As an employer, you may occasionally need to make changes to your employees’ contracts to accommodate business needs, changes in the law, or evolving working practices. But how do you know when consultation is necessary? Understanding the legal framework around contract changes is crucial, as failure to follow the proper procedures can lead to disputes, legal claims, or even claims for unfair dismissal.

In this article, I’ll explain when you need to consult employees before making changes to their contracts and provide real-world scenarios.

What is a Contractual Change?

A contract of employment is an agreement between the employer and employee that outlines the terms and conditions of their employment. These terms can cover areas such as salary, job role, hours of work and benefits.

When you wish to change one of these terms—particularly a fundamental or core element like salary or working hours—it’s essential to consider the need for consultation.

When Consultation is NOT Required

Not all changes to employment contracts require formal consultation. Here are a few scenarios where consultation may not be necessary:

1. Minor Changes — If the change is not significant and it does not affect the fundamental terms of the contract, consultation is generally not required. For instance, an employer might alter a relatively minor aspect of the working relationship, such as an internal policy or an office layout, without needing to consult employees directly.

2. Example: Changing the Payment Date — A recent client I worked with wanted to change their employees’ pay date from the 15th of the month to the 28th of the month. This change, while potentially inconvenient, did not fundamentally alter the terms of employment. Employees were still being paid the same amount and no other significant terms of their employment were being altered. Therefore, no formal consultation was required. The employer simply notified employees of the change well in advance and the change was made without any legal challenges.

As a rule of thumb, as long as the fundamental nature of the employment contract remains unchanged and the change does not affect employees’ rights or pay in a way that creates a real disadvantage, no consultation is necessary.

When Consultation is REQUIRED

However, there are several situations where consultation is legally required, particularly if the proposed change will:

1. Significantly Alter the Terms of Employment — Changes that directly affect the core terms of employment—such as salary, hours of work, or job duties—will usually require consultation. In these instances, you must engage with employees to discuss the changes and allow them to express their views.

2. Potentially Cause a Substantial Change to Working Conditions — A substantial change to working conditions could involve the relocation of the workplace, a change in working hours, or changes to remuneration or benefits. These changes are likely to affect the employee’s working life and need to be discussed before implementation.

3. Example: Changing Working Hours or Location — Let’s say you want to change employees’ working hours or move them to a different location, for instance, asking employees to start working at a new office location that is significantly further from their current place of work. In this case, consultation is required to discuss the change, address any concerns employees may have and explore potential solutions, such as providing relocation assistance.

4. Changes to Pay and Benefits — Any changes to an employee’s pay—whether it be reducing salary, changing commission structures, or altering bonuses—would typically require consultation. A decision to reduce an employee’s pay without agreement could lead to a claim for constructive dismissal.

5. Redundancy or Re-structuring — In cases where you are considering redundancies or major restructuring, you must consult employees (or their representatives) about the changes. The consultation must be meaningful and occur within a statutory timeframe, generally at least 30 days before any redundancies are made if 20 or more employees are affected. If the changes to the workforce structure lead to a significant impact on employees’ terms, consultation is required.

How Should You Consult Employees?

The law requires that consultation be fair and meaningful. It’s important to keep the following in mind when engaging in a consultation process:

• Provide Clear Information: Let employees know the reasons for the change and how it will affect them.
• Allow for Dialogue: Offer employees the chance to express their views, ask questions and raise concerns.
• Consider Alternatives: Be open to negotiating alternative solutions that may mitigate the impact on employees.
• Timeframe: Give enough time for employees to consider the proposed changes and provide feedback.

Communication is Key

Knowing when consultation is required for changes to contracts is an essential aspect of managing employment law obligations. While not all contract changes require formal consultation, any change that could significantly affect employees’ pay, working conditions, or job security should trigger a dialogue. This ensures that changes are made in a way that is legally compliant and, more importantly, fair to your workforce.

If you’re unsure whether a specific change to your employees’ contracts requires consultation, it’s always best to seek legal advice. This will not only protect your business from potential legal challenges but will also foster a more positive and transparent relationship with your employees.

If you’d like to discuss how we can assist with your employment contracts, please contact our Employment Law team on 01604 936512 / 01908 953674 or email employment@franklins-sols.co.uk.

As an employer, having clear and well-drafted employment policies is essential to ensuring a compliant and well-functioning workplace. However, many businesses struggle to determine which policies are legally required and which are simply good practice.

In the UK, there are certain employment policies that every employer must have in place, alongside others that, while not legally required, are highly recommended to protect both the business and its employees. In this article, I’ll break down the policies you must have and those you should consider.

Legally Required Employment Policies

Disciplinary and Grievance Procedures: Under the Employment Rights Act 1996 and the ACAS Code of Practice, all employers must provide written disciplinary and grievance procedures. These should outline how workplace issues will be addressed and resolved fairly.

If your business has five or more employees, you are legally required to have a written health and safety policy under the Health and Safety at Work Act 1974.

Privacy and Data Protection Policy: With the UK General Data Protection Regulation (UK GDPR) and Data Protection Act 2018 in place, businesses must inform employees how their personal data is collected, stored and used.

Equal Opportunities Policy: While not strictly mandatory, having a written policy demonstrating compliance with the Equality Act 2010 can help mitigate the risk of discrimination claims.

Workplace Pension Policy: If you have employees eligible for automatic enrolment into a workplace pension scheme, you must provide information on pension entitlements and contributions.

Recommended Employment Policies

Sickness and Absence Policy: Clarifying how employees should report sickness and how absence is managed can help reduce disruptions and ensure fairness.

Flexible Working Policy: Since employees have a statutory right to request flexible working, setting out a clear process for handling requests can ensure consistency.

IT and Social Media Policy: Given the increasing reliance on technology, guidelines on the use of company IT systems, email and social media can protect business interests and prevent reputational risks.

Anti-Bullying and Harassment Policy: While the law prohibits workplace harassment, a separate policy can reinforce expectations around behaviour and provide clear reporting mechanisms.

Remote and Hybrid Working Policy: With changing working patterns, a policy setting out expectations for remote and hybrid workers can help maintain productivity and accountability.

Training and Development Policy: Investing in employee growth can help attract and retain talent and a structured policy ensures clarity on available opportunities.

Whistleblowing Policy: Encouraging a culture of transparency and compliance, a whistleblowing policy provides employees with a framework to report wrongdoing safely.

Keeping Your Policies Up to Date

Employment law is constantly evolving and so should your policies. Regularly reviewing and updating your policies ensures they remain compliant and relevant to your business needs. Additionally, it is crucial that employees are aware of these policies and have easy access to them – whether through an employee handbook or an online portal.

A Transparent Workplace

Having the right employment policies in place not only ensures legal compliance but also fosters a fair, transparent and well-organised workplace. If you’re unsure whether your policies meet current requirements or need help drafting new ones, seeking legal guidance can save your business from potential risks and disputes.

If you’d like to discuss how we can assist with your employment policies, please contact our Employment Law team on 01604 936512 / 01908 953674 or email info@franklins-sols.co.uk.

As an employer, there may be times when you need to make changes to your employees’ contracts of employment. Whether you are looking to update terms related to working hours, pay, job responsibilities, or benefits, it is essential to tread carefully to avoid legal pitfalls. Changes to employment contracts, if not handled properly, can lead to disputes, grievances and even claims of constructive dismissal. Here’s a legal guide on how to go about making changes to employment contracts.

Understand the Legal Framework

Under UK employment law, an employment contract is an agreement between the employer and employee, outlining terms and conditions of employment. These terms can be written, verbal, or implied and are legally binding. The key point to remember is that employers cannot independently change an employee’s contract without their consent, unless the employment contract explicitly allows for such changes.

Changes to a contract can be made in a few ways:

• Agreement between both parties: The most straightforward way to amend a contract is by mutual agreement.
• Variation clauses: Some contracts include a “variation clause,” which may allow the employer to make certain changes without the employee’s express consent. However, these clauses must be clear and reasonable.
• Implied variation: Over time, the nature of an employee’s work or working conditions may change in practice. However, for such changes to be legally binding, the change must be accepted and agreed upon, either verbally or through conduct.

Consultation and Communication

The first step when considering making changes to an employee’s contract is to communicate your intentions clearly. Even if the changes seem reasonable or are in line with business needs, you should consult with employees to discuss the proposed changes. This is especially crucial for significant alterations, such as changes to pay, working hours, or job duties.

Employers are legally required to provide employees with a written statement of changes within one month of a variation to terms and conditions. Depending on the nature of the change, you may be required to provide a formal contract update or a separate letter of variation.

Obtaining Consent

If the proposed changes are substantial, you will need to seek the employee’s consent. While it is often good practice to get this in writing, consent can also be implied in some situations (for example, if the employee continues to work under the new terms without objection). However, if an employee refuses to agree to the changes, you will need to assess your options carefully.

If consent is not given, an employer could face legal consequences, including:

• Constructive dismissal: If an employer imposes significant changes without consent and the employee resigns, they may claim constructive dismissal.
• Breach of contract: Unilateral changes to the terms of the contract could be deemed a breach of contract, leading to potential legal action for damages.

Consideration of Employee Rights

It is essential to take into account any employee protections before making changes.

For example: if the changes result in a reduction in pay or benefits, this may amount to a fundamental breach of the contract.

Changes that adversely affect an employee’s working hours or location might also be seen as unreasonable or disruptive, especially if these terms were negotiated when the contract was first signed.

If an employee is part of a protected group (e.g., on maternity leave or with long-term illness), special considerations or protections may apply.

Alternatives to Changing the Contract

If employees are unwilling to accept the changes and a mutual agreement seems difficult to reach, consider alternative approaches:

• Consulting via a works council or trade union: If there is a union or works council in place, engaging them in discussions about the changes could lead to a smoother process.
• Redundancy: In extreme cases, if the changes are fundamental to the role, you may need to consider whether redundancy is an option, though this must be approached carefully, following appropriate consultation and providing redundancy payments where required.

Document Everything

Throughout the process, it is important to document all discussions and agreements in writing. Keep records of any consultation meetings, emails, or letters, as this could be essential if disputes arise later. If changes are agreed, ensure that these are clearly outlined in an updated contract or a written statement of employment particulars.

Special Considerations for Collective Agreements

If your business is governed by a collective agreement (for example, one negotiated with a trade union), any changes to the employment terms might require negotiation with the union representatives. This means that you could be subject to collective bargaining rules and independent changes without consultation may not be legally permissible.

Communication and Consent Are Key

Making changes to an employee’s contract should never be taken lightly. While businesses often need to adapt to changing circumstances, employers must ensure that any modifications comply with the law and respect employee rights. Open communication, obtaining consent and following due processes are key steps to minimise the risk of legal complications.

If you are unsure about how to proceed or if you’re facing resistance from employees, it’s advisable to seek legal advice from an employment solicitor to guide you through the process. By handling contract changes correctly, you can protect both your business and your workforce, ensuring a positive and compliant working environment.

If you are an employer looking to amend employment contracts and need expert advice, please don’t hesitate to get in touch with us at Franklins Solicitors. We specialise in employment law and are here to help you with all legal aspects of managing your workforce.

You can contact Employment Law team here or call 01604 936512 / 01908 953674 or email info@franklins-sols.co.uk.

As an employment lawyer I often see employers inadvertently making errors in their employment contracts that could lead to costly disputes down the line. Employment contracts are the foundation of the employer-employee relationship and ensuring they are accurate, comprehensive and legally compliant is critical for protecting your business. Below, I’ve outlined some of the most common mistakes and provide practical tips on how to avoid them.

1. Failing to Provide a Written Statement of Employment Terms

Under UK law, employers are required to provide employees with a written statement of particulars of employment by the first day of work. This statement must include key information, such as:

• Job title and description
• Start date and continuous service date
• Hours of work
• Pay and benefits
• Notice periods

How to avoid this mistake: Make it a standard practice to issue a comprehensive written contract to every new employee before their start date. Consider using a checklist to ensure all required terms are included.

2. Using Generic or Outdated Templates

Employment laws and business needs evolve over time. Relying on generic templates or contracts drafted years ago can lead to non-compliance with current legislation or insufficient coverage of important clauses.

How to avoid this mistake: Regularly review and update your employment contracts to reflect changes in law and your specific business requirements. Engaging an employment lawyer to tailor your contracts ensures they are both compliant and fit for purpose.

3. Overlooking Key Clauses

Some employers miss vital clauses that could protect their business, such as:

• Confidentiality clauses: To safeguard sensitive information.
• Restrictive covenants: To prevent employees from poaching clients or joining competitors after leaving.
• Intellectual property rights: To clarify ownership of work created during employment.

How to avoid this mistake: Identify the risks specific to your business and incorporate clauses that mitigate them. A bespoke contract drafted by a legal professional will address these areas comprehensively.

4. Ambiguities in Terms and Conditions

Vague or poorly drafted terms can create uncertainty and lead to disputes. For instance, unclear wording about bonus entitlements or working hours can result in misunderstandings.

How to avoid this mistake: Ensure that all terms are clear, precise and unambiguous. Seek legal advice if you’re unsure how to phrase a particular clause.

5. Not Accounting for Changes in Employment Terms

Businesses evolve and so do employee roles. Failing to update contracts to reflect changes in job duties, salary, or working hours can result in breaches of contract.

How to avoid this mistake: Establish a process for reviewing and updating employment contracts whenever there are significant changes. Obtain the employee’s written agreement to any amendments.

6. Ignoring Statutory Rights and Minimums

Some employers inadvertently breach statutory requirements, such as failing to provide the minimum notice period or holiday entitlement.

How to avoid this mistake: Familiarise yourself with the statutory requirements under UK law and ensure your contracts meet or exceed these minimums. Legal advice can help ensure compliance.

7. Overlooking Probation Periods

Including a probation period in employment contracts allows you to assess an employee’s suitability for the role. However, some employers either omit this clause or fail to detail its terms, such as the length of the probation period and notice requirements during this time.

How to avoid this mistake: Clearly outline the terms of the probation period, including how performance will be assessed and what happens at the end of the probation.

8. Protect Your Interests

Employment contracts are not just legal documents; they are tools to manage expectations and protect your business interests. By avoiding these common mistakes and seeking professional advice, you can reduce the risk of disputes and create a solid foundation for a productive employment relationship.

If you’re unsure about your existing contracts or need help drafting new ones, our team at Franklins Solicitors is here to help.

Please contact our Employment Law team on 01604 936512 / 01908 953674 or email info@franklins-sols.co.uk.

Work Christmas Parties – How to Celebrate Safely and Responsibly

Christmas is a magical and happy time of year for many and a work Christmas party offers the chance to spend time with colleagues in a more relaxed setting. However, the mix of a festive atmosphere and alcohol can sometimes lead to inappropriate behaviour that impacts employee wellbeing or the company’s reputation.

Consider Everyone’s Comfort

Not all employees will feel comfortable attending an alcohol-fuelled event. For some, this can trigger anxiety or negatively affect their mental health. Others may choose not to attend for religious reasons. It’s important that attendance is optional and that no employee feels pressured to take part.

Keep the Conversation Professional

Workplace topics like salary, performance reviews or promotions should never be discussed at a Christmas party. Senior managers, in particular, should lead by example and uphold professional standards.

Watch Out for Gossip and Reputational Risk

Parties can sometimes lead to gossip or situations that harm employee relationships or workplace culture. Employers should be mindful of how post-party chatter can affect team dynamics.

Employers Can Be Held Responsible

Even if a party is off-site, it can still be seen as an extension of the workplace. Employers may be vicariously liable for employee misconduct if the actions are closely connected to their job. This means any mistreatment or inappropriate behaviour at a party can result in legal or disciplinary consequences.

Handling Inappropriate Behaviour

If an employee behaves inappropriately, they should be asked to leave the event. A meeting should be arranged for the next working day to address their conduct formally and fairly.

Have Clear Policies in Place

Employers should implement and communicate clear behaviour policies ahead of the party. These should include expected conduct and the consequences of breaching those expectations. Reminding employees of the rules in advance can help prevent incidents and strengthen disciplinary outcomes if needed.

Alcohol, Drugs and Disciplinary Risk

Employees may face investigation or disciplinary action if they are suspected of being under the influence or engaging in misconduct during the event.

Watch Out for Legal Risks

Christmas parties come with risks including harassment, misconduct, absenteeism, religious discrimination and even potential unfair dismissal claims. Employers should prepare and plan to minimise these issues.

Drink Driving After the Party

Aside from the obvious advice—don’t drink and drive—employers can support safe choices by organising transport or offering accommodation near the venue. Remind employees to plan their journey home in advance if they intend to drink.

Dealing with Absenteeism

If your party is held midweek, be aware of the risk of no-shows the next day. Employers should remind staff of their obligations to be fit for work and punctual. If employees are late or absent without authorisation and if the employment contract allows, deductions from pay may be made.

Striking the Right Balance

Christmas parties should be enjoyable but they must be approached with the right mix of celebration and accountability. By reminding employees of your expectations and having consistent policies in place, you can help ensure the event is festive and drama-free.

If you require any advice on your employment matters, please contact our Employment Law team on 01604 936512 / 01908 953674 or email info@franklins-sols.co.uk.

Employment Tribunal FAQs: What to Expect When Bringing a Claim

This guide covers some of the most frequently asked questions our Employment Law team receives—particularly around attending an Employment Tribunal or considering whether to bring a claim. Whether you’re an employee or employer, understanding the process can help you feel more prepared and informed.

What are Employment Tribunals?

Employment Tribunals are independent legal bodies that resolve disputes between employees and employers over employment rights. This includes claims involving unfair dismissal, discrimination, redundancy, and breaches of contract.

What is it like at an Employment Tribunal?

Tribunals are formal hearings but they are generally less intimidating than traditional courts. Your case will be heard by an employment judge and sometimes two panel members with relevant expertise. Both sides will present evidence, question witnesses and make legal arguments before the judge makes a decision.

When do I have to make a claim to an Employment Tribunal?

Claims must be submitted within strict time limits known as the limitation period. This is typically 3 months less one day from the date of dismissal or the act you’re complaining about. Missing the deadline could result in your claim being rejected. Always seek legal advice early to avoid delay.

How long will it take to get to a hearing?

The timeframe varies based on the complexity of your case and how busy the Tribunal is. Simpler claims may reach a hearing in a few months, while more complex cases may take over a year. Legal advice can help provide a realistic timescale.

What do I need to do before the Employment Tribunal?

Before submitting a claim, it’s often best to try to resolve the dispute informally or through your employer’s grievance procedure. Most claims must go through ACAS Early Conciliation first—a free service that offers a chance to settle without going to Tribunal.

If conciliation doesn’t resolve the issue, ACAS will issue a certificate that allows you to proceed with your claim. Once the claim is lodged, the Tribunal will usually set a case management hearing to establish deadlines, including for submitting documents and witness statements.

It is essential to comply with the Tribunal’s directions. You should also gather relevant evidence (emails, contracts, witness statements, etc.) to support your case. The Claimant (usually the employee) bears the burden of proof and must show their employment rights were breached.

Can I represent myself and what will I need to do?

Yes, you can represent yourself. However, Employment Tribunal procedures and employment law can be complex, so legal support is highly recommended. You’ll need to prepare thoroughly: collect evidence, understand the legal basis for your claim and be ready to question witnesses and present your case.

How do I answer questions during cross-examination?

Be honest, clear and calm. Listen carefully to the question and don’t rush your answer. If you don’t understand or aren’t sure, it’s okay to say so. Staying composed under questioning can strengthen your credibility.

How much compensation can an Employment Tribunal award?

Awards vary based on the case and losses suffered. Compensation may include:

1. 1. • Loss of earnings
      • Future loss of earnings
      • Injury to feelings (in discrimination cases)
      • Other financial losses (e.g., job search costs)

There are statutory caps in some types of claims, so speak to a solicitor for a more accurate estimate.

Will I have to pay the other party’s costs?

Generally, each side pays their own legal costs. However, costs can be awarded if a claim or defence is found to be vexatious, abusive, or wholly without merit. This is rare but worth considering when deciding how to proceed.

What can I do if I am not happy with the decision?

If you disagree with the Tribunal’s judgment, you may be able to appeal to the Employment Appeal Tribunal. Appeals can only be made on points of law, not just because you disagree with the outcome. Seek legal advice before deciding to appeal.

Need Legal Advice?

If you’re considering making a claim or need guidance on your employment rights, our experienced Employment Law team is here to help.

Contact us on 01604 936512 / 01908 953674 or email info@franklins-sols.co.uk.

The UK Employment Bill: A Landmark Reform in Workers’ Rights and Employer Responsibilities

The UK Employment Bill, announced as a transformative piece of legislation, is poised to reshape the employment landscape by strengthening workers’ rights and redefining employer responsibilities. First anticipated in the 2019 Queen’s Speech, this long-awaited legislation represents the most significant overhaul of employment law in decades. Below is a closer look at the bill’s key provisions, its implications and what it means for the future of work in the UK.

Key Provisions of the Employment Bill

Day-One Employment Rights: The bill proposes extending protection from unfair dismissal to begin from an employee’s first day of employment. This measure is intended to ensure that new employees are not terminated without just cause, enhancing job security from the outset.

Flexible Working as Default: A core feature of the bill is the shift to make flexible working the default. Employees will be entitled to request flexible working arrangements—such as remote work or adjusted hours—from day one of employment. This change supports a modern workforce that increasingly values work-life balance.

Enhanced Redundancy Protections for New Parents: Pregnant employees and new parents will benefit from extended protection against redundancy. This provision seeks to protect job security during critical life events such as pregnancy, maternity and parental leave.

Statutory Leave for Carers: For the first time, employees who are unpaid carers will have the legal right to one week’s unpaid leave per year. This acknowledges the essential role of carers and offers necessary support for balancing work and caregiving duties.

Fair Distribution of Tips and Service Charges: Employers will be legally required to pass 100% of tips and service charges directly to staff. This addresses ongoing concerns in the hospitality sector and aims to ensure fair remuneration for workers.

Clarification of Worker Status: The bill seeks to provide legal clarity regarding employment status, distinguishing between employees, workers and self-employed individuals. This reform is especially critical in the gig economy, where the ambiguity has led to inconsistent rights and protections.

Regulation of Zero-Hours Contracts: New measures will regulate the use of zero-hours contracts, including granting workers the right to request a more predictable and stable work pattern after 26 weeks of service. This provision aims to improve job security for those in precarious employment.

Ending ‘Fire and Rehire’ Practices: The bill proposes replacing the previous statutory code on ‘fire and rehire’—which has been criticised as inadequate—with robust legal protections. The goal is to prevent employers from pressuring employees into accepting less favourable terms under the threat of dismissal.

Draft Equality (Race and Disability) Bill

To complement the Employment Bill, the Draft Equality (Race and Disability) Bill underscores the government’s commitment to workplace equality. It aims to:

• Strengthen protections against race and disability discrimination
• Address systemic inequalities
• Promote diversity and inclusion across all employment sectors

A notable measure includes mandatory ethnicity and disability pay gap reporting for employers with more than 250 employees—mirroring the existing gender pay gap reporting requirement. This change seeks to drive transparency and accountability in pay equity.

Implications for Employers and Employees

For Employers: The Employment Bill requires employers to review and update their HR policies, contracts and workplace practices. Key areas of focus include:

• Implementing flexible working processes
• Ensuring redundancy protections for vulnerable employees
• Adopting fair tip distribution systems
• Preparing for compliance with new reporting requirements

Proactive planning and legal consultation will be essential to remain compliant and avoid future disputes.

For Employees: Workers can expect a more secure and equitable work environment. The bill empowers employees with:

• Immediate protection from unfair dismissal
• More flexible working options
• Clarity on employment status
• Enhanced protections during vulnerable life stages

Timeline for Implementation

The new Labour government is expected to introduce the Employment Bill to Parliament within the first 100 days of taking office. The final draft is anticipated to be laid before Parliament by October 2024, with implementation expected by October 2025 or April 2026.

Conclusion

The UK Employment Bill marks a progressive shift in employment law, designed to reflect the evolving dynamics of the modern workforce. By enhancing flexibility, strengthening protections and promoting inclusivity, the legislation paves the way for a more just and resilient employment framework.

Employers and HR professionals should begin preparing now to align their policies with these anticipated changes. Employees, on the other hand, can look forward to greater fairness, transparency and support in the workplace.