Monthly Archives: February 2014

(HR) Human Resources for Small Businesses

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When you run a small business, taking on and managing staff can be one of the hardest things to get your head around. Here are a few of the basics that you need to get right.

Employment contracts – This is the most important HR document you’ll have in your business. You’re legally obliged to provide every employee with a written statement of the terms and conditions of their employment within two months of them starting with you.

National Minimum Wage – Almost all workers in the UK aged 16 or over are legally entitled to be paid a minimum hourly amount. The rate is reviewed every year and usually increases in October. Click here for the current rates.

Holidays – All employees are entitled to a minimum amount of time off per year. For full time employees the maximum is 28 days. You can work out your employee’s holiday entitlement by clicking here. Some companies like to give their staff an extra day off on their birthday, if it falls on a working day.

Pensions – Since July 2012 changes have been brought in. Every business will have to provide eligible employees with a qualifying pension scheme and make minimum levels of contributions into it. Talk to pension providers to find out when you need to set up your scheme.

Statutory Sick Pay – When an employee is absent from work due to sickness for more than three continuous working days, they become entitled by law to receive Statutory Sick Pay.

Discipline and Grievance Process – When dealing with disciplinary and grievance situations in the workplace, you should follow the Acas Code of Practice.

Dismissal Procedure and Tribunals – Dismissing an employee is fraught with risk for employers, so you should make sure that you follow the correct procedure and take advice.

These are just a few of the things you need to know. It’s best to deal with issues before they become big problems, so if you need any more advice, please do get in touch.

How to Make Appraisals Really Easy

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Appraisals should be divided in three stages – preparation, the actual meeting and the follow up. Here’s what to focus on at each stage.

 1. Preparation

This is one of the most important stages of the appraisal process and is often missed or skipped over too quickly. You need to have facts about each employee’s performance and evidence of instances in which they have performed well or badly. This will make the appraisal constructive and meaningful.

Throughout the year, track each employee’s performance and keep a log of memorable incidents or projects they’re involved in. Look back at previous appraisal information and job descriptions to make sure they are meeting their agreed objectives.

Make sure that your employees are prepared too. Agree the date, time and place for the meeting at least two weeks in advance; brief them on the importance and scope of the meeting and what you expect from them.

2. The Meeting

Once the preparation is done, here’s how to carry out the meeting:

  • Ask open and probing questions, giving your employees the opportunity to decide how to answer; encourage them to talk freely
  • Listen to what they say without interrupting. Also watch their body language for messages
  • Evaluate performance, not personality. Focus on how well the employee does their job rather than personal characteristics
  • Give feedback based on facts not subjective opinion. Use feedback to positively reinforce the good. In the case of underperformance, use it to help the employee understand the impact of their actions or behaviour and the corrective action required
  • Set SMART objectives for the future and set a timeline for improvement if an employee is underperforming. Look also for development opportunities to help your employees reach their potential
  • Document each appraisal. Write a summary of the discussion, what was agreed and any action to be taken while it’s fresh in your mind.

3. Follow Up

Don’t just walk away at the end of the meeting, breathing a sigh of relief and forgetting about it all until next year!

Do what you say you will do. Fulfilling your promises reflects well on you and your business. If you’ve set deadlines for performance reviews, follow up on them. Check on progress that you discussed in the meeting.

If you don’t follow up with appraisals, the whole process will be a waste of time and something that neither you nor your employees look forward to or find useful.

Still need some help? If you follow all these tips and still think that carrying out appraisals seems too difficult, we can help. Full preparation, support during the meetings and follow up for just £90 +VAT per employee! To find out more or to book dates for your appraisals, call me on 0118 940 3032 or click here to email me straight away.

More Changes to Employment Law – What You Need to Know

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Throughout the year changes are made to employment law. To help keep you up to date, here are some of the more recent changes.

The Right to be Accompanied. Employees have the right to be accompanied at a disciplinary meeting, where they make a reasonable request. What is reasonable will depend on the circumstances of each individual case. However, it would not normally be reasonable for workers to insist on being accompanied by a companion whose presence would prejudice the hearing. Nor would it be reasonable for a worker to ask to be accompanied by a companion from a remote geographical location if someone suitable and willing was available on site.

The Acas code is to be amended to “Employees have an absolute right to choose a companion for a grievance meeting.” Click here to visit the Acas website for more information.

Employee Shareholders. From September 2013 employees can become shareholders if both they and the employer agree all the aspects. Employees can receive £2000 worth of shares and in return, give up rights to claim unfair dismissal, a statutory redundancy payment, a statutory right to request flexible working and a statutory request for study or training. They must also give more than usual notice of return from maternity leave. Click here to find out more.

Pensions Auto Enrolment. From April 2014, depending on the size of your business, you will have to provide a workplace pension for your staff. To do this you need to know your ‘staging date’ and make sure you have information on all your employees. Check your payroll system can cope and that you have enough administration support. To find out who will be included and excluded and when you have to set up company pension, take a look at the Gov.UK website.

In April or May 2014 I’ll be running another Employment Law Update workshop. Keep an eye on this blog and the website for the date and online booking.