ClearSky Publishes Handy Small Business Guide to Employee Notice Periods
ClearSky small business advisors explain employee notice periods
In the event of dismissal or redundancy, failure to provide your employees with the correct notice period could see your business facing a claim for wrongful dismissal and an employment tribunal
Whether through retirement, redundancy, dismissal or resignation, it is vital that employees serve the correct notice period. That is the message from ClearSky Business. Thankfully, the company has published a simple guide to employee notice periods, which ensures that the right notice period is assigned in every situation.
The article, entitled ‘A small business guide to employee notice periods’, was published on 13 January 2014 on the company’s official blog. In the guide, author Helen Pedder explains that employee notice periods fall into two categories: statutory or contractual.
Statutory notice is the minimum length of time that an employee can remain with a business by law, after giving or receiving their notice. The ClearSky Business guide explains that the statutory notice period for an employee who has worked at the company for more than a month, but less than two years, is just one week of notice.
This is need-to-know information, as a small business might wind up in trouble for failing to provide the right notice.
Within the guide, readers will find a simple formula for calculating the statutory notice period for workers with more than two years service; and there are some additional points to remember when doing so. One example is that staff continue to accrue service when on long term sickness or parental leave and this should be accounted for in any calculation.
With the help of ClearSky Business, calculating statutory notice periods couldn’t be simpler. But, as Pedder explains, there is always an alternative: the contractual notice period.
Small businesses can write specific extended notice periods into their employee contracts, in order to safeguard the business during transitional periods. At large companies with a massive workforce and a frequent turnover of staff, this cover might not be so important, but to the average SME in Great Britain, a transfer in or out could affect the future of the company.
Extended notice periods are possible, only when written into employee contracts.
Pedder explains: “In the event of dismissal or redundancy, failure to provide your employees with the correct notice period could see your business facing a claim for wrongful dismissal and an employment tribunal.”
The guide, which can be read here, also provides all of the foundation information needed concerning outstanding holiday entitlements, gardening leave and dismissal without pay. It’s just the latest in a series of excellent news and blog articles, designed to give small businesses all of the information they need to cope with the ever changing commercial landscape.
ClearSky Business provides expert small business services, including accountancy, payroll and HR advice. Their services can be tailored to the needs of any new business or start-up. For more information on business expenses and other potential commercial issues, pay a visit to http://www.clearskybusiness.co.uk.
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