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Industry News

Dismissal

April 2009


DISMISSING SHORT-SERVICE EMPLOYEES

You can usually dismiss an employee with less than one year’s service without the fear of an unfair dismissal claim.  But now that the statutory procedures have gone should you handle these dismissals any differently.

How do we approach it?

Occasionally, you may recruit someone only to find that they really are not right for your business.  Yet, irrespective of the reasons for this, they should be managed out of your organisation before they complete one year’s service,  If not, they will gain legal protection against unfair dismissal.

Old way

Where the old statutory disciplinary and dismissal procedures were concerned short-service employees had some limited protection.  But as you know, they have now been consigned to history.  So how should you now approach dismissals for these employees?

New procedures

On April 6 2009 the long awaited ACAS Code of Practice (the Code) replaced the statutory procedures.  Rather helpfully, it allows you to adapt your existing procedures to fit your business.

Minimum

The Code actually mirrors the old statutory process that you will already be familiar with.  Therefore, when dismissing short-service employees you will still need to:
•    Investigate
•    Write to the employee setting out the nature of the disciplinary issue
•    Meet with them and
•    Offer the right of appeal

Tip.  As long as your procedure is fair, you can reduce the time period for dealing with disciplinary issues for those with less than a year’s service.

Maximise probation

If you are having problems with a new employee, the time to deal with it is during their probation period,  So don’t just treat probation as a formality – use it to closely monitor their progress.  If there are any concerns, deal with them informally first; this is a requirement under the new Code. Explain what the problem is and set out in writing what must be done to improve and by when.

Tip 1. Under the new Code, fairness is vital.  If any support or training is necessary, you should provide it.  If the employee still does not improve, then follow your disciplinary process.

Tip 2. User shorter notice periods during probation periods, e.g. one week.  Even though you must go through a fair disciplinary and dismissal process, you can dismiss more quickly; particularly if you retain the right to pay in lieu of notice.

Act promptly

Under the new Code, you will still need to be careful to avoid an employee accruing a year’s service.  So deal with any shortcomings quickly.

Tip.  Always be objective with your reasons for dismissal, clearly link it to a specific problem and make sure you have evidence to back it up.  Avoid using grounds which are more subjective, such as personality clashes, unless they are sufficiently serious.  And give written reasons for dismissal.

The good news is that you now only have to follow a fair process when dismissing short-serving employees.  You can now adopt a shorter disciplinary and dismissal procedure for those with less than a year’s service, particularly during probation periods, e.g. a conduct issue should take no longer than a week.

Source: Tips & Advice Personnel April 20 2009



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