Employment Law FAQS (employers)

Employers are required to provide employees and workers with a written statement of particulars from the first day of employment. This must include key information such as pay, hours of work, place of work, holiday entitlement, notice periods, job title and other prescribed terms.

Many employers choose to go beyond the statutory minimum by issuing a comprehensive Contract of Employment, which can also include provisions covering confidentiality, intellectual property, post-termination restrictions, disciplinary procedures and other important contractual terms.

Well-drafted workplace policies help employers manage staff consistently and reduce legal risk. While some policies are legally required or strongly recommended, others reflect good practice.

Common policies include disciplinary and grievance procedures, equality and diversity, anti-harassment and bullying, family leave, sickness absence, flexible working, data protection, social media and health and safety.

Policies should be reviewed regularly to ensure they remain legally compliant and reflect the needs of the business.

Restrictive covenants, such as non-compete, non-solicitation and confidentiality clauses, can be enforceable where they are designed to protect a legitimate business interest and go no further than is reasonably necessary.

The courts will carefully scrutinise these clauses, taking into account factors such as the employee’s seniority, the nature of the business and the length and geographical scope of the restriction.

Poorly drafted or overly restrictive clauses are unlikely to be enforceable.

Restrictive covenants should be reviewed whenever an employee changes role, receives a promotion, or takes on additional responsibilities.

Clauses that were reasonable when employment began may no longer provide adequate protection as the employee’s role develops.

Regular reviews help ensure restrictions remain appropriate and enforceable.

Yes. Confidentiality clauses can protect trade secrets and other confidential business information both during employment and after it ends.

However, confidentiality clauses cannot prevent employees from making protected disclosures under whistleblowing legislation, and they should be carefully drafted to distinguish genuinely confidential information from general knowledge and experience.

Performance concerns should be addressed promptly and consistently. Employers should identify the areas where performance is falling short, explain the standards expected and provide employees with reasonable support and an opportunity to improve.

Where informal management is unsuccessful, employers should follow a formal capability procedure, setting clear objectives, review periods and the potential consequences if performance does not improve.

Poor performance is generally managed through a capability procedure, whereas misconduct is dealt with under a disciplinary procedure.

It is important to distinguish between an employee who is unable to perform to the required standard and one who is unwilling to follow workplace rules, as different procedures will normally apply.

Potentially, yes. However, employers should normally only dismiss after following a fair capability process, giving the employee a reasonable opportunity to improve and considering any relevant mitigating circumstances, including whether a disability may be affecting performance.

A fair process is essential to reduce the risk of unfair dismissal or discrimination claims.

Grievances should be taken seriously and dealt with promptly, fairly and consistently.

Employers should investigate the issues raised, meet with the employee to discuss their concerns, and communicate the outcome in writing. Employees should also be given the opportunity to appeal the decision where appropriate.

Following a fair grievance procedure can often resolve workplace disputes before they escalate.

Most grievances will require some level of investigation, although the extend of the investigation will depend on the nature and seriousness of the concerns raised.

Employers should ensure investigations are proportionate, impartial and properly documented.

Failing to deal with grievances appropriately can damage employee relations and increase the risk of Employment Tribunal claims, including constructive dismissal and discrimination claims in appropriate cases.

Employers should therefore ensure grievances are addressed without unreasonable delay.

A fair redundancy process involves identifying a genuine redundancy situation, consulting with affected employees, applying fair and objective selection criteria where required, considering suitable alternative employment and giving appropriate notice before any dismissals take effect.

The process should be carefully planned and documented throughout.

Collective consultation obligations generally arise where an employer proposes to dismiss 20 or more employees as redundant at one establishment within a period of 90 days.

In these circumstances, employers must consult appropriate employee representatives and comply within minimum statutory consultation periods before dismissals take effect.

Failure to comply can result in significant financial penalties.

Employers should ensure that redundancies are genuine, consultation is meaningful, selection criteria are objective and consistent, and suitable alternative roles are properly considered.

Maintaining clear records throughout the process will also help demonstrate that a fair procedure has been followed.

The Transfer of Undertakings (Protection of Employment) Regulations 2006 (TUPE) may apply when a business, or part of a business, is sold to another employer and retains its identity after the transfer.

TUPE can also apply to certain service provision charges, such as outsourcing, bringing services back in-house or changing one service provider for another.

Whether TUPE applies depends on the specific circumstances of each transaction.

Where TUPE applies, employees assigned to the transferring business generally transfer automatically to the new employer on their existing terms and conditions.

Employers are also required to inform, and where appropriate, consult with affected employees or their representatives before the transfer takes place.

Both the outgoing and incoming employer have responsibilities under TUPE are carefully planning is essential to ensure compliance.

Employees have the right to object to transferring to the new employer.

Where an employee objects, their employment will usually terminate under the transfer date without dismissal. In most cases, they will not be entitled to redundancy pay or unfair dismissal compensation unless the objection arises because the transfer involves a substantial detrimental change to their working conditions.

Employers should seek legal advice where employees raise objections before a transfer, as the legal consequences can vary depending on the circumstances.