Economic recovery ‘has employment law implications’

Posted 16/11/2009

Businesses have been reminded of the need to bear employment law responsibilities in mind as they look to restructure during the economic recovery.

Human resources publication XpertHR has stated that the improving financial climate is leading many firms to increase their business activity, including hiring staff in positions to make up for recent redundancies.

However, firms were warned to ensure they can prove that both the initial redundancy and subsequent rehiring are justifiable, as failure to do so could lead to an unfair dismissal claim.

Companies were also cautioned against working employees too hard to make up for a depleted workforce, as doing so could contravene the Working Time Regulations of 1988.

The advice site stated that proper care over such matters would reduce the chance of encountering “legal pitfalls”.

Figures released by the Tribunals Service recently indicated that unfair dismissal cases in Britain have increased by 30 per cent in the last year as a result of redundancies made during the recession.