so the law was tempered by the experience of industrial relations practitioners. Cases will now receive a very strict legal interpretation by someone who knows nothing about the industrial context.
Are there any other changes planned affecting unfair dismissal? The Bill says tribunals can fine employers 50 per cent of any compensatory award, but no more than £5,000, if the worker’s rights have been badly breached. What this means has not yet been defined. But when the award is already likely to be low, a rogue employer might well consider getting rid of an unwanted employee cheap at £5,000 (or half that, if the penalty is paid within 21 days).
What’s the real impact on workers’ rights? This is the greatest attack ever on working people’s civil rights and will set employment relations back by many years.
A low ceiling on payouts means employers will be able to afford to fire at will – in effect, no fault dismissal. Compensation capped at a year’s median salary will mean hardship for those whose unemployment period lasts more than 12 months – as is the case for nearly a quarter of those who are unemployed.
Some employers will use fixed-term contracts of less than two years so employees never earn the right to claim for unfair dismissal. Others could split their business into mini- businesses with fewer than 10 employees each to ensure they need never fear paying out more than the lowest-capped awards.
Is there anyone who should be particularly worried? Women and ethnic-minority members may suffer disproportionately because
statistically they are less likely to have reached the two-year qualifying period.
In Unite’s view, this makes the Bill discriminatory. At the time of going to press, the government was also consulting on compensated no-fault dismissal for the micro-business sector – employers with under 10 employees.
That could impact on tens of thousands of Unite members. For example, hundreds of print shops across Britain, and thousands of community not-for-profit enterprises in London alone, employ fewer than 10 employees.
How are the changes being justified? Ministers argue that if it’s easier to ‘let people go’ it’s also easier to take them on, creating labour market flexibility, but these are desperate and hopeless measures. Economically resilient nations like Germany don’t have hire- and-fire industrial relations. Bank of England Governor Mervyn King has warned that stripping away basic employment rights will make no difference to economic performance.
When and in what form will the Bill become law? It will probably have to receive Royal assent within roughly a year, so implementation could be in April 2014. There seems little likelihood that the unfair dismissal element will be significantly watered down.
What is Unite doing to help members with the problems they may now face? Unite has been working to get MPs to oppose the government moves as they pass through Parliament, and is seeking ways to challenge the legislation and to ensure at the very least its worst effects are watered down. It’s also planning ahead for when the legislation is enacted, to maximise the advantages of being a Unite member.
Want to find out more? Visit
www.stopemploymentwrongs.org.uk 25 uniteWORKS July/August 2012
Is there any training for Unite reps with regard to the new laws? We are keeping reps aware of these disastrous changes as things are developing, and they will certainly be trained appropriately in relation to the new landscape which comes in from April 2013 or 2014.
What should members or reps do if they have an unfair dismissal problem? Members should always refer to their local Unite rep in the first instance who will contact the regional officer for advice on whether to launch a claim with the tribunal or otherwise. The Act will not be retrospective, so it will only affect dismissals from when it becomes law.
Dole-rous times – new laws will make it easier for bosses to send workers to the dole office
Timm Sonnenschein/
reportdigital.co.uk
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