As to be expected, employment law is constantly evolving to better reflect the reality of the working world. It is crucial for both employers and employees alike to remain up to date with these changes, to prevent any unwanted claims at an employment tribunal.
This article will highlight some of the major changes to employment law that may be coming soon, and what this will mean.
Changes to the distribution of tips
The first change that may be coming is to the way in which an employer must distribute tips in the workplace.
There has previously been much contention surrounding tipping within the hospitality industry; many have raised concerns over who will be receiving tips – the intended recipient, or their manager.
A new law and code of practice (CoP) will address these concerns, however.
As of Tuesday 1 October 2024, the Code of practice on fair and transparent distribution of tips came into force. The purpose of this code of practice is to promote fairness and transparency in the distribution of tips; whilst it doesn’t explicitly set out how an employer should go about doing this, the code provides “overarching principles on what fairness is”, and the areas in which employers need to make decisions to comply with their duties.
Under the new Code, employers are encouraged to maintain a written policy and keep track of how tips are managed; this record should then be made accessible to all workers. Furthermore, employers are now required to pass all tips and service charges to workers without any deductions, except in very limited circumstances, such as to deduct income tax.
Right to request more predictable working
In September 2023, The Workers (Predictable Terms and Conditions) Act came into force.
The purpose of this Act is to address one-sided flexibility between workers and their employer and to promote job security and reliability.
This new legislation enables workers and agency workers the right to request a change in the terms and conditions of their employment, provided that the following conditions are satisfied:
- There is currently a lack of predictability in relation to the work that the worker does for the employer;
- The requested changes relate to said unpredictability; and
- The purpose of the worker’s application for a change is to gain a more predictable working pattern.
According to the statute, workers should make this request in writing, and clearly outline the purpose of the request; each worker will be able to make a request for more predictable working up to twice in one year.
Reasonable steps to prevent sexual harassment
As of 26 October 2024, a new and interesting law surrounding sexual harassment came into force.
The Worker Protection (Amendment of Equality Act 2010) Act 2023 will amend the existing 2010 Equality Act to place a duty upon employers to take ‘reasonable steps’ to prevent the sexual harassment of their employees. An amendment to make employers take all reasonable steps was rejected. Any non-compliance with this legislation will give employment tribunals the power to raise sexual harassment compensation by up to 25%.
So, what constitutes ‘reasonable steps’?
At this point in time, there is no specific guidance as to what qualifies as ‘reasonable steps’, however the Equality and Human Rights Commission (EHRC) have suggested that further guidance will be published in September.
Whilst we wait for further guidance, employers may wish to consider the following:
- Have a clear, zero-tolerance policy for sexual harassment which is available to employees.
- Implement training surrounding sexual misconduct and encourage all employees to take part.
- Think about how you will handle an employee complaining of sexual harassment. What can you do to ensure they are supported throughout this process?
We are now eagerly watching to see how this new statute will develop in the coming months.
Conclusion
Overall, a number of changes have recently come into employment law. More are on the way – see this article. It’s an area of law that is constantly evolving, and Hatton James Legal will bring them to you.