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2013: A Year in Perspective

Meredith Hurst Thursday, January 16, 2014

2013 has been an interesting year for employment lawyers.  The Coalition government has introduced a raft of new legislation which has been welcome to some and less to others. Employment law tends to change with each success of government and not unlike fashion, trends that some people may have hoped would never reappear, come back.  We now of course have a two year continuous service threshold for claiming unfair dismissal.  The last time we saw this was in 1999. January 2013...

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Employment Appeal Tribunal Considers Wrongful Dismissal

Meredith Hurst Wednesday, January 15, 2014

The Employment Appeal Tribunal has held that a teacher employed by a community school was wrongfully dismissed when a local authority sent her a letter informing her of the decision of the board of governors of the school to terminate her employment. The letter arrived too late to give the teacher the period of notice required under her contract with the consequence that the teacher was entitled to a payment in respect of the full notice period under her contract (Birmingham City Council v...

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Managing Employee Sickness Absence

Meredith Hurst Wednesday, January 15, 2014

Employee sickness absence is something which nearly every employer, no matter what its size, may encounter at some point. It can become a serious problem for an organisation if not properly managed and it is essential that employers know what their legal rights and obligations when dealing with sickness absence. Two recent Court decisions have provided useful guidance on what employers should do to ensure that they act lawfully when dismissing an employee on the ground of sickness absence....

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HMRC consults on tackling false self-employment

Meredith Hurst Monday, December 16, 2013

In order to obtain the preferential tax treatment of being self employed, an agency worker will often set up their own limited company (often referred to as a 'personal service company'). They are commonly the only employee of the company. By providing a service through a limited company an individual can avoid paying national insurance contributions by taking earnings as 'dividends' rather than salary.  The Company then pays corporation tax on the dividends. Personal service companies...

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Should holiday pay include commission?

Meredith Hurst Monday, December 16, 2013

Advocate General Bot has given his opinion on how to calculate the holiday pay of workers whose remuneration is made up of a fixed component and a regular variable component. In the case referred, Mr Lock was paid a basic salary and regular commission payments for sales achieved in the previous period. The Advocate General considered that holiday pay of workers should comprise both their basic salary and an amount that reflects the commission, or other regular variable component, previously...

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