New Employment Law Changes Unveiled

The “most radical shake-up of employment law in decades” is to be announced by Vince Cable today.

The key points of the reform package include:

• A consultation on having “protected conversations” to allow employers to discuss frankly with staff issues such as early retirement or poor performance;
• Cutting the current 90-day consultation period on collective redundancies to as low as 30 days;
• A requirement for all claims to go to conciliation service ACAS before reaching an employment tribunal;
• Options for a “rapid resolution scheme” to offer cheaper, quicker decisions on more straightforward claims;
• Companies employing fewer than 10 staff may be exempted from employment regulations; and
• A consultation on simplifying the use of compromise agreements.
• These proposals follow the Government’s announcement in October that the qualifying period for unfair dismissal claims will increase from one to two years with effect from 6th April 2012.

Business leaders have welcomed the plans but, as expected, the move has been denounced by unions.

A Business Department spokesman said the measures were designed to remove “burdensome” regulations which make it hard to let go of staff.

If you require any advice and/or any further information please contact Chris Boyle, Head of Employment on 01772 904279 or chris.boyle@napthens.co.uk.