8 Essential Things Every HR Manager Should Know to Avoid an Employment Tribunal:
Employment Tribunal claims are increasing steadily year on year. Not only is there an increase in the volume but also in the complexity of claims. This not only reflects the developing intricacy of the law itself but also the increased awareness of employees about their rights and remedies and a willingness to bring claims in a depressed job market.
This lethal cocktail of factors has the potential to cause significant financial difficulty to Employers, in terms of possible compensation or settlements, legal costs and wasted senior manpower. Can anything be done by Employers to neutralize or even eliminate this risk?
The sad truth is that it is too easy for an Employee to issue Tribunal proceedings. There is no issue fee to be paid, the claim can be issued on line and there is virtually no risk of costs against an unsuccessful claimant .
No matter how good you are as an Employer, no matter how fair and reasonable a dismissal may be, you may still have to face a Tribunal claim and there is nothing you can do to stop this - short of a binding compromise agreement. However, it's not all bad news as there are steps you can take which will greatly minimise the chance of a claim being brought or, if a claim is brought, will greatly enhance your prospects of defeating that claim, hopefully before it even comes to a hearing.
1. Train Managers
Quite often the repoutation of HR is only as good as the managers in the business. In reality it is the managers on the shop floor who are in the frontline of HR practice. They are the ones interacting with employees, they are the ones to whom the employees are sensitive and responsive to and they are the ones who can make or break an issue before it becomes a Tribunal claim.
Most managers know to come to HR and seek advice when there is a problem but many prefer to resolve the issue, without reference to HR, by acting on their own initiative, or say something inappropriate to an employee.
It is not the intention to paint operational managers with a broad brush or to say that all managers are the same, but managers need to be made aware of the risks they can face by undergoing effective and interactive training that requires the examination of relevant case studies and the use of role play simulations.
Policies and documents are not enough - they are not always read or comprehended by managers. If possible, managers need to be engaged in this training, not simply lectured to. The risks need to be brought home to them. An annual HR meeting could be held with managers to review the sort of HR problems that have arisen over the past year would also be beneficial.
2. Draft, propagate and use policies
There is a lot to be said for setting down and codifying HR practices - not only for disciplinary and grievance procedures, but for all aspects of the business which touch on HR. A well equipped Employer will also have policies for sickness and absence, holiday procedure, redundancy selection procedures and internet usage. It is surprising the number of employers that do not have policies, or have policies that are incomplete, out of date, or do not have a policy covering some key aspect of the business.
But the key is not only in having policies. What is just as important - in fact, more important - is that HR managers ensure that policies are made known to managers and staff and are read and understood by them. It is not infrequent to see a good set of policies drafted and then locked away, never see the light of day before some issue erupts.
3. Communicate with staff and keep them informed of any changes that could affect their working practices
Employees are often sensitive to detect a slight in something quite minor. It is amazing how apparently small issues can be blown out of all proportion in the minds of some Employees. This is particularly the case in discrimination claims. The essence of good employee relations is communication. If you communicate changes to Employees in advance, to a degree consult with them and take them into your confidence, then you will minimise the potential for misunderstandings on the part of Employees.
