The Government's response to the consultation on 'Ending the Employment Relationship' has been published, along with the launch of three further consultations (as part of its ongoing employment law review). It aims to give businesses "certainty and flexibility", whilst protecting individuals.
The Response, published 17 January 2013, recommends that a cap of twelve months pay is to be imposed on compensatory awards for unfair dismissal. This will operate alongside the general overall cap, meaning that compensatory awards will be limited to the lesser of the two.
The Response also details the Government's support of confidential settlement offers in "non-dispute" situations in unfair dismissal claims, as set out in the Enterprise and Regulatory Reform Bill. ACAS will be asked to produce a 'Statutory Code of Practice' by Summer 2013. This will include templates and accompanying Guidance, advising how protected settlement discussions will work in practice.
The full Response can be found here.
The three further consultations, launched 17 January 2013, cover:
- How 'Early Conciliation' should work in practice, requiring Claimants to notify ACAS of their prospective claim prior to lodging it with the Employment Tribunal.
- Proposals for the improvement of TUPE Regulations including the repeal of service provision change provisions from the definition of a TUPE transfer, the removal of Employee Liability Information provisions, and that TUPE consultation (which includes collective redundancies) should count for the purpose of collective redundancy consultation. It is also proposed that the wording of the TUPE Regulations will be amended to more closely reflect the wording of the Acquired Rights Directive, in relation to changes to working conditions and protection against dismissal.
- Reform of the regulatory framework for employment agencies and employment businesses: Views are sought on how best to establish a balance between Government regulation and sector regulation.
Disclaimer
The material contained in this article is of the nature of general comment only and does not give advice on any particular matter. Recipients should not act on the basis of the information in this e-update without taking appropriate professional advice upon their own particular circumstances.
