- This is for finding out availability for a proposed name,
there are some online tools to check availability. The system compare name which you
get into in the scale of the Organization names at Company House. This result present, so
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you will immediately discovery the availability of name or if this needs to make any
change. You also alter if a name needs any supportive document for utilization of any
delicate expression or word.
2. Add address services of company- Every limited company provide detail of their
registered office. The address of service is must for supplied through each subscriber,
director, secretory of company and person who have significant control. First the
formation provide a London Registered Office Service for company to certified in
England and Wales, and their Business Address service and Service address.
3. Complete online application form- The online petition form is very effortless for
requiring, complete only some minute for your period of time. You have to render these
following content:
Name of Company
Address of registered office
Describe main business activities
Details of Director’s
Details of guarantor's or shareholder's
Details of secretary
Information for people who have significant control
Capital statement
Supporting documentation
4. Submit online application to Companies House- Check request ahead sending it to
Companies House, where this will be prepared within approx 3-6 employed hour. You
will be advise through email and your enrolment for company is sanction. The mail of
verification includes digital transcript of share certificate, a certification of incorporation,
and Article and memorandum of association(Edwards, 2021). You can directly print or
download this any time you wish to.
How many people are needed to make a limited company?
While you do have minimal one director and one surety, this is mostly achievable for an
individual for assuming both function and incorporated a establishment on their own. This is
advantageous for some individuals, especially existent sole trader who is willing to retain
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absolute ownership and whole power of the business. You may need to nominate few members
and manager during and after constitution of company.
How much time does this take to form a private limited company?
Most of the establishment were formed online from a agent of company arrangement. As
this is the quickest and easiest way. Usually, this take 3-6 working hours for companies house
which approves these applications. Then the organization will be prompt for trade as soon as this
takes place. Other than this choice, you can online compound or form directly post direct
Companies House. Online applications were prepared in approximate 24 hours and postal
applications were accomplished in about 8-10 days.
Is there any minimum age requirement for a company formation?
The director of a company have to be at least of sixteen years and old at time of company
arrangement. There is no enactment provisions which prohibits an individual below this age for
possess shares(Brummer, 2021). The private company owned by family often gives share to the
child family member in a long period tax preparation scheme for capital and inheritance purpose
advantage. Moreover, there are possible written agreement issues for organization which are
minor as stockholder.
Can a non-UK resident form a UK company?
This is provided as a legal requirement are met, about anyone can fit a private limited
company in UK, this does not matter where they live. The easy handiness to online company
placement service make this easy for incorporated through any place in the global. If you do
have a computer and finances then you are great to go. They can complete request form online
within some sort of time and submit negation to Companies House, and approve in less than 3-6
employed hours. The document of enrolment are e-mail in digital form and your fresh
organization is fit for mercantilism. There is no demand for being in UK and you also do not
have to signed any document in individual or sent it through post.
What documents are needed to form a company?
1. Agent services for company formation- If anyone is incorporated from an
online company placement agent then there is no requirement for signing any
paperwork in individual or sending any document through posts. All needed
content is delivered and completed online. If you need to supply any encouraging
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document for company house then you can merely connect this to your online
request.
2. Web incorporation service of Companies house- The online service acquisition
of companies house do not need any material document in first case(Bezzina,
2020). Moreover, if you want to transmit any type of extra certification after
compliance then you do have to post this. Moreover, if this request have error
then you need to render the altered application through post, no matter to the fact
you primitively deliver this online.
3. Postal application of Companies house- For making a Organization using
Companies House postal application, you need to state these documents:
Application for register a company
Memorandum of association
Article of association
Supporting documents if the name of company contain any sensitive word or
expressions.
CONCLUSION
The preceding report concludes the two subject named as the employment law in UK and
fundamental features of the formation of the Company in the UK. The written report summarize
that the legislations which are successful for employment in the state. It covers various
employment laws and statues that are connected to it. It discusses unfair dismissal that is done by
employer of organisation. It also covers various rights that are given in the company to the
employees. Moreover, it discusses cardinal characteristic of the arrangement of the Institution. It
discusses current case that relates with cardinal characteristic of the arrangement of the
Institution in United Kingdom. It also discusses value of cardinal characteristic of the
arrangement of the Organization.
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REFERENCES
Books and Journals
Bezzina, C., 2020. A comparative analysis of the concept of redundancy in employment and
kindred consequences between Maltese law and UK law (Bachelor's thesis, University
of Malta).
Brummer, V., 2021. Community energy–benefits and barriers: A comparative literature review
of Community Energy in the UK, Germany and the USA, the benefits it provides for
society and the barriers it faces. Renewable and Sustainable Energy Reviews, 94,
pp.187-196.
Edwards, L., 2021. ‘No Jab, No Job’? Employment Law and Mandatory Vaccination
Requirements in the UK (preprint).
Freedland, M. and Dhorajiwala, H., 2020. UK response to new trade Union strategies for new
forms of employment. European Labour Law Journal, 10(3), pp.281-290.
Keeble, D., 2022. High-technology industry and local environments in the United Kingdom.
In High Technology Industry and Innovative Environments (pp. 65-98). Routledge.
Khamraeva, S.N., 2021. Features and trends of digital economy development in uzbekistan and
abroad. Academicia: An International Multidisciplinary Research Journal, 11(2),
pp.1198-1205.
Ma, X., and, et. al., 2019. Tuning roughness features of thin film composite polyamide
membranes for simultaneously enhanced permeability, selectivity and anti-fouling
performance. Journal of colloid and interface science, 540, pp.382-388.
Teague, P. and Donaghey, J., 2018. Brexit: EU social policy and the UK employment
model. Industrial Relations Journal, 49(5-6), pp.512-533.
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