Employment Law

1. Can an employee claim unfair dismissal if they have less than one year's service?
2. Can you dismiss an employee because they have a lot of time off sick?
3. What is the current rate for the national minimum wage?
4. When does the minimum wage increase?
5. What is the normal/standard level of company sick pay?
6. Can a compromise to an employment dispute be effective to prevent any further claims?

1. Can an employee claim unfair dismissal if they have less than one year's service?
   Generally No (but sometimes yes). There is a qualifying period of 12 months continuous employment before an employee can make a claim for unfair dismissal. However, there are exceptions to this. An employee does not need any qualifying period of employment to claim unfair dismissal in connection with discrimination or asserting a statutory right (e.g. union right, requesting a written statement of terms, health and safety etc). [ Back to Top ]



2. Can you dismiss an employee because they have a lot of time off sick?
   Potentially yes. However, as with any other dismissals there are procedures that have to be followed. The actual procedure will depend on the reasons for absence and the particular circumstances. In some cases consideration may have to be given to the Disability Discrimination Act and you may need to obtain medical advice before final decisions are made. You will need to show that you have acted reasonably in deciding to dismiss which will also include demonstrating you have 'consulted' or issued a series of 'warnings' to the employee. Dismissal for absence is rarely straightforward and it is strongly recommended that you take advice about any specific situation to ensure fairness. With long term sickness you have to take into consideration any company sick pay as you cannot generally dismiss an employee while they still have an entitlement to payment. [ Back to Top ]



3. What is the current rate for the national minimum wage? As of October 2005 the minimum wage rates are: £4.25 per hour for workers 18 - 21 years, £5.05 per hour for workers over 21 (22 years plus).
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4. When does the minimum wage increase?
   The National Minimum Wage is reviewed annually and any increase is made in October each year.
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5. What is the normal/standard level of company sick pay?
   There is not one. Generally you will find that the larger the company the more generous the sick pay allowance (and other benefits). Sick pay may range from nil, to 6 months full pay, to 12 months full pay. Some schemes reduce the level of sick pay over time e.g. 3 months full pay and 3 months half pay. You should ensure that your sick pay scheme is clearly documented in order to manage any expectation employees may have. [ Back to Top ]



6. Can a compromise to an employment dispute be effective to prevent any further claims?
   Yes, provided the employee is advised by an authorised person e.g. a solicitor, who would normally sign the agreement.[ Back to Top ]