ff143db7

The Fair Work Agency: a quiet shift with significant implications

Fri, 17 Apr 2026 07:57:47 GMT

The Fair Work Agency: a quiet shift with significant implications

The Fair Work Agency officially went live on 7 April.

At first glance, it may look like just another regulatory reshuffle: merging existing enforcement bodies into a single regulator. It is not. The enforcement of certain employment rights in the UK is becoming more centralised, more visible and, potentially, more proactive.

For years, many employment rights have depended in practice on individuals bringing claims themselves. That has always meant a degree of inertia. Some workers do not complain. Some do not realise there is an issue. Some simply do not want the stress, risk or cost of challenging their employer.

The Fair Work Agency changes that landscape. By bringing together enforcement powers in one place, the Government is signalling a stronger appetite to police workplace compliance directly, rather than leaving everything to individual grievances and Employment Tribunal claims.

The Fair Work Agency has the power to:

investigate employers without any complaint being made;
look back up to six years for underpayments from employment;
impose penalties of up to 200% of sums owed;
enter premises and inspect records; and
notably, bring Employment Tribunal claims on behalf of workers.

In short: enforcement is no longer reactive; it is proactive and intelligence-led.

Why this matters at Board level

For employers, the real significance is not just in the headline powers: it is in what this means operationally.

This is another reminder that payroll, holiday pay, working time compliance and record keeping are no longer purely administrative matters. They are legal risk areas. If there is a longstanding error in the system, even an innocent one, the exposure can quickly become serious when looked at across a workforce and over a number of years.

From a Boardside perspective, this is really about governance.

Well-run businesses should be asking:

do we know that our holiday pay arrangements are legally sound;
are our pay practices internally consistent and properly documented;
can we evidence compliance if a regulator asks questions;
have we treated wage compliance as a board-level risk issue, rather than simply an HR or payroll process?

Most risk in this area does not arise from deliberate non-compliance. Rather, it comes from:

historic payroll practices that have not been revisited;
holiday pay calculations that have quietly drifted out of line;
inconsistent record-keeping, particularly for irregular hours workers.

Under the previous regime, those issues could sit unnoticed for years. Under the new regime, they are exactly what may be targeted.

When you combine a six-year lookback with significant financial penalties, even relatively small errors can become material liabilities.

The Fair Work Agency effectively shifts employment compliance closer to the kind of scrutiny we see in tax or financial regulation.

A note of realism

The Fair Work Agency may take time to build momentum in practice. Much will depend on funding (although apparently it does have more than the combination of funds provided to those agencies it is replacing), enforcement priorities and political will. That should not encourage complacency. By the time enforcement activity becomes visible, it is often too late to take the easy remedial steps.

The practical takeaway

The best approach is to use this moment as a prompt: review the basics, test the systems, and fix anything that looks questionable.

Employers who identify and correct issues early are likely to be in a far stronger position than those who wait to be investigated.

In employment law, small process failures have a habit of becoming expensive problems.

We would be very happy to talk through the practical implications for your business.

Trade Union Right of Access Code of Practice

Tue, 14 Apr 2026 11:29:26 GMT

Trade Union Right of Access Code of Practice

What the Government published

On 8 April 2026, UK Department for Business and Trade published an open consultation and a draft statutory Code of Practice on trade unions’ right of access into workplaces, and invited views to ensure the Code is “clear, practical and balanced.” The consultation closes at 11:59pm on 20 May 2026.

The draft Code is intended to be the main practical guidance for a new statutory access regime, covering how access requests are made, how access agreements are negotiated and operated across different workplace types, and how disagreements are escalated.

What is expected to take effect by October 2026

The consultation document states that (subject to Parliamentary approval) the new law and its associated Code are scheduled to come into effect by October 2026, alongside the legislative clause establishing the overarching access framework.

The policy is intended is to create a predictable framework for physical and digital access to workplaces by independent trade unions for specified purposes, while building in safeguards so legitimate operational, safety, security, safeguarding and data protection considerations are taken into account.

What the draft Code says in practice

The draft Code sets out a structured model:

Access is meant to be agreed voluntarily where possible, with conciliation encouraged via ACAS, where there are issues.

If agreement cannot be reached, the Central Arbitration Committee (CAC) can determine whether access should take place and, if so, on what terms. The Code goes on to explain principles and factors relevant to those decisions.

The Code also addresses enforcement where a statutory access agreement is allegedly breached, including the CAC’s powers in certain circumstances to impose financial penalties. The Code provides standard templates (for request, response, notification, and variation/revocation).

Notable operational parameters in the draft Code include that: (i) the CAC will refuse access requests where the employer has 20 workers or fewer; and (ii) unions cannot access private dwellings (though hybrid workplaces may be in scope, subject to listed considerations).

Why Boards should care

This is not simply an HR policy update. For company Boards and executive teams, “right of access” is a governance interface between workforce relations and operational control:

it affects who can communicate with your workforce, where, when, and through which physical and digital channels, and therefore touches IT/security, data protection, facilities, health and safety, safeguarding, and brand/reputation;
it changes the “cost of delay.” If an organisation waits until it receives a request, it may find itself negotiating under time pressure, without a consistent site-by-site framework, and with avoidable escalation risk.

From a Boardside Law perspective, the best preparation is not to be adversarial; rather, the better approach will be structured, will assign ownership, map workplaces (physical + digital), set “rules of engagement,” and ensure managers have a consistent playbook.

UK Immigration Briefing – Passports at the Boarding Gate

Tue, 07 Apr 2026 14:17:04 GMT

Passports at the boarding gate

UK immigration has moved decisively into a “permission to board” era. Since 25 February 2026, the Home Office has begun full enforcement of the UK’s Electronic Travel Authorisation (ETA) regime for non‑visa nationals, with carriers required to confirm that passengers hold valid “permission to travel” (ETA, eVisa, or permitted physical proof) before departure.

For employers, the immediate risk is not a refusal at the UK border, it is a senior employee being denied boarding because they cannot evidence the right documents at check‑in. This risk is highest for British dual nationals who travel on non‑UK passports and (for cost, convenience, or lack of awareness) do not hold a valid British passport or a Certificate of Entitlement to the Right of Abode.

Alongside these travel-control changes, the Government’s direction of travel is clear: a more restrictive, more digital, and longer-horizon settlement model, alongside higher eligibility thresholds (notably English language) and wider compliance duties that may extend beyond traditional employees.

Employers should view this as a combined governance, mobility, talent, and compliance agenda. The operational disruptions are immediate; the workforce planning and cost impacts will accumulate through 2026–2027.

ETA enforcement and the dual-national “boarding gate” problem

What changed on 25 February 2026

As of 25 February 2026, visitors who are non‑visa nationals must have an ETA (unless they already hold a UK immigration status, such as an eVisa or fall within an exemption), and carriers are expected to refuse boarding where permission is not in place.

The UK’s Government messaging is explicit: airlines and other carriers are now part of the enforcement chain, using automated checks against Home Office records before boarding.

Key operational details employers should note:

ETA currently costs £16, is valid for two years (or until passport expiry, whichever is the sooner), and the Home Office recommends applying at least three working days before travel (even though many decisions are automated in minutes);
the Home Office has publicly indicated an intention to increase the ETA fee to £20 in future (timing not yet stated);
ETA requirements can also apply to transit passengers who pass through UK passport control; however, certain transits through Heathrow and Manchester without entering UK border control are described as not currently requiring an ETA.

Why British dual nationals are uniquely exposed

British citizens (including dual nationals) are not eligible for an ETA as a workaround; they are expected to evidence the right of abode by travelling with:

a valid British passport;
a foreign passport linked to a Certificate of Entitlement to the Right of Abode.

Although there is not necessarily a single “legal requirement” that British citizens must always travel on a British passport, the UK’s system design means that in practice it is difficult to travel to the UK from outside the Common Travel Area without one (or a Certificate of Entitlement).

This is why the “risk point” has shifted: - Previously, a British dual national travelling on a non‑UK passport could often board and then (if required) resolve citizenship/right‑of‑abode questions at the UK border.

Now, carrier checks happen first, and carriers face liability if they take passengers without the correct permission/documentation—so a traveller may not even reach the UK border to explain.

Certificates of Entitlement are now digital

Certificates of Entitlement moved to digital format from 26 February 2026. This provides an important simplification: historically, the Certificate was a physical endorsement tied to the validity of the foreign passport; now the digital Certificate can last indefinitely, but the holder must keep their UKVI account updated and link the Certificate to the passport they are travelling on.

Company Boards should also be aware of cost and practical constraints frequently encountered by business travellers: - A Certificate of Entitlement costs £589 and cannot be held at the same time as a British passport.

British passport fees are materially lower (for example, online adult applications are cited at £94.50 in UK parliamentary briefing material), but timing and documentation requirements can still create delays, particularly for first‑time passports or overseas applications.

There is limited “carrier discretion” guidance for dual nationals travelling with an expired UK passport (issued 1989 or later) plus a valid passport from an ETA‑eligible country, provided biographic details match—but carriers decide whether to accept this; it is explicitly framed as a short‑term transitional measure, not a solution.

A new related change which is easily missed: visitor visas are going digital

From 25 February 2026, the Home Office also stated that “most visa nationals applying for a visit visa will receive an eVisa only,” replacing physical visitor visa vignette stickers. The Government has indicated an intention to stop issuing physical visa vignettes more widely by the end of 2026.

For business travel programs that still assume “passport + vignette = proof,” this is a meaningful operational shift.

Settlement, language and work-route reforms shaping 2026–2027

Earned settlement / ILR reform consultation and expected timeline

The “Earned settlement” consultation ran from 20 November 2025 to 12 February 2026 and proposes reforming settlement so it is not granted automatically after a fixed period, but instead must be “earned” through contribution and integration. [13]

Official consultation material sets out options including:

increasing the baseline qualifying period to 10 years ;
increasing it further (e.g., 15 years ) for certain Skilled Worker cohorts below graduate level (below RQF level 6); and
considering a “no recourse to public funds” condition at settlement.

Separate parliamentary briefing material indicates the Government intends for changes to permanent residence rules to begin from April 2026 , subject to final decisions after consultation.

Boardside lens: whether or not final design matches consultation proposals, Company Boards should assume that (a) settlement pathways are likely to become longer and more conditional for many sponsored workers, and (b) this will materially change retention dynamics and sponsorship cost profiles over the medium term.

Graduate route change: shorter post-study permission from January 2027

The Graduate route (post‑study work) is set to shorten to 18 months for applications made on or after 1 January 2027 (with PhD graduates continuing to receive three years).

Boards should note the strategic knock-on:

employers that use the Graduate route as “trial time” before sponsorship will have less runway , making earlier sponsorship decisions more likely; and
the combined impact of shorter graduate permission and tighter Skilled Worker eligibility creates pipeline pressure in sectors that have relied heavily on international graduates.

Board and employer impacts

Travel risk management is now an operational resilience issue

For many organisations, corporate travel processes have not been designed around immigration “permission to travel” controls. The practical consequences of an executive being denied boarding include missed deals, missed hearings/regulatory meetings, reputational fallout, re‑routing costs, and disruption to leadership availability.

Board-level risk framing: this is not primarily a legal risk; it is an operational continuity risk created by new gatekeeping at carriers and a heavy reliance on digital status verification.

When Collaboration Turns into Conflict: Why Your Articles and Shareholders’ Agreement Decide Who Wins

Fri, 30 Jan 2026 11:33:35 GMT

When Collaboration Turns into Conflict: Who Really Has Power in Your Business?

Every successful business begins with optimism: aligned founders, shared ambition, and the belief that “we’ll work it out between us.”

But growth, pressure, money and differing visions have a habit of turning collaboration into conflict. When that happens, the question is no longer about trust or relationships – it is about governance architecture.

Where do you actually turn when you are in dispute with your fellow shareholders?

The answer is not “the law” in the abstract. It is your Articles of Association and your Shareholders’ Agreement – and whether they were designed for harmony only, or also for crisis.

Conflict changes the lens

Once a shareholder is also a director, the landscape becomes even more complex. Commercial instincts collide with statutory duties. You may own the company, but you also owe duties to it.

Suddenly the questions become:

Do the Articles contain deadlock or stalemate provisions?
Is there a casting vote, escalation mechanism, or forced exit route?
Are you constrained by fiduciary duties that limit how far you can “fight your corner”?
Can a majority force decisions through?
What protections do minority shareholders really have?
What remedies apply – constitutional or contractual?

And crucially:

Are your rights enforceable through corporate machinery, or only through damages after the damage is already done?

This is why Articles and Shareholders’ Agreements are not just paperwork. They are your conflict-resolution system .

Two documents. Two types of power.

Your Articles of Association are the public constitution. They control voting rights, board authority, share transfers, compulsory transfers, drag and tag, and – in some cases – deadlock mechanisms. Breach can invalidate corporate acts entirely.

Your Shareholders’ Agreement is the private control contract. It regulates veto rights, reserved matters, minority protection, funding obligations, exit triggers, valuation, leaver provisions and dispute resolution. Breach leads to injunctions, damages, forced sales and commercial leverage.

Where a right sits determines not just what happens, but who has power when relationships break down.

Designing for disagreement (not just success)

The real strategic mistake is waiting until conflict exists before thinking about structure.

At the outset – when everyone is aligned – is precisely when you should be asking:

How do we unlock deadlock if we disagree fundamentally?

Can one shareholder force an exit or a buy-out?
What happens if a minority blocks strategy?
How do we protect the business if someone leaves and competes?
Where does IP actually sit – with the individuals or with the company?

Because once conflict arises, you are no longer negotiating design. You are living with its consequences.

Sector-specific risk: when knowledge is the business

In some sectors, the governance stakes are even higher.

In a recruitment firm, consultancy, tech start-up or design agency, the value often lies in:

Relationships;
Know-how;
Methodology;
Brand and IP.

If a key shareholder leaves:

Do restrictive covenants bite hard enough?
Is IP owned by the company or by the individuals who created it?
Is that IP registered and protected in the company’s name?
Could the departing founder walk out with the value?

These are not employment questions. They are shareholder-level risk questions, and they belong in carefully aligned Articles and Shareholders’ Agreements.

The Boardside lens: governance is relationship engineering

At Boardside, we see Articles and Shareholders’ Agreements not as static documents, but as relationship architecture:

Designed for alignment;
Engineered for disagreement;
Enforceable under pressure;
Protective of long-term value.

The most resilient businesses are not those that assume harmony forever. They are the ones that plan for difference of view, change of strategy, and eventual exit – while everyone is still getting on.

Because when collaboration becomes conflict, your future will not be decided by goodwill.

It will be decided by what you put in place at the beginning.

From Five Years to a Generation

Mon, 19 Jan 2026 21:25:25 GMT

The UK Immigration Landscape Is Shifting – What Boards Need to Know Now

The last six months have seen some of the most significant proposed changes to the UK immigration system in a decade, with implications not just for HR teams, but for Boards, workforce planning and long-term growth strategy.

At Boardside, we are increasingly asked not only “what are the rules?” but “what does this mean for our people, our pipeline and our risk profile over the next five to ten years?”. Two developments in particular deserve Board-level attention.

1. “Earned Settlement” – A Fundamental Reset of the ILR Journey

In November 2025, the Government published proposals for a new “earned settlement” framework. Although still subject to consultation (open until 12 February 2026), the direction of travel is clear: settlement in the UK is likely to become significantly harder, slower and more earnings-dependent.

Key elements of the proposals include:

a new baseline settlement period, moving away from the current five-year norm to potential qualifying periods of 10, 15 or even 30 years, depending on role and earnings;
separate assessment of main applicants and dependants, meaning family members would need to qualify for settlement in their own right;
a mandatory earnings threshold for all settlement applicants, which could disadvantage dependants with caring responsibilities or those working part-time;
retention of a five-year route only for the highest earners (currently proposed at over £50,270);
an accelerated three-year route for very high earners (over £125,140);
a much longer default route (up to 15 years) for roles at RQF levels 3–5;
the possibility that these changes could apply to people already in the UK on Skilled Worker visas, subject to any transitional protections.

Although not yet law, the Government has signalled that implementation could begin in the first half of 2026. In practical terms, this means many sponsored workers who assumed settlement was a five-year horizon may now be facing a radically longer and more uncertain pathway.

Board-level considerations

For employers, this is not simply a legal change – it is a retention, reward and wellbeing issue:

Should your business proactively brief sponsored staff on what may be coming, to avoid misinformation and anxiety?

Are there individuals who are already eligible for ILR who may wish to apply sooner rather than later?
What are the cost and compliance implications of potentially sponsoring key talent for much longer periods?
Could tougher settlement rules affect your ability to attract international candidates in a competitive market?
Does your organisation want its voice heard in the Home Office consultation, particularly on the impact for growth sectors and regional employers?

2. Immigration Rule Changes – Language, Graduates and Global Talent

An additional Statement of Changes to the Immigration Rules in October 2025 has already started to reshape key work routes:

Higher English language threshold for Skilled Workers

From 8 January 2026, applicants must meet level B2 (broadly A-level standard), rather than the previous B1 (GCSE level). This may narrow the pool for certain technical and operational roles.

Shorter Graduate route from 2027

The post-study work visa will reduce from two years to 18 months (three years for PhD graduates).

Employers running structured graduate programmes may find that sponsorship is required earlier than anticipated.

Expansion of the High Potential Individual route

Graduates from the world’s top 100 universities (up from 50) can now apply, though a global annual cap of 8,000 has been introduced.

Board-level considerations

These changes go directly to early-career strategy and skills planning:

Will higher language thresholds restrict access to certain overseas talent pools?
Do graduate schemes need redesigning to fit within a shorter unsponsored window?
Is the business making full strategic use of alternative routes such as the High Potential Individual visa for future leaders?

How Boardside Can Support

These developments reinforce a theme we are seeing across our client base: immigration is no longer a purely operational HR function. It is a strategic workforce issue with direct implications for growth, diversity, cost control, and corporate risk.

Boardside works alongside Boards and senior leadership teams to:

Translate complex rule changes into strategic workforce planning insight;
Support communications to sponsored populations;
Advise on consultation responses and policy engagement;
Stress-test sponsorship models against future settlement and compliance scenarios;
Ensure right to work and sponsor licence governance frameworks are fit for the next phase of regulation.

If you would like to discuss how these changes may affect your organisation, your talent pipeline or your long-term international workforce strategy, please do get in touch.

Director Identity Verification: A New Governance Tripwire for Boards

Mon, 19 Jan 2026 21:17:33 GMT

Director Identity Verification: A New Governance Tripwire for Boards

One of the quieter but potentially disruptive changes to the UK corporate compliance landscape over the past year has been the introduction of mandatory Unique ID (IDV) verification for individual directors.

The formal deadline for existing directors to obtain their IDV was 18 November 2025. Companies House issued multiple reminders in advance, but in practice many directors left registration until close to the deadline – and some have still not completed the process.

At first glance, the consequences appear limited. The initial 12 months is described as a “transition period” during which there is no immediate fine for failing to obtain a IDV, and no automatic sanction on the director personally (this will change at the end of the transition period). However, the real risk emerges when a company tries to make routine statutory filings.

Under the new regime, since 18 November 2025 Companies House no longer accepts key filings – including confirmation statements, accounts, or notices of appointment or resignation – unless the identity of every current director has been verified and linked to the company’s record. In other words, one unverified director can effectively block the company from complying with its statutory obligations.

We have already seen this play out in practice. In one recent case, a director experienced unexplained technical difficulties when attempting to obtain their IDV through the standard online process. Despite repeated attempts and contact with the Companies House helpline, the issue could not be resolved in time for the company’s confirmation statement deadline. As a result, the statement became overdue and the company received a formal strike-off warning, giving only 14 days to remedy the position.

The only viable solution offered by Companies House was for the director to complete the process through an Authorised Corporate Service Provider (ACSP). While a list of ACSPs is published on the Government website, not all listed providers accept new verification work unless there is an existing client relationship. In this case, the company was fortunate to have an established relationship with an accountancy firm that was also an ACSP and could intervene quickly. Without that relationship, it is far from clear that the business would have been able to secure verification within the strike-off window.

Why this matters at Board level

This change is not simply an administrative irritation. It creates a new point of failure in corporate governance and statutory compliance:

a single individual verification issue can prevent the company from filing and expose it to strike-off action;
the problem may only surface when a time-critical filing is due;
resolution routes are limited and may depend on access to an ACSP at short notice;
the regime applies equally to trading companies, holding companies, charities and other incorporated bodies.
The new verification requirement also applies to PSCs (“Persons with Significant Control”), so directors who are also PSCs will need to verify their identity in both capacities.

Practical steps Boards should take now

Boards should treat ID verification as a standing governance item rather than a one-off exercise:

Confirm status: ensure that every current director and individual PSC has obtained a IDV and that it has been correctly linked and verified against the company record at Companies House;
Future-proof appointments: build ID verification into onboarding for all new directors, alongside statutory consents and conflicts checks;
Support directors through the process: the system requires precise historic address data and two-factor authentication. In practice, using two devices (for example, a laptop for data entry and a mobile phone for identity confirmation) significantly reduces the risk of failure;
Plan for contingencies: ensure you know which ACSP you could use if online verification fails, rather than discovering this under filing deadline pressure.

The Boardside perspective

As part of our wider Board advisory and company secretarial support, Boardside has already guided a number of directors through UID verification, including in cases where the standard process has broken down. We see this as a classic example of a regulatory change that appears technical, but in reality has direct implications for Board effectiveness, risk management and corporate continuity.

If you would like assistance in:

auditing your Board’s verification status;
embedding IDV checks into your governance processes; or
providing guidance where difficulties arise,

we would be very happy to help.

The Employment Rights Bill: Board-level reckoning

Wed, 17 Dec 2025 10:18:13 GMT

The Employment Rights Bill: Board-level reckoning

The Employment Rights Bill has now cleared the House of Lords and awaits imminent Royal Assent to become the Employment Rights Act 2025 (presumably).

This Bill is not just about employment law reform; it is about how decisions are made at the very top of organisations.

Six months’ for unfair dismissal rights changes the landscape

Reducing the qualifying period for unfair dismissal claims from two years to six months fundamentally alters the risk landscape for employers.

For Boards, the question is no longer: “Will this employee qualify after two years?”
It is: “Could this dismissal be tested, and potentially litigated, after six months in post?”

That requires:

clearer governance on delegation and decision rights;
stronger evidence-based managerial decision-making;
much tighter alignment between Board strategy and operational behaviour.

In short, governance becomes evidence. With appropriate governance comes a different focus on culture. People need to be properly managed from the outset.

The missing conversation: culture and capability

The House of Lords’ debate focused heavily on fairness to small businesses and economic certainty in terms of the financial impact of the ERB. Those concerns are real, not just for those businesses, but for the whole UK economy, which relies on small businesses for job creation and wealth generation.

But what is less discussed is the pressure this new legislation will place on leadership capability:

are managers trained to make defensible decisions from day one?
are performance concerns addressed early, or allowed to drift?
is culture genuinely ‘lived’, or only written down?

Without investment here in appropriate and consistent processes (including access to personal development opportunities), legal risk will remain.

Compensation caps were never the real risk

Much has been said about the removal of the £118,000 cap on unfair dismissal compensation.

In practice, most Tribunal exposure is driven by process, not quantum.

Poorly handled exits, misaligned managers, and Boards that are too distant from “people decisions” create far more risk than headline figures ever did.

The Bill simply makes that reality unavoidable.

What smart Boards are doing now

The most effective Boards we advise are not waiting for implementation dates. They are:

stress-testing dismissal and capability processes;
asking whether their managers could defend decisions under oath;
treating employment risk as a standing governance issue — not an HR one.

The Employment Rights Bill doesn’t just raise the bar. It moves the spotlight.

And Boards that understand that now will be far better placed than those who treat this as “just another change in employment law”.

Employment Law Focus: ACAS Conciliation – More Time, Less Clarity?

Sat, 13 Dec 2025 20:24:43 GMT

From 1 December 2025, the ACAS early conciliation period will be extended from 6 to 12 weeks. The change, made through the Employment Tribunals (Early Conciliation: Exemptions and Rules of Procedure) (Amendment) Regulations 2025, is intended to give parties more opportunity to resolve disputes before Employment Tribunal proceedings begin.

What’s changing

Until now, parties to an employment dispute had up to 6 weeks to attempt once a potential claimant contacted ACAS. From 1 December 2025, that window of opportunity has doubled to 12 weeks, and time limits for bringing a claim remain “paused” throughout that period. It is worth remembering that the whole concept of mandatory early conciliation was the brainchild of ACAS from the outset.

The Government says the extension is designed to ease the pressure on ACAS itself, which is currently struggling with very high case volumes, and often unable to contact parties until the end of the 6-week period – sometimes not at all.

In practice, this means it could be months from the original workplace incident before an ET1 claim form is lodged and (from our own experience) a further 8-10 weeks before the Respondent is notified. While this may reduce the number of claims that reach the Tribunal, it will also extend the period of uncertainty for all involved.

Why this matters

At Boardside Law, we support the drive for early resolution, but simply lengthening the window is not a complete solution. Without a more effective case-management mechanism, and without promoting genuine alternative resolution, this change risks delaying clarity rather than facilitating it.

Twelve weeks may sound reasonable. In reality, it increases the risks that:

· evidence deteriorates;

· memories fade;

· witnesses move on; and

· organisational understanding becomes fragmented.

A longer pause makes it harder for employers to investigate fairly and respond properly if the matter later proceeds to litigation.

We also see a major gap in the current process: employer notification.

At present, ACAS often contacts the employer only if the claimant expressly agrees to conciliation. If the claimant opts out, or indeed where ACAS is too stretched to engage until late in the window (if at all), the employer may be unaware that a claim is brewing until the ET1 arrives. That is potentially an avoidable shock.

In our view, ACAS should be required to notify an employer as soon as early conciliation is initiated, even if the claimant later declines to engage, particularly where the employment relationship has already ended. Early transparency would support both sides, make evidence-gathering meaningful, and enhance the value of conciliation. That said, we do understand the risk this may introduce for claimants, so thought around the process/procedure will be needed.

Practical advice

Use the 12 week period wisely:

Treat ACAS notifications as red alerts: they are early indicators of litigation risk. Escalate immediately to HR and legal teams.
Preserve the record: secure witness statements, key emails and documents while memories are fresh.
Don’t drift: even though the time limit is paused, momentum is vital. Set internal deadlines for reviewing facts and exploring settlement options.
Push for dialogue: if you do not hear from ACAS within a reasonable time, consider reaching out proactively. A managed discussion now is usually cheaper, and calmer, than a hearing later.
Stay alert to timing: the 12-week window pauses time, but it does not rest it. Monitor dates closely.

Boardside’s View

The new 12-week conciliation model risks turning “early conciliation” into “prolonged pre-litigation uncertainty.” If ACAS is to make the new system work, communication with employers must improve and be meaningful, as opposed to a further opportunity to delay the process.

Knowing that a claim may be coming may allow employers to act quickly, investigate fairly, and even resolve issues before lawyers or tribunals are needed.

Until the procedural gap is addressed, employers should assume that any ACAS contact marks the start of a live dispute and manage risk from the earliest possible moment.

For advice on managing early conciliation strategy, evidence preservation or internal case preparation, please contact the Boardside Employment Team.

Employment Rights Bill: A Welcome Correction — But What Should Boards Do Next?

Tue, 09 Dec 2025 16:57:27 GMT

There has been an understandable flurry of commentary and media interest this week concerning certain anticipated changes to employment law in the UK (under the Government’s Employment Rights Bill).

Much of this has centred on the latest announcement (27 November 2025) that the unfair dismissal qualifying period will not become a so-called “Day One” right after all, but will instead be set at six months. Like many others, I am pleased to see that the Government appears to have given way to good sense in this respect. The ability for employers to operate meaningful probationary periods for new starters, without the immediate risk of an ordinary unfair dismissal claim, remains an important safeguard for businesses. It gives organisations the space to assess cultural fit, performance, behaviours and potential, before long-term employment rights attach.

However, nothing (at least not much!) is black and white in the world of employment law, and there is a significant counterweight. The accompanying proposal to “lift” the cap on unfair dismissal compensation (currently £118,223) could fundamentally alter the litigation landscape — especially for senior executives. What “lifting” means in practice is still unclear: raising the cap, removing it entirely, or adjusting the 52-week calculation.

What is clear is that uncapped awards would widen recoverable loss, including shares, consideration of LTIP awards, pensions and discretionary bonuses. Such a change brings high-earning executives into the litigation mix like never before, and advisers will need to engage in much more complex valuation exercises when negotiating exits and dealing with disputes.

For Boards and senior leadership teams, the message is clear: performance management, incentives, governance frameworks and the quality of decision-making at senior level will all come under sharper scrutiny. Culture, fairness and process will matter even more.

We now await the full detail. Whatever comes, Company Boards should begin planning for a world in which senior-level disputes carry greater financial and reputational stakes — and where early, strategic guidance is essential. Boardside already has a great deal of experience in advising Boards and directors. We would be delighted to support you.

Business Immigration – Changes Reflective of the Government’s Shift in UK Immigration Policy

Thu, 13 Nov 2025 20:09:41 GMT

What’s happening

On 14 October 2025, the Home Office published its latest Statement of Changes (HC 1333), introducing the next phase of the government’s plan to ‘restore control’ over the immigration system. These changes implement key proposals from the May 2025 Immigration White Paper and represent one of the most significant overhauls of the UK’s immigration framework in recent years.

The reforms affect work, study and family routes, with new eligibility criteria, shorter visa durations, and increased financial obligations for sponsors. While the stated aim is to strengthen integration and ensure the UK’s immigration system better serves economic and social priorities, the practical effect for many employers will be tighter compliance obligations, higher costs, and narrower access to international talent.

Raising the English Language Requirement

From 8 January 2026, applicants under the Skilled Worker, Scale-Up, and High Potential Individual (HPI) routes will need to demonstrate English language ability at B2 level (upper intermediate) under the Common European Framework of Reference for Languages (CEFR) — up from the current B1 (intermediate) standard.

Applicants will be required (as is currently the case) to evidence their proficiency through approved Home Office test providers, as part of a broader policy drive to ensure migrant workers can fully engage in the UK workplace and wider community.

What this means for employers:

The higher threshold could make it harder to fill roles in sectors that previously relied on B1-level applicants, such as healthcare, engineering, hospitality, and construction. Employers should review upcoming sponsorship plans, identify candidates likely to be affected, and consider offering language-support initiatives or alternative recruitment strategies.

Shortening of the Graduate Route

From 1 January 2027, the Graduate visa will be shortened from 24 months to 18 months for most graduates, although PhD holders will retain their existing three-year permission.

Impact:

This shorter post-study window reduces the time international graduates have to secure longer-term sponsorship. Employers will need to accelerate onboarding and visa-switch processes to ensure promising graduates can move to the Skilled Worker route before their Graduate visa expires. Combined with the higher salary and skill thresholds introduced earlier this year, many sponsors may find that graduates once eligible for sponsorship now fall short of the new requirements.

Expansion and Cap of the High Potential Individual Route

The High Potential Individual (HPI) visa is open to graduates from top global universities, allowing for a stay of up to 2 years for graduates and 3 years for students with a PhD. Under current plans, this route will be expanded, doubling the number of universities on the Global Universities List for qualifications awarded between 1 November 2025 and 31 October 2026. However, a new annual cap of 8,000 applications will take effect from 4 November 2025.

Impact:

While this widens access to high-calibre international talent, the introduction of a quota will make early applications essential. Employers recruiting graduates via this route should monitor availability closely and plan recruitment cycles around the cap.

New Opportunities for Student Entrepreneurs

From 25 November 2025, certain international students completing their studies will be permitted to establish UK-based businesses by switching to the Innovator Founder route. For students completing their studies, switching directly into this route whilst remaining in the UK removes the disruption of having to leave the UK, and enables them to progress from academic research into commercial ventures straight after graduation.

Impact:

This welcome adjustment supports entrepreneurship among international graduates and may help retain talent in innovation-led sectors. However, eligibility remains narrow, limited to those switching into the Innovator Founder route, and is therefore unlikely to benefit the majority of students.

Increase in the Immigration Skills Charge

The Immigration Skills Charge, which is payable by sponsors for each sponsored worker, will rise by 32% from 16 December 2025. Large sponsors will pay £1,320 per worker per year (up from £1,000), and small sponsors £480 (up from £364).

Impact:

This cost cannot lawfully be passed on to sponsored employees and will therefore need to be absorbed by employers. Combined with higher salary thresholds and Certificate of Sponsorship fees introduced earlier in the year, this increase will further strain recruitment budgets.

Strategic Implications for Employers

Together, these reforms mark a decisive shift toward a high-skill, high-threshold immigration system. Employers should respond proactively by:

reviewing recruitment pipelines: assess how higher language standards and shorter visa durations affect planned hires;
updating sponsorship policies: ensure systems meet enhanced record-keeping and reporting standards;
budgeting for cost increases: reflect the new Skills Charge and compliance costs in workforce planning;
supporting candidates: offer language-testing guidance and clear communication about timing and documentation;
monitoring developments: further secondary legislation is expected in early 2026, so vigilance will be essential.

Boardside View

While these reforms are positioned as measures to improve control and integration, they risk reducing workforce flexibility and increasing administrative burdens for employers. Businesses that begin adjusting now, by aligning hiring, sponsorship and compliance frameworks, will be best placed to maintain continuity and competitiveness in 2026 and beyond.

Internal Delegated Authority Policies: Why Clarity Isn’t Optional

Thu, 13 Nov 2025 20:01:30 GMT

In any business, when the wrong person signs something off (or the right person is not given clear authority to take a decision) the result can be costly. A simple example, based on our experience, is where an employee receives incoming correspondence or an invoice asking for a countersignature on a recurring software subscription or licence renewal, and signs it without checking the terms. Months later, the business is locked into an unnecessary spend that no one intended.

That’s why a clear delegated authority policy isn’t just best practice, it’s a vital safeguard. It sets out who can commit the business to what, prevents avoidable costs and liabilities and gives everyone the confidence to act within their limits.

What Is Delegated Authority?

A delegated authority policy sets out who within an organisation can approve which actions. It typically includes guidance on which roles can enter into financial commitments (usually with different financial limits depending on seniority), who can enter into contracts, who can hire staff and who has signature authority for different types of documents. It ensures everyone knows:

What decisions they’re empowered to make
What signatures or approvals are required, and who can give them
What limits are in place (financial, operational, reputational) to protect the organisation from acting outside its budget or business plans or exceeding its risk appetite.

Why It Matters for Employers

For employers, clarity around delegated authority helps to:

Avoid financial risk – preventing unauthorised spend or commitments.
Protect reputation – ensuring only appropriately senior people sign contracts, NDAs or external agreements.
Increase efficiency – avoiding bottlenecks where senior leaders are dragged into small approvals unnecessarily.
Empower staff – giving people confidence in the scope of their decision-making.
Support compliance – ensuring regulatory, client and insurance obligations are met.

Ultimately, a delegated authority policy protects both the business and its people, ensuring no individual is unfairly exposed and decisions are taken at the right level with the right oversight.

What Happens Without It?

Here’s what we see all too often when organisations don’t have a clear policy:

Confusion and Delay: People waste time checking who has the right or responsibility to make a decision.
Risk Exposure: Unauthorised commitments could expose the organisation to liability or financial loss.
Morale Issues: Inconsistent delegation of authority – picking out people rather than roles, especially on a random basis – can create resentment.
Compliance Breaches: without guidelines and controls, it is difficult to show that risk and compliance are managed effectively or spot when individuals are acting outside their powers.

In contrast, organisations with well-defined frameworks experience smoother operations, clearer accountability and better risk management.

Boardside’s View

At Boardside, we see delegated authority policies as an underused but powerful governance tool. They are:

A risk mitigator, reducing the likelihood of costly mistakes.
A leadership enabler, freeing senior partners and directors to focus on strategy, not micromanagement.
A cultural signal, demonstrating fairness, consistency, and accountability across the organisation.

We also see that the best policies are simple, readily accessible, and regularly reviewed (and if necessary refreshed).

A robust delegated authority policy should include:

Defined levels of authority for Board, Executive and other management roles, and specialists (e.g.IT, customer-facing teams, procurement).
Financial thresholds linked to role.
Documented sign-off processes for contracts, client agreements, HR and vendor commitments.
Clear role boundaries so staff understand both their powers and limits.
Training and communication ensuring everyone knows where to find it and how to use it.
Audit trails to evidence decision-making.
Regular reviews to keep it relevant.

We regularly work with boards to develop clear delegated authority policies as part of our corporate governance and strategy work. If you would like to discuss this in relation to your business please contact us .

Autumn pressures ahead? Navigating workforce expectations

Fri, 29 Aug 2025 15:02:58 GMT

Autumn pressures ahead? Navigating workforce expectations

As the autumn leaves start to fall, pressures at work are rising. Employers are facing a combination of rising employee expectations, new employment rights, and increased union activity. Below, we consider some key areas of change.

Fire and Rehire

The Employment Rights Bill is undergoing significant amendments, focussing on areas such as fire and re-hire practices, bereavement leave for pregnancy loss, and agency worker pay rules. Formal consultations in relation to the Employment Rights Bill are scheduled for autumn 2025, ahead of planned rollouts of major changes.

Further changes are on the way in relation to the use of ‘fire and rehire’ practices. The most controversial provision (automatic unfair dismissal for employees who refuse new contract terms) has been narrowed. It will apply only where the proposed changes involved specific ‘restricted terms’, such as:

pay and pensions;
working hours;
holiday entitlement;
clauses that give the employer power to vary terms without consent.

Where other (non-restricted) terms are involved, Tribunals will be asked to take a balanced view, applying a statutory checklist that considers:

the employer’s reasons for the proposed variation;
the nature and quality of the consultation process;
the fairness of the dismissal in context.

Local authorities and certain public bodies may be able to justify changes more readily in cases of financial distress. For example, local authorities must show that financial pressures threaten their ability to meet statutory functions. The Government has confirmed that a public consultation will be launched later this year to finalise supporting regulations, although the scope and format of this are still under wraps.

These developments do not prohibit fire and rehire practices, but they do tighten the rules significantly. Employers proposing significant contractual changes will need to proceed carefully, document consultation thoroughly, and prepare for more intense legal scrutiny where dismissals arise.

If your business is planning changes to pay, hours, or other core employment terms, Boardside Law would be pleased to help you design a process that balances business needs with legal risk.

Pregnancy loss: new bereavement leave

A new statutory right to bereavement leave following pregnancy loss is on the horizon, and for the first time, it will apply to both parents and cover early-stage losses before 24 weeks.

The right will be a day-one entitlement to at least one week’s unpaid leave, designed to give parent space to grieve without worrying about work.

The draft legislation defines pregnancy loss broadly as: ‘The ending of a pregnancy after less than 24 weeks in any way other than by a live birth.’ This definition is intentionally inclusive and covers loss following IVF, miscarriages, and other non-viable pregnancies.

A public consultation this autumn is likely to explore:

whether more than one week of leave should be offered;
what, if any, evidence employers can request;
whether different rules should apply in cases of surrogacy or donor conception.

According to the Employment Rights Bill roadmap, the right is not expected to come into force until 2027. Employers therefore have time to review and update bereavement and family leave policies and to offer relevant training for line managers.

This marks a cultural as well as a legal shift, acknowledging the real emotional impact of pregnancy loss at any stage.

Boardside Law action points

Start preparing for 2026 implementation: audit policies and processes, including sexual harassment policy, and family leave entitlements ahead of time.
Watch autumn consultations closely: this is your chance to contribute or shape emerging guidance.
Sector-specific impacts will vary: contact us for tailored advice, especially if you operate in highly seasonal industries or sectors sensitive to cost pressures.

UK Business Immigration: the next wave of change

Fri, 29 Aug 2025 14:56:25 GMT

UK Business Immigration: the next wave of change

Whilst Summer headlines have centred on Channel crossings and asylum policy, significant reforms to the UK’s Skilled Worker and business migration routes quietly took effect, somewhat under the radar, in July 2025 (as outlined in our article Immigration Rules Overhaul ).

Those changes were just the beginning. Although August has seen a relative lull, the Government remains committed to further tightening the immigration system by the end of the year. Here is a summary of upcoming changes:

1. Immigration Skills Charge set to rise by 32%

The Government's May 2025 Immigration White Paper confirmed a 32% uplift in the Immigration Skills Charge (ISC)—the most significant increase since its introduction in 2017. Once this comes into effect (which is anticipated later this year), medium and large sponsors will pay approximately £1,320 per year, up from £1,000, while small or charitable sponsors' fees will jump from £364 to £480. The revenue is earmarked for upskilling domestic workers in the most affected sectors.

2. English language expectations to tighten — settlement applications will require knowledge of English at B2 Level

The White Paper also signals an increase in the required English proficiency for visa applicants—particularly for settlement routes, shifting from CEFR level B1 to B2. This affects both main applicants and adult dependents and heightens the integration standard for long-term residency.

3. Family route reforms under consideration

Proposed updates in the White Paper include potential changes to the family visa system, including:

stricter relationship proof requirements to confirm genuine partnerships;
enhanced financial thresholds for family visas to reduce taxpayer dependency;
new “good character” clauses that broaden grounds for refusal.

4. The digital future – fewer stickers: eVisa experience becomes the norm

Commencing on 15 July 2025, the Home Office began phasing out paper vignette stamps for entry clearance under Study, Work, and certain Work-related routes. Instead, applicants must now create and access their UKVI digital accounts to receive their visa status, thereby streamlining entry, but shifting administrative requirements.

5. Extension of qualifying period for indefinite leave to remain applications

Since Labour’s White Paper earlier in the year, further clarity has emerged surrounding proposals to extend the qualifying period for Indefinite Leave to Remain from 5 to 10 years for most visa categories, and to introduce a longer, more restricted path to permanent settlement.

These longer settlement timelines continue to be under active review and are gaining traction ahead of expected legislative action.

What Should Employers Do?

budget accordingly, in line with upcoming increase in Immigration Skills Charge;
if employees rely on family sponsorship, prepare to support them;
if any employees are eligible for indefinite leave to remain, advise them to submit their applications sooner, rather than later;
update recruitment strategies: consider whether some roles could be restructured to meet eligibility or whether alternative visa routes might be available.

Conclusion

The increased cost of sponsorship, higher language standards, and looming family route overhauls mean that employers should assess impact and affordability, review supporting processes, and adapt internal advice and expectations.

At Boardside Law, we are helping clients anticipate and adapt to this rapidly changing immigration landscape. If you’re considering overseas hires, or want to check how the reforms affect existing sponsored workers, our business immigration team is here to help.

Sexual Harassment: when do social spaces become ‘The Workplace’?

Fri, 29 Aug 2025 14:44:15 GMT

Sexual Harassment: when do social spaces become ‘The Workplace’?

Boardside Law has received a recent flurry of new instructions (both from employees and employers) involving allegations of sexual harassment in the workplace, in settings beyond the traditional office. An increasing number of recent cases relating to this topic have also hit media headlines. This has sparked debate over how broadly, or narrowly, the law defines ‘the workplace’ in the context of sexual harassment, prompting employers to ask a timely question: what actually counts as ‘the workplace’ in legal terms?

Under section 26 of the Equality Act 2010, sexual harassment in the workplace occurs when someone experiences unwanted conduct of a sexual nature that has the purpose or effect of violating their dignity or creating an intimidating, hostile, degrading, humiliating or offensive environment.

While traditional workplace settings are straightforward, modern workplace boundaries increasingly extend to work-related social events, virtual spaces, or any setting where employees interact in a professional capacity, even if not at the office.

The recent example of the CEO of US company, Astronomer, in relation to the Coldplay "Kiss-Cam" controversy (which took place in the US), highlights the risks which can be involved for staff in the UK as well, at all levels, in a variety of different settings.

Another key point to consider in this context is that of power imbalance. Power dynamics can cloud consent. What may appear consensual can become problematic when one person has authority over another. Even consensual conduct may cross into harassment if it creates a hostile or degrading environment, once context and imbalance are considered.

Where does ‘The Workplace’ end?

Examples of environments that may be considered part of the “workplace” under the new laws relating to sexual harassment include:

social functions such as corporate events, networking events, evenings out, or conferences;
professional settings outside the office, for example client dinners, team-building trips;
virtual interactions, such as video calls or shared online forums;
a company-sponsored night out, even at a gig or festival, where the attendance list is work-based;
a WhatsApp group used for team coordination but which includes personal content;
an awards evening where staff are mingling with senior leadership.

The key consideration is whether the event or interaction is part of, or closely associated with, the employment relationship, and whether the conduct in question can reasonably be seen to affect the dignity or experience of someone in their professional capacity.

Boardside Takeaways

What is clear, is that the definition of ‘the workplace’ is not confined to being just the office and/or workplace. Employers must recognise that legal exposure can arise in other situations where colleagues interact. Clear expectations, practical training and well-communicated boundaries remain the best protection against blurred lines and reputational fallout.

Whistleblowing: Post-Employment Protections Clarified

Fri, 29 Aug 2025 14:31:47 GMT

Whistleblowing: Post-Employment Protections Clarified

In our recent article ( Whistleblowing: Reform on the Horizon ), we examined how whistleblowing rights are evolving and the growing responsibilities on employers to take disclosures seriously, especially in regulated and high-risk sectors. This month, we return to our whistleblowing theme, following a new Employment Appeal Tribunal judgment that clarifies how whistleblowing protections can continue even after the employment relationship ends.

In August 2025, the Employment Appeal Tribunal (EAT) delivered a pivotal judgment in the case of Day v Lewisham & Greenwich NHS Trust ([2025] EAT 123 , which explores post-employment detriment, media pressure, and the continuing importance of causation in defending against protected disclosure claims.

Key Facts of the Case

Dr Christopher Day, a junior doctor, brought a whistleblowing detriment claim against Lewisham & Greenwich NHS Trust (the Trust), following a series of public statements made by the Trust in 2018 and 2019, after settling an earlier claim which Dr Day had initially brought in 2014. Dr Day alleged that the Trust’s post-settlement statements were detrimental, untrue and motivated by retaliation for protected disclosures made during his employment.

The Employment Tribunal found that:

one of the Trust’s statements did constitute a detriment, but it was not caused by Dr Day’s protected disclosures;
the remaining statements were either not detrimental or were true.

It also concluded that the claim fell outside the scope of whistleblowing protections under section 47B Employment Rights Act 1996, as the statements occurred after employment had ended.

EAT Ruling: causation must be more than timing

The EAT disagreed on the scope point. It held that post-employment whistleblowing claims can indeed be brought where the alleged detriment is closely connected to the individual’s former employment. In this case, the Trust’s statements (made after Dr Day’s employment had ended) related directly to earlier tribunal proceedings and to disclosures made by Dr Day while employed.

The EAT also said that the Tribunal should have considered whether the Trust’s refusal to amend or remove its statements (especially in light of CQC concerns) might itself have amounted to a fresh detriment.

However, these errors did not change the outcome. The EAT upheld the Employment Tribunal’s decision, confirming that temporal proximity alone is insufficient to establish causation in a whistleblower’s claim.

The protected disclosures must have materially influenced the employer’s actions—mere timing or “coincidence” doesn’t meet the statutory standard under Section 47B of the Employment Rights Act 1996.
The EAT found that the Trust’s actions were not materially influenced by Dr Day’s disclosures. Instead, the statements were driven by media scrutiny and a desire to present the Trust’s side of the story.

The appeal was therefore dismissed.

Implications for employers and whistleblowers

Boardside Law insight

This judgment reaffirms that the bar for whistleblowing causation remains intentionally high. Post-employment statements can fall within the scope of whistleblowing protections, but only if the detriment relates closely to the relevant employment. Motivation matters:

Employers: should maintain robust, documented processes in how disclosures are responded to.
Whistleblowers: bear in mind that evidence is key - your case must show clear linkage between what you said and how you were treated. In other words, the protected disclosure must materially influence the action(s) complained of.

If you are issuing press releases, public statements or even internal communications about past whistleblowing events, make sure that your rationale is clear, balanced and legally sound. Boardside Law can help you review communications and manage reputational risk before a problem arises.

Modernising Companies House: What Directors Need to Know

Fri, 11 Jul 2025 08:14:59 GMT

As part of its ongoing corporate transparency reforms, Companies House is introducing two important compliance requirements that directors and company secretaries should be aware of, one immediate, and one longer-term.

Director ID Verification – Coming This Autumn

From Autumn 2025, all company directors will be legally required to verify their identity with Companies House. This is part of the implementation of the Economic Crime and Corporate Transparency Act 2023, aimed at reducing fraud and improving corporate accountability.

The process will involve confirming your identity through the Companies House portal or via an authorised third party. For UK nationals with a passport and standard secondary ID, the process is expected to be quick and fully digital.

Directors who fail to verify their identity will be committing an offence and may be unable to act in that capacity until verification is complete. Boardside Law will become an authorised provider to carry out this process on behalf of clients. If this would be of interest to you, please let us know.

Paper Accounts to Be Phased Out by April 2027

From 1 April 2027, Companies House will no longer accept paper accounts. All companies, including micro-entities and dormant companies, will be required to file accounts using compatible accounting software. This applies to:

Audited and unaudited accounts
Limited companies, LLPs and charitable entities
Group accounts and subsidiaries

Although the change is nearly two years away, we recommend that companies with financial year ends of 31 December or 31 March treat the 2026 accounting period as the transition year. This allows time to get familiar with digital filing tools ahead of the April 2027 deadline.

A full list of compatible software providers is available here:
gov.uk/software-company-accounts/y/audited/group

There are also separate links for LLPs and charities.

What You Should Do Now

Directors: Watch out for further announcements about ID verification and ensure you complete this when required.

Company Secretaries / Finance Teams: Review your current filing method and speak to your accountant about moving to compliant software if you haven’t already.

If you would like advice on preparing your company for these reforms, or support with managing director filings or company secretarial duties, the Boardside team is here to help.

Whistleblowing: Reform on the Horizon

Thu, 10 Jul 2025 13:38:00 GMT

Whistleblowing: Reform on the Horizon

The body content of your post goes here. To edit this text, click on it and delete this default text and start typing your own or paste your own from a different source.

When Silence Is Not Golden: NDAs Set for Shake-Up

Thu, 10 Jul 2025 13:28:50 GMT

The Government is backing a proposed major amendment to the Employment Rights Bill that would render certain non-disclosure agreements (NDAs) unenforceable. Specifically, the amendment targets clauses that prevent individuals from speaking out about unlawful behaviour, such as harassment, discrimination, sexual misconduct or bullying.

This shift follows sustained criticism of how NDAs have been used to cover up workplace misconduct and protect serial offenders, particularly in high-profile sectors like media, technology and education. While the aim is to protect victims, the change could have unintended consequences for employers. If confidentiality can no longer be assured, some employers may be less inclined to settle disputes at all, which could in itself drive more claims to an Employment Tribunal.

The proposals in terms of voiding certain agreements would also extend to employment contracts and internal policies, not just settlement agreements.

What Is Changing?

The proposed reform (an amendment to the Employment Rights Bill), which was tabled in Parliament on 7 July 2025, would:

void any contractual clause that seeks to prevent a person from disclosing misconduct;
apply not only to settlement agreements but also, potentially, to employment contracts, policy documents, and confidentiality agreements;
introduce civil penalties for employers or advisers who breach the new provisions.

Deputy Prime Minister Angela Rayner has stated that the purpose is to prevent NDAs from being used as “gagging clauses” that silence victims.

Why This Matters for Employers:

Fewer settlements? Without confidentiality, some employers may feel less secure in offering financial settlements to resolve complaints.
Loss of control over reputation management: Public disclosure could increase the reputational risks for employers, particularly in unresolved or disputed allegations.
Employee voice strengthened: The change would empower employees to speak out, but some may prefer private resolution. Removing this option may reduce flexibility.

Boardside's View:

We support the main aim of increasing transparency and preventing misuse of legal tool agreements which genuinely help parties resolve employment-based issues. We certainly accept that employers should not be allowed to abuse their positions. However, we share concerns that an outright ban may discourage settlement and create uncertainty for all parties.

Action Points:

Review all current template agreements and HR policies.
Train HR teams and line managers on the lawful use of confidentiality provisions.
Keep a close eye on the final form of the legislation as it progresses through Parliament.

Boardside Law can support you in adapting your internal documents and approach to reflect the likely changes, as well as keeping you updated on the final wording and timeline of implementation. Contact us

AI at Work: What the Law (and the Risk) Looks Like

Tue, 08 Jul 2025 13:33:09 GMT

AI and algorithmic decision-making is now deeply embedded in recruitment, performance tracking, and even disciplinary decisions. But the legal risks around automated decision-making is still evolving, and employers face serious compliance risks.

What does the law say?

Under UK GDPR, employees have the right not to be subject to solely automated decisions that have a significant effect on them. This includes decisions about recruitment (for example, CV screening by AI), disciplinary or capability outcomes, and performance rankings.

Where such processing occurs, employers must:

Provide meaningful information about the logic involved.
Offer the right to obtain human intervention.
Enable the individual to contest the decision.

Key Risks

Discrimination: biased data can lead to unlawful outcomes.
Lack of transparency and explainability: AI systems are often ‘black boxes’, making it difficult to explain how decisions are made.
Lack of documentation: employers may struggle to prove compliance without a proper audit trail.
Failure to notify or offer human review.

What employers should do

Audit your use of AI tools in HR processes.
Ensure there is always a human in the loop.
Ensure transparency and accountability mechanisms are in place.
Update internal data protection policies and privacy notices.
Provide training to HR and senior leadership on AI compliance and ethical considerations.

Boardside can support you in designing ethical and legally compliant approaches to AI in the workplace. Call us on 0330 0949338

Immigration Rules Overhaul

Thu, 03 Jul 2025 13:25:04 GMT

What You Need to Know Before 22 July

On 1 July 2025, the Government confirmed sweeping reforms to the Skilled Worker visa route, signalling what the Home Office has dubbed a “complete reset” of the UK’s immigration system. These changes take effect from 22 July 2025, and employers have just a short window to prepare.

What’s Changing?

1. Higher Salary Thresholds

From 22 July, the general salary threshold will rise to £41,700 (or £20.93 per hour), up from the current £38,700 introduced in April. For new entrants, the rate rises to £30,960, and for those relying on STEM PhDs or shortage occupation discounts, the salary requirement will be adjusted accordingly. These new thresholds apply not just to new applicants, but also to those seeking extensions or switching routes.

2. Skills Threshold Lifted

Previously, many roles at A-Level (RQF Level 3) were eligible for sponsorship. Now, the bar has been raised to RQF Level 6 (equivalent to a UK Bachelor’s degree). This is a sharp step up from the previous requirement. As a result, around 180 role types will be removed from sponsorship eligibility (unless covered by temporary concessions), including administrative, support and many trade positions.

3. Temporary Shortage List (TSL)

To ease the transition, the Government has introduced a new Temporary Shortage List, allowing a limited number of sub-degree level roles to remain eligible until 31 December 2026, subject to review by the Migration Advisory Committee. However, this list is significantly shorter than the previous Shortage Occupation List and is intended purely as a short-term concession.

4. Social Care Route Closure

One of the most controversial aspects of the reform is the closure of the Skilled Worker route to care workers and senior care workers (SOC codes 6135 and 6136). This is in line with the plans announced in the Government’s May Immigration White Paper. After 22 July 2025, employers will no longer be able to sponsor new overseas recruits into these roles. Transitional arrangements will remain in place for existing visa holders until July 2028, but the route will close to new applicants. However, employers still have a short window to assign Certificates of Sponsorship (CoS) under the current rules.

What Should Employers Do?

Act now: CoSs must be assigned before 22 July 2025 if roles are affected by the changes.
Audit recruitment plans: review job roles to confirm whether they will meet the new skill and salary thresholds.
Update recruitment strategies: consider whether some roles could be restructured to meet eligibility or whether alternative visa routes might be available.
Check allocations: with demand likely to surge, early action is advised to avoid CoS shortages.
Monitor transitional guidance: particularly relevant for legacy applicants and health and care roles.

What’s Coming Next?

The July reforms are only the first step. By the end of the year, the Government intends to roll out:

An increase in the immigration skills charge. The Immigration White Paper published in May 2025 mentioned a 32% increase in the immigration skills charge for sponsors.
Tougher English language requirements.
Possible reforms to family routes and sponsor obligations.

Immigration Reforms: What Employers Need to Know

Tue, 13 May 2025 13:43:41 GMT

Immigration Reforms: What Employers Need to Know

The UK Government has announced sweeping changes to the immigration system, set out in its Immigration White Paper this week (12 May). The proposals, which Ministers claim are about ‘taking back control of our borders’, signal a tougher and more restrictive regime for employers who rely on overseas talent.

Here are the key changes and what they mean in practice for employers:

The Headline Changes

Skilled Worker visas will become harder to obtain

minimum salary thresholds are rising, as are requirements for higher skills levels;
it is anticipated that around 180 roles currently eligible for sponsorship will no longer qualify under the new criteria.

Tougher English language requirements

Skilled Workers and their adult dependants will face higher thresholds both at entry and during extensions or settlement.

Higher sponsorship costs

the Immigration Skills Charge will increase by 32% (for medium and large-sized businesses it is currently £1,000 per year per Skilled Worker; for small businesses it is £364 per year);
the overall cost of sponsoring a worker to settled status could rise to over £14,000 per individual (taking into account the Certificate of Sponsorship fee, the Immigration Skills Charge, visa application fees and the Health Surcharge).

The end of the care worker visa route

no new care workers will be eligible for sponsorship;
existing sponsored care workers may extend/switch until 2028.

Graduate visas to be capped at 18 months

a reduction from the current 2-year post-study route, limiting graduate retention.

Settlement and citizenship to require longer residence

eligibility for settlement will now require 10 years of residence, not five.

Implications for Employers

The direction of travel is clear: the Government is prioritising reduced net migration over labour market flexibility. This creates serious challenges for businesses across various sectors, not only in traditionally lower-paid industries such as care, hospitality, and retail, but also in professional services and technology.

With higher costs, longer pathways to permanence, and fewer eligible roles, employers face:

tighter recruitment pipelines
increased compliance burdens
budgetary impacts on workforce planning

Some experts have already described the removal of the 20% salary discount for shortage roles and the closure of the social care visa as ‘a heavy-handed approach’ that risks sending the message that the UK is closed for business.

How Boardside Can Help

Now more than ever, businesses need to approach immigration strategically, with the right advice, timing and documentation. At Boardside, we work closely with employers to:

audit your existing sponsored workforce and contracts;
identify whether current employees should extend visas before the rules tighten;
plan future hires around changing eligibility criteria;
assess ongoing compliance with sponsor licence duties;
navigate the rising costs of immigration and plan for long-term stability.

If you are unsure how these reforms may affect your organisation, or if you are considering sponsoring overseas nationals under the current regime, please get in touch with our Business Immigration Team. With change on the horizon, early action could save time, money and risk.

The Right to Disconnect: Coming Soon to a Workplace Near You…. Or Not?

Mon, 12 May 2025 13:50:54 GMT

The Right to Disconnect: Coming Soon to a Workplace Near You…. Or Not?

With burnout on the rise and employee wellbeing high on the HR agenda, the so-called ‘right to disconnect’ (the idea that employees should not be required to engage with work communications outside of agreed hours), had been gaining traction. A statutory ‘right to disconnect’ was initially part of Labour’s ‘New Deal for Working People’, which was intended to strengthen employment rights and improve work-life balance.

As of last month, the UK Government confirmed that it had decided not to proceed with implementing a statutory ‘right to disconnect’ for employees, largely due to concerns about the potential regulatory burden on businesses, especially amid other economic challenges.

This is in noticeable contrast with a trend in Europe towards right-to-disconnect laws. Belgium and France, for example, have regulations to safeguard employees from excessive out-of-hours work expectations. Since August 2024, there has also been a right to disconnect in Australia. In the UK, some trade unions (for example, the engineers and scientists union, Prospect) had been calling for similar protections, and some employers have been voluntarily adopting disconnect policies as part of their workplace culture.

Practical considerations

If it had been introduced, a statutory right to disconnect would potentially have:

prohibited employers from routinely contacting staff out of hours (except in emergencies);
required employers to define ‘core hours’ and provide clarity on expectations;
triggered claims for indirect discrimination or breaches of working time limits.

UK businesses will now be able to maintain flexible working arrangements without additional constraints.

Despite the absence of a legal mandate, the issue of work-life balance remains pertinent and a cultural shift is already under way. Hybrid working has blurred the lines between ‘work’ and ‘home’, and employers risk both legal claims and reputational damage if they ignore staff wellbeing. Employers are encouraged to proactively address this by establishing internal policies that respect employees’ personal time.

We would advise employers to consider the following:

a review and update of communication policies: clearly define expectations regarding out-of-hours communication;
train and support line managers: ensure boundaries are clear and realistic in relation to employees’ personal time, including holiday time;
promote a culture of balance, to ensure a positive workplace which supports employee well-being.

By taking proactive measures, employers can foster a healthy work environment, enhance employee satisfaction, and reduce the risk of burnout.

Sex, Gender and the Workplace: The UK Supreme Court Clarifies the Law

Tue, 06 May 2025 13:34:32 GMT

Sex, Gender and the Workplace: The UK Supreme Court Clarifies the Law

Last month’s Supreme Court ruling in For Women Scotland Ltd v The Scottish Ministers [2025] UKSC 16 has major implications for how UK employers approach sex-based rights and workplace policies, particularly in relation to transgender employees.

At the heart of the case was a deceptively simple legal question: when the Equality Act 2010 refers to ‘sex’, does it mean biological sex, or can it include someone’s ‘acquired gender’ if they hold a Gender Recognition Certificate (GRC) under the Gender Recognition Act 2004?

The Supreme Court has now given a clear answer: under the Equality Act 2010, sex means biological sex. All transgender indivicuals (whether or not they have a GRC) must be treated in accordance with their birth sex, for the purposes of the Equality Act 2010.

The background

The case began as a challenge to Scottish government guidance under the Gender Representation on Public Boards (Scotland) Act 2018. That Act aimed to improve representation of women on public boards. But the guidance said that the definition of ‘woman’ included trans women with a GRC. This interpretation was challenged by feminist campaign group For Women Scotland, and the case ultimately reached the UK Supreme Court.

The decision

In a unanimous judgment, the Supreme Court held that the Equality Act 2010 uses the terms ‘man’, ‘woman’ and ‘sex’ to refer to biological sex only — not to acquired gender, even where a GRC has been granted. In doing so, the Court overturned the earlier ruling of the Scottish courts.

The Supreme Court was at pains to stress that it was not engaging in political debate. It was interpreting the law as it stands — particularly how the Gender Recognition Act 2004 (GRA) interacts with the Equality Act 2010. The key provision was section 9(1) of the GRA, which states that a person’s gender becomes their acquired gender ‘for all purposes’ once a GRC is issued.

However, section 9(3) allows this to be overridden by other laws. The Supreme Court concluded that the Equality Act is one such law.

The Justices ruled that interpreting ‘sex’ to include acquired gender would make key parts of the Equality Act unworkable, including provisions on pregnancy discrimination, single-sex services and sports. It would also create inconsistent rights among trans people based solely on whether they hold a GRC (a confidential document employers cannot lawfully ask about).

What this means for employers

This judgment has immediate relevance for workplace policies. Key points to note include the following:

a woman is a biological woman, and a man is a biological man, for the purposes of sex discrimination law;
transgender individuals remain protected under the separate protected characteristic of gender reassignment, regardless of whether they hold a GRC;
trans women cannot insist on access to women-only spaces (such as toilets or changing rooms) based on their acquired gender alone;
employers must carefully balance the rights of trans employees with those of other employees who may expect single-sex spaces to reflect biological sex.

This is a significant clarification in an area that has seen legal and cultural uncertainty. While some policy areas remain open to challenge — and further case law is likely — employers should now:

review equality, diversity and inclusion policies;
revisit your approach to single-sex spaces and occupational requirements;
take care when handling sensitive personal information, such as gender identity or gender reassignment status.

Above all, respect and sensitivity are key. Employers will need to walk a careful line, ensuring dignity and privacy for all employees while complying with what is now a clearer, if at times uncomfortable, legal framework.

If you would like help reviewing your workplace policies in light of this judgment, please get in touch with the Employment Team at Boardside Law.

Selling to consumers: are you ready for April changes?

Thu, 20 Mar 2025 18:50:58 GMT

Selling to consumers: are you ready for April changes?

by Sarah Podesta

6 April 2025 is a key date for those businesses that sell products and/or services to the general public. New legislation coming into force on that date introduces heavy corporate and individual penalties for breaches of consumer protection legislation.

There are also new rules in relation to fake reviews and subscription-based contracts.

Businesses selling to consumers are advised to review their terms and conditions and their sales and marketing materials, including in-store, website and social media content, to ensure they comply with the rules.

Background

The consumer protection provisions of the Digital Markets, Competition and Consumers Act (DMCCA) give new powers and penalties to the Competition and Markets Authority (CMA) to enforce consumer laws, including fines of up to 10% of global annual turnover and fines for individual directors. Although most of the practices targeted by the rules were already unlawful, until now the CMA’s only option for enforcing them has been by using court proceedings. The new direct enforcement powers under the DMCCA therefore represent a step-change in the compliance risk profile for businesses involved in consumer sales.

The following types of commercial practice are covered by the DMCCA:

‘Banned practices’: a total of 32 practices which are always prohibited, including false health and medical claims, falsely claiming a product is scarce, and falsely describing products as free. From 6 April, the use of fake or misleading product or service reviews (including those that do not disclose that a review has been paid for) will also be a banned practice.

Unfair practices: including:

misleading customers through what you say, or omit to say, about a purchase they are considering (e.g. claiming that a price promotion will save a customer money when this is not true);
aggressive sales tactics;
omitting ‘material information’ from a product listing, meaning that the customer does not know all the key terms before making a purchase. This particularly applies to ‘drip pricing’, where hidden additional charges are only revealed to the customer after purchase.

Subscription contract practices: the DMCAA brings in new rules to regulate subscriptions, including in relation to the information a consumer must be given upfront, together with the reminders that they must be given about upcoming renewals and their rights to terminate. These particular rules will not come into force until 2026, allowing some time for businesses to review their practices and make any necessary amendments.

Recommendations for businesses

Sales and marketing to consumers often involve multiple communications using product descriptions, price promotional banners, online customer reviews and price calculation tools, as well as the terms and conditions of sale. All of these touchpoints with consumers are potentially in scope of the DMCCA and should be reviewed to ensure they do not include any banned or unfair practices.

In our experience such reviews will often identify misalignment between different types of content (e.g. price information in a calculation tool and in marketing statements) that results from different pages being updated at different times or by different teams. Catching and correcting such errors is likely to improve customer satisfaction with your sales process as well as reducing the risk of your content being found to be misleading.

If you would like to discuss assistance with such a review, or further information about the application of the DMCCA, please get in touch.

Neonatal Care Leave and Pay

Thu, 20 Mar 2025 18:41:18 GMT

Neonatal Care Leave and Pay

From 6 April 2025, the Neonatal Care (Leave and Pay) Act 2023 will come into force, introducing new rights for parents whose babies require neonatal hospital care. The Act provides up to 12 weeks of paid leave, in addition to existing maternity, paternity, and shared parental leave entitlements.

For employers, this marks a significant shift in family-friendly workplace rights, ensuring that parents facing the stress of neonatal care have the time and financial support they need.

Who is eligible for Neonatal Care Leave (NCL)?

NCL will be available from day one of employment, ensuring that all parents, regardless of their length of service, can access this right. The leave applies where:

the baby is born on or after 6 April 2025;
the baby is admitted to hospital within the first 28 days after birth;
the baby requires a continuous stay in hospital of seven days or more.

The right applies not only to biological parents but also to:

intended parents (for surrogacy arrangements);
partners of the baby’s mother, including those in long-term relationships who expect to share parental responsibility;
adoptive parents, under similar eligibility rules.

Employees can take the leave flexibly at any point within the first 68 weeks of the child’s life, providing greater support to families managing complex medical care.

What about Neonatal Care Pay?

While all employees will be eligible for NCL, the right to receive Statutory Neonatal Care Pay ( SNCP ) is subject to additional eligibility requirements. Employees must:

have at least 26 weeks’ continuous service before starting NCL;
earn at least £123 per week on average (the same threshold as statutory maternity and shared parental pay).

Employers will need to process SNCP payments in a similar way to other statutory parental leave entitlements. Reimbursement mechanisms for businesses, such as recovery of statutory pay from HMRC, are expected to mirror existing family leave frameworks.

What Does This Mean for Employers?

Policy Updates & HR Preparedness

Employers should review and update their family leave policies to incorporate Neonatal Care Leave and Pay. HR teams should be trained on the new entitlements, including:

handling employee requests for neonatal leave;
confirming eligibility for statutory pay;
managing flexible leave arrangements within the 68-week entitlement period.

Workforce Planning & Absence Management

With up to 12 weeks of additional leave available, employers, particularly those in small businesses or critical operations, may face challenges in workforce planning.

Businesses should consider:

contingency staffing solutions, such as temporary cover;
supporting returning employees, particularly those managing ongoing medical needs for their child.

Final Thoughts

Reinforcing the Government’s focus on workplace rights for parents, a key objective of this legislation is to ensure that parents can prioritise their baby’s health without financial hardship or job insecurity. While the new rights provide vital support for families, they also introduce new challenges for employers in managing extended employee absences and statutory pay obligations.

At Boardside Law, we advise businesses on employment law compliance and family-friendly workplace policies. If you need guidance on implementing these changes, please get in touch.

Holiday Pay Liability: Assessing Your Risk

Thu, 20 Mar 2025 18:37:15 GMT

Holiday Pay Liability: Assessing Your Risk

Currently, if a worker is not given paid leave, or where an employer fails to pay the correct amount of holiday pay, the relevant worker can claim for unlawful deduction from wages in the Employment Tribunal or make a claim under regulation 30 of the Working Time Regulations 1998. The employer can be ordered to pay the worker any holiday pay due plus compensation.

Changes proposed in the Employment Rights Bill (ERB) will have an effect on holiday-related compliance, and recent activity in the Employment Tribunal and Employment Appeals Tribunal has considered the way in which compensation on unpaid holiday pay is dealt with and whether interest can be levied on unpaid amounts. In this article, we look at these evolving issues and the risks they pose for employers.

The Fair Work Agency

The proposed new FWA (please see article above) will be responsible for enforcement of minimum wage, sick pay and worker entitlements, and it will also have authority over holiday pay compliance. These powers include issuing underpayment notices, with penalties of up to 200% of the owed amount and a 28-day rectification period.

Employers will be required to maintain holiday pay records, demonstrating compliance for six years, with penalties for non-compliance including civil charges and fines.

Compensatory power of tribunals

The issue of compensatory power was recently considered by the Employment Appeal Tribunal (EAT), specifically in relation to a tribunal can award interest on unpaid holiday pay (Main -v- SpaDental Ltd [2024] EAT200).

In this case, the claimant had provided services to a dental company. No entitlement had been given to paid annual leave during nearly 6 years of service. The claimant had been bankrupt for a period of a year during this time. When the contract was terminated, the individual claimed that he had been a worker and that he was owed 6 years of holiday pay. The claim was upheld by the Tribunal and stated that he was owed £83.5K in unpaid holiday pay. A further claim for interest to be added to the amount was rejected.

The EAT partially upheld the appeal for compensation to be added, holding that any compensation should be awarded to his bankruptcy trustee. Tribunals may not have power to award interest on unpaid holiday pay but regulation 30 allows for ‘interest-like’ compensation awards, to compensate a worker for the financial reduction in value they have suffered from the failure to pay holiday pay. The case will be reconsidered by the original tribunal with regard to the issue of interest-like compensation on the unpaid holiday pay.

Action points

Correctly categorising workers - if individuals are miscategorised, for example if they are being treated as consultants when they could claim to be workers, they might be able to pursue claims for unpaid holiday pay. The claims can extend as far back as when their contract first started, which could result in considerable compensation claims.
Consider how far compensatory power can extend – as well as ‘interest-like’ compensation, a tribunal may consider other reasons to increase the amount. For example, holiday pay is generally pensionable pay and pension contributions may have been impacted by non-payment.

If you are concerned about compliance with holiday pay legislation and your exposure to risk, please contact the Boardside team. Email enquiries@boardside.co.uk

The Fair Work Agency

Mon, 17 Mar 2025 18:33:00 GMT

The Fair Work Agency

The ERB announces the introduction of the Fair Work Agency (FWA) , a new regulatory body which will be responsible for enforcing certain employment rights.

The FWA will oversee areas such as National Minimum Wage compliance, holiday pay calculations, and additional payments for cancelled shifts. Under current proposals, the FWA will be able to enforce failure to keep adequate records for holiday pay, and it will have the ability to enforce holiday pay with a civil penalty. The FWA will also have the power to bring proceedings in the Tribunal on the behalf of workers, and to provide, or arrange for provision of, legal advice and representation for any person who is a party to proceedings relating to employment or trade union law.

Importantly, enforcement is expected to operate through anonymous tip-off helplines, meaning that employers may be subject to investigations or audits without being aware of who has lodged a complaint. Enforcement officers will have the power to enter business premises to examine documents, require any person on the premises to produce documents, or check any computer or other equipment used to process or store information or documents. They will also be able to seize documents.

In addition, one new power of the FWA will be to request a ‘Labour Market Enforcement Undertaking’ ( LME ). If it is believed that a person has committed a ‘labour market offence’ (for example national minimum wage legislation), they can be asked to give an undertaking to comply with any requirements set out in an LME.

Failure to comply with an LME order is a criminal offence.

It is unlikely that the FWA will be up and running before Autumn 2026 at the earliest, but it is nevertheless worth taking note of what is on the horizon.

What This Means for Employers

We cannot help but recall the quote from the witches in the opening scene in Macbeth: ‘fair is foul and foul is fair….’!

While the introduction of a dedicated enforcement body is designed to improve compliance and worker protections, it also raises concerns about additional regulatory burdens, increased scrutiny of businesses, and potential unintended consequences.

Ultimately, the FWA’s significance will depend on its resources and funding. Although it is likely to generate its own revenue through imposing penalties, additional substantial resources will still be required for it to function effectively.

The combination of longer time limits for bringing Employment Tribunal claims (increasing from 3 months to 6 months) and the creation of the Fair Work Agency is likely to result in an increased number of disputes. Employers will need to be especially cautious when handling dismissals, redundancies, and flexible working requests. Businesses should also be prepared for potential audits and compliance checks from the FWA, which could lead to increased administrative burdens and the need for more robust record-keeping.

Whilst stronger enforcement may benefit employees, businesses could face challenges if the FWA takes an overly aggressive approach, leading to investigations based on unverified or minor complaints. The risk for small businesses and startups is particularly concerning. Whilst large corporations may have dedicated HR and legal teams to manage compliance, smaller entitles could struggle with increased compliance costs (particularly if new reporting obligations are introduced) and costly legal battles.

To prepare for the FWA, employers should focus on enhancing their documentation and record-keeping practices. Keeping thorough records of disciplinary actions, performance management, and dismissal decisions will be critical in defending any claims that arise. Employers should also keep track of key personnel who leave the organisation, as their testimony may be needed if an Employment Tribunal claim is brought at a later stage. Preparing cases early and ensuring all relevant evidence is retained can significantly improve an employer’s ability to defend itself against claims.

Key amendments to the Employment Rights Bill

Wed, 12 Mar 2025 18:28:06 GMT

Key amendments to the Employment Rights Bill

What employers need to know following the Government’s announcements

The Employment Rights Bill (ERB) is set to introduce significant changes to UK employment law, the majority of which are expected to take effect in 2026 .

On 4 March 2025, the Government announced a series of amendments to the ERB. These changes result from the Government’s response to its statutory consultations, as well as additional amendments which the Government is proposing outside the consultation areas. Responses to the consultations have now been published, together with a significant number of proposed amendments to the ERB (now up to 310 pages!) in response to early consultations on topics including statutory sick pay, collective consultation and guaranteed contracts for agency workers.

The proposed changes could have far-reaching implications for employers, affecting hiring practices, absence management, and Employment Tribunal claims. In this edition of our newsletter, we bring you up to date with an outline of the key amendments set out by the Government and a summary of what employers can do to prepare.

Statutory Sick Pay (SSP) – the cost of absence

Current Position

At present, SSP is only payable from day four of an employee’s sickness absence. Employees must earn at least £123 per week to qualify (due to increase to £125 in April 2025), and SSP is set at a fixed weekly rate of £116.75.

ERB Amendments

The proposed changes will make SSP payable from day one of incapacity, removing the current three-day waiting period. Additionally, the earnings threshold for eligibility will be eliminated, making SSP a universal right available to all workers, regardless of how much they earn. SSP for low earners is to be set at the normal rate or 80% of their average weekly earnings, whichever is lower.

The Government has published its consultation response on strengthening SSP under the Employment Rights Bill. The consultation focused on establishing what percentage of earnings should be used to calculate SSP for low rate workers, stating that this is an attempt to strike a balance between providing financial security for employees, as well as ensuring that employees are incentivised to return to work when they are able to, and limiting additional costs to businesses. These proposals will be confirmed by an amendment to the ERB.

Potential Impact on Employers

For employers, these changes are likely to result in increased costs, particularly for those who do not currently offer contractual sick pay from day one of absence. Businesses that employ a high proportion of casual or zero-hours workers may be disproportionately affected, as SSP will now be payable even for those working minimal hours. Another anticipated consequence is an increase in short-term absences, as employees may be more inclined to take time off work when SSP is available immediately.

How Employers Can Prepare

Employers should take proactive steps to tighten absence management policies. Ensuring clear guidelines on sickness absence, including formal return-to-work interviews and absence ‘triggers,’ will be key to discouraging unnecessary absences. Monitoring patterns in sickness leave and identifying trends can help employers manage absenteeism effectively. Additionally, considering flexible working arrangements may help employees return to work sooner and reduce prolonged absence due to ill health.

Zero Hours Contracts – greater protection for workers brings new challenges for employers

The Government has confirmed that the Employment Rights Bill will introduce a new framework to regulate zero-hours contracts, with further secondary legislation to clarify the details. The measures will apply not only to direct employers but also to agency workers, significantly changing the way temporary staff are engaged.

ERB Amendments

The ERB already includes three major protections for zero-hours and low-hours workers:

a right to be offered guaranteed hours for zero and low hours workers who have completed a set reference period of continuous work. The number of hours offered will have to reflect the number of hours that the worker regularly works during a reference period (how this period is to be calculated will be specified in regulations, but we expect that it will be 12 weeks);
a right to reasonable notice of shifts and changes in shifts
a right to compensation if a shift is cancelled, moved, or curtailed at short notice.

The Government has also confirmed that it will table amendments to the ERB to include the extension of these protections to agency workers, under a new regulatory framework, meaning that both employment agencies and end hirers will bear responsibility for compliance. This is to prevent employers from using agency workers as a 'loophole’ in the Government’s plans to end ‘exploitative zero hours contracts.’

The Secretary of State will have the right to publish regulations stipulating the manner and form in which notification should be given to the agency worker of shifts, cancellations or curtailments.

Who Will Be Responsible for Compliance?

Notice of shifts and changes: this will be the joint responsibility of the employment agency and the end hirer. If a worker brings a tribunal claim, liability may be apportioned between the two parties;
Compensation for cancelled shifts: this will be paid by the employment agency, but agencies will have the right to recoup the cost from the end hirer if they have arrangements in place with the end hirer allowing for this;
Guaranteed hours for agency workers: the end hirer will be responsible for offering qualifying workers guaranteed hours. Businesses will not be required to offer guaranteed hours if they can demonstrate a genuine temporary work need, such as seasonal demand fluctuations.

Potential impact on employers

The Government’s consultation response confirms a commitment to ‘retaining necessary flexibility for employers in how they manage their workforces.’ The detailed provisions will be key to determining how this can be achieved. These changes could present significant cost and administrative challenges for businesses that rely on zero-hours and agency workers. While the measures are intended to provide greater job security, they may also reduce the flexibility that makes these working arrangements attractive to both employers and workers. Businesses will need to assess their hiring models carefully to ensure compliance without undermining operational agility. They Government has stated that it will develop guidance to assist workers, agencies and end hirer in understanding the new rights before they come into force.

Trade Union reform – creating a ‘modern framework’ for industrial relations

Following a consultation on modernising industrial relations, the Government has proposed several key changes to trade union provisions in the Employment Rights Bill. These measures are designed to streamline union procedures while enhancing protections for workers. The changes have the potential to lead to greater union presence in many workplaces, and to increase the number of employees whose terms are determined by collective bargaining.

What Are the Key Changes?

The proposed amendments to the ERB include:

reducing the notice period which unions must provide to employers for industrial action from the current 14 days. The Government is currently proposing a 10 day notice period;
delaying the current ERB proposal to repeal the 50% turnout threshold for industrial action ballots, which will require separate regulations, to coincide with the introduction of e-balloting;
simplifying notice of industrial action and increasing the period for which a ballot in favour of industrial action provides a mandate from six months to twelve months before it expires;
expanding the rights of access of Trade Unions to the workplace, to include virtual access alongside or instead of physical access. There will be a fast track process for approval of access agreements that meet certain criteria, and a mechanism to enforce penalties for non-compliance with access requirements, including the introduction of a framework for fines issued by the Central Arbitration Committee (CAC) for non-compliance with union access rights;
replacing the requirement for unions to ballot members every ten years regarding whether they wish to maintain a political fund, with a simpler requirement to remind members every 10 years of their right to opt-out of contributing to the union’s political fund;
introducing e-balloting in order to make voting more accessible.

Employers should review their industrial relations policies to ensure compliance and minimise the risk of industrial disputes.

Conclusion

The Employment Rights Bill represents a major shift in UK employment law. To remain compliant and mitigate potential risks, employers should take proactive steps to adapt to the new landscape. Strengthening recruitment and probation policies will be essential to minimise dismissal risks under the new unfair dismissal framework.

Reviewing absence management procedures will help control costs as SSP rules change. Improving record-keeping and compliance processes will be crucial in light of extended ET claim time limits and the introduction of the Fair Work Agency (see below).

The Bill will now move to the Reports stage of the House of Commons for parliamentary scrutiny.

If you have any questions about how these changes may affect your business, or if you need assistance with employment law compliance, please get in touch with our team at Boardside Law.

2025 Business Immigration Update

Sat, 18 Jan 2025 21:18:56 GMT

2025 Business Immigration Update

Striking the Right Balance

As the UK continues to refine its immigration policies in an attempt to attract global talent, whilst simultaneously reducing net migration figures, 2025 is likely to bring significant updates to business immigration pathways. Changes aim to balance, on the one hand, economic growth and labour market needs (particularly in high-demand sectors), against the Government’s pledge to implement new measures to cut historically high levels of migration to the UK, on the other.

Key Highlights

An update on the Innovator Founder Visa route: a possible alternative to a skilled worker visa

The Innovator Founder visa category, introduced in 2023, allows Non-UK entrepreneurs to come to the UK to set up and run their own business.

To qualify, applicants must first secure an endorsement from an authorised body, demonstrating that their business is ‘innovative, viable and scalable.’ The Innovator Founder visa replaced the Innovator and the Start Up visa routes, and it has rapidly become the primary visa category for foreign entrepreneurs looking to set up a business in Britain.

The Innovator Founder Visa is aimed at individuals looking to start scalable businesses that can contribute to the UK economy. This visa provides an initial three-year stay, with the possibility of extension or applying for indefinite leave to remain if specific business criteria are met. However, obtaining the requisite endorsement in the first place can be challenging, due to rigorous criteria.

In contrast, the Skilled Worker Visa can be self-sponsored by business owners who act as employees of their own established UK company. While this avoids the need for endorsement, it requires meeting specific salary and job criteria, making it more suitable for those focusing on operating a business rather than launching an innovative startup. The Skilled Worker Visa offers a simpler route without the need for innovation, but it requires the business owner to operate within the constraints of employee sponsorship, which may limit flexibility in the early stages of business growth.

In any event, the Innovator Founder route is an exciting option for entrepreneurs, for example in the technology, sustainability, and life sciences sectors, and it is now a popular alternative to the ‘self-sponsorship’ Skilled Worker Visa route.

The Skilled Worker Visa: the Government’s fondness for lists!

Last year, the Skilled Worker immigration route saw significant changes, including an increase in the standard Skilled Worker minimum salary level increasing by more than a third (from £26,200 to £38,700). This means that, to be eligible for a Skilled Worker visa, most applicants in 2025 will need to demonstrate a salary at or in excess of £38,700, as well as meeting or exceeding the relevant ‘going rate’ for their particular role, which is set out in the Home Office’s list of occupational codes (or SOCs for short).

In addition, the Home Office maintains an ‘Immigration Salary List’, which provides details of all occupations with a reduced general salary threshold in respect of the Skilled Worker route. Occupations which are on the Immigration Salary List do not need to satisfy the full general salary requirement of £38,700. Instead, these occupations have a 20% discount on the general salary threshold, meaning that the general salary threshold is reduced to £30,960.

Finally, the Shortage Occupation List (which is regularly reviewed by the Migration Advisory Committee) may be reviewed again in 2025 (the most recent review was in 2023), potentially adding more roles to address any persistent labour shortages.

For those who enjoy browsing a good list, the Home Office provides plenty to explore! For everyone else, navigating the various lists comprising occupational codes and salaries can sometimes be a logistical challenge, and Boardside Law is always happy to help with any queries.

eVisas – a reminder:

All biometric residence permits expired on 31 December 2024, so all overseas nationals who are currently residing in the UK on the basis of a biometric residence permit must apply for an eVisa as a matter of urgency.

In practice, the Government has confirmed that expired documents will be accepted in practice until 31 March 2025, but it is nevertheless essential for applications to be made a priority.

Impact on Employers

Streamlined Processes: The proposed changes aim to reduce administrative burdens, making it easier for employers to recruit and retain international talent.
Focus on High-Skill Sectors: By targeting key industries, the government hopes to address skills shortages and drive economic growth.
Enhanced Compliance: Employers must remain vigilant about compliance requirements, particularly around right-to-work checks and sponsor licence obligations.

Action Points for Employers

Review Sponsorship Capabilities: ensure your organisation’s sponsor licence is up-to-date and ready for expanded visa use.
Reminder to employees: ensure that any relevant employees who are overseas nationals have applied for their eVisas.
Engage with specialists: leverage expertise to identify the best immigration pathways for prospective hires.
Monitor Policy Updates: stay informed about changes to ensure timely adjustments to recruitment strategies.

The proposed reforms reflect the UK’s ambition to remain competitive in the global talent market while addressing domestic labour challenges. Employers should act now to align their immigration strategies with these upcoming changes.

Tackling Harassment in the Workplace

Sat, 18 Jan 2025 21:05:30 GMT

Tackling Harassment in the Workplace

As highlighted in our November 2024 Boardsheet, we have recently seen significant changes introduced by the Government in relation to tackling sexual harassment at work, with a new duty on employers to take reasonable steps to protect employees from sexual harassment (with effect from 26 October 2024). In 2025, the Health and Safety at Work Act 1974 (Amendment) Bill, could further extend protection for employees against sexual harassment, with specific obligations for employers to address violence and harassment (particularly sexual harassment), in the workplace.

Whilst this is a Private Members’ Bill (so it may never become law), the proposals reinforce the emphasis which has been placed on harassment in the work environment, and align with the Worker Protection (Amendment of Equality Act 2010) Act 2023. If this Bill is passed, we could see criminal liability for employers, enforcement action being conducted by the Health and Safety Executive, and unlimited fines.

Key Proposed Changes

Risk Assessments: employers will be required to include violence and harassment, including sexual harassment, as part of their workplace risk assessments.
Prevention Policies: organisations must implement and regularly review policies aimed at preventing and dealing with harassment, ensuring these are actively communicated to all employees.
Training Requirements: employers will need to provide training to staff and management to identify and address harassment effectively.
Reporting Mechanisms: it is important for employers to establish clear and confidential reporting systems to ensure employees feel safe disclosing incidents.

Practical Steps for Employers

By addressing these issues proactively, employers can:

protect employees from harm and create a positive working environment;
reduce absenteeism and staff turnover related to harassment; and
strengthen organisational culture and reputation.

Action Points

Review Current Policies: this is a good opportunity to check wording of existing health and safety policies, as well as policies relating to harassment and bullying;
Audit Workplace Culture: conduct anonymous surveys to identify potential issues;
Training and Awareness: roll out comprehensive training programs tailored to the needs of your workforce;
Monitor and Improve: regularly review the effectiveness of prevention measures and make adjustments as needed.

The Bill is a reminder to employers that they should look to audit and review workplace safety with a view to enhancing and supporting employee wellbeing, in accordance with the Worker Protection (Amendment of Equality Act 2010) Act 2023.

Final Note: These updates highlight the evolving responsibilities of employers in fostering safe, inclusive, and equitable workplaces. For tailored advice or support in implementing these changes, please contact our Boardside Law team.

Pregnancy Discrimination and Compensation

Fri, 17 Jan 2025 16:50:03 GMT

Pregnancy Discrimination and Compensation

Boardside Law has acted for both employees and employers in pregnancy related disputes.

In one such case Tribunal recently, we were instructed by a talented artist, who had been dismissed from her role as a designer, one week after informing her employer that she was pregnant.

Her case bears a striking resemblance to the recent Employment Appeal Tribunal (EAT) decision in Shakil v Samsons Ltd , which serves as a crucial reminder of the legal protections afforded to pregnant employees and the significant consequences for employers who fail to uphold their obligations.

Background

Ms. Shakil, an accountant/bookkeeper who had worked for her employer for around 6 months, alleged she was subjected to discriminatory treatment by her employer, Samsons Ltd, after taking time off due to morning sickness. Samsons Ltd reduced her hours of work without notice, criticised her capability and conduct, placed her at risk of redundancy (citing a downturn in work), and dismissed her one day before she was due to go on maternity leave. Among her claims, Ms. Shakil highlighted exclusion from key meetings, and negative comments made by her manager, suggesting her pregnancy was an "inconvenience" to the business.

Ms. Shakil’s claim of discrimination was successful. The Tribunal found that:

Ms. Shakil had been treated unfavourably due to her pregnancy, contrary to the Equality Act 2010;
the employer’s actions created a hostile work environment, and the redundancy was a sham which was motivated by Ms. Shakil’s pregnancy.

Ms. Shakil appealed the amount of compensation she was awarded (£5,000). The EAT agreed with Ms. Shakil that the initial award by the Tribunal was ‘totally flawed’, not least because the Tribunal had not taken into account the ‘Vento Bands’ (see below). The EAT increased the amount of compensation for injury to Ms. Shakil’s feelings, stating: ‘This [was] not a case in which there was one-off treatment that would be likely to result only in limited injury to feelings.’ (Ref: [2024]EAT 192).

The Vento Guidelines

The Vento Guidelines are used to assess the amount of compensation in cases of discrimination or harassment, based on factors such as injury to feelings. They categorise compensation levels for injury to feelings into three bands, which are currently as follows:

Lower Band : £1,200 to £11,700 - for less serious cases, where the act of discrimination or harassment is found to have a limited impact on the claimant.
Middle Band : £11,700 to £35,200 - for cases that are more serious.
Upper Band : £35,200 to £58,700 - for the most serious cases of discrimination, harassment, or victimisation, where the impact on the claimant is significant.

In exceptional cases the level of compensation could be even higher. An award of injury to feelings compensates a ‘victim’ for subjective feelings of, by way of example, upset, frustration, worry, anxiety, mental distress, fear, grief, anguish, humiliation, unhappiness, stress, and depression.

Employers should bear in mind that the purpose of the award is to compensate a claimant for harm caused rather than to punish the respondent. When considering likely compensation, it is important to assess the impact upon the actual individual involved, because unlawful discriminatory behaviour may affect different individuals differently. Overt discrimination and the conduct of the employer is likely to increase the level of injury to feelings, however. Such conduct can include defending the claim in an inappropriate manner, which can be a reason for the Tribunal to award an increased amount for the level of injury to feelings.

Key Takeaways for Employers

Proactive Training: managers and HR teams must be trained to handle pregnancy-related matters sensitively and within the legal framework.
Inclusive Work Practices: pregnant employees should not face any reduction in responsibilities or exclusion from opportunities unless explicitly requested by the employee.
Documentation: employers should maintain clear records of communications and decisions to demonstrate fair treatment if disputes arise.

This case underscores the importance of fostering an inclusive culture and ensuring compliance with the Equality Act to avoid costly litigation and reputational damage. Boardside Law can provide advice and guidance to employers in relation to the financial impact of individual cases.

Contracts with suppliers: are you leaving money on the table?

Mon, 09 Dec 2024 15:57:06 GMT

Contracts with suppliers: are you leaving money on the table?

From office supplies to IT infrastructure and essential components, businesses of all sizes enter contracts to purchase goods and services.

For each business a small number of these will be key strategic relationships, and the contracts with these suppliers will likely receive attention from the executive team or the board. The majority of purchases, however, will be non-strategic and/ or low value in nature. Resource constraints mean that standard terms and conditions presented with the supplier’s quote will often be overlooked, and a contract entered into with neither review nor negotiation. This can lead to unpleasant surprises when the business wants to exit the contract, resist a price increase or claim compensation for poor performance.

Examples of contractual provisions that can cause revenue leakage if not checked include:

Payment terms:

Suppliers’ standard terms often include short payment terms. Can your accounts payable processes meet their requirements? If not, you risk being late in paying. Can you extend the payment terms to improve your cashflow?
What is the interest rate on late payment? If the contract does not specify, the law provides a default of 8% above base rate. It is common for purchasers to request a lower rate.
Does the contract entitle you to set off amounts owed by the supplier against payments for the contract goods or services?
Is there a mechanism for changing the price? Does this require both parties’ agreement, or is it automatic (e.g. an annual upwards ratchet?)

Performance management:

Are there clear timescales for delivery of goods and services, and remedies for delays?
In longer-term contracts for services, chronic underperformance is a material risk. Including service levels and service credits can incentivise performance and provide a straightforward financial remedy for non-compliance.
Where a supplier is supporting the purchaser to deliver innovative or improved outcomes, “pain-share/ gain-share” mechanisms can be included in the contract to allocate financial risks and make payment conditional on delivery.

Termination rights:

How can you exit the contract if performance is poor or you want to switch supplier?
Are there key dates or deadlines for giving notice? Standard terms and conditions often roll over automatically, locking in the purchaser for another fixed period.

Liability and indemnities:

What are your liabilities? In simple contracts, a purchaser’s only enforceable obligation may be to pay the purchase price. In more complex relationships there may be additional obligations regarding use of the supplier’s tools, know-how or brand name.
Even contracts for low-value items can include disproportionate liabilities for the purchaser. These should be identified and, where appropriate challenged.

Action Points for Purchasers

While there can be no “one-size fits all” approach to a business’s purchasing contracts, the following process steps can improve oversight and management of this important cost area.

Map your suppliers: A classic procurement model segments suppliers along two axes: the value of the contract (low/high) and the number of available suppliers (few/ many). This is a useful starting point for a risk-based allocation of management and legal resources.
Implement rules for review: Low value commodity contracts may require only a check of four or five key clauses to secure “quick wins” and avoid traps. Long-term, strategic or partnership type arrangements will likely merit a more bespoke contract and detailed negotiation.
Track key dates: including price reviews, deadlines for notice of termination or renewal, contract expiry dates.
Monitor performance: Pro-actively enforce the contract, including service credits or other financial remedies.

How Boardside can help

Boardside Law’s commercial lawyers have significant in-house experience working with businesses to optimise their purchasing arrangements and minimise supply chain risk. Our support services include reviewing third party terms, preparing bespoke purchase contract templates and training management and operational teams on contracting processes.

The Role of a Good Chair: Guiding the Board to Success

Thu, 05 Dec 2024 14:29:48 GMT

The Role of a Good Chair:

Guiding the Board to Success

The role of the Chair is pivotal in ensuring a well-functioning, effective and harmonious company board (Board). For our corporate clients, understanding the nuances of this leadership position can help establish strong governance, drive strategic clarity, and foster better relationships between key stakeholders.

Below, we set out the framework for four critical aspects of being an effective Chair, alongside practical guidance for navigating the challenges of what can be a demanding yet rewarding role. In the coming weeks, we will elaborate on all of these with our top tips.

Facilitating Board meetings effectively

A well-chaired Board meeting is the foundation of productive governance. The Chair should:

Set the agenda: collaborate with the company secretary to ensure the agenda prioritises strategic discussions and avoids unnecessary detail.
Encourage diverse contributions: ensure all Board members feel heard, creating an environment where constructive debate thrives.
Maintain focus: guide the meeting with a clear structure, adhering to time limits and steering discussions back on track when they drift.
Ensure clarity of outcomes: summarise discussions, confirm decisions and delegate follow-up actions effectively.

A skilled Chair can balance robust discussions with decisive action, ensuring meetings are both efficient and impactful.

Managing difficult Board members

Board dynamics can occasionally become strained, especially when strong personalities or conflicting views are at play. A good Chair should:

Address issues early: speak privately with difficult Board members to understand their concerns and manage behaviour constructively.
Focus on the mission: remind all members of their shared responsibility to serve the company’s interests rather than personal agendas.
Foster collaboration: use tools such as facilitation training or mediation to help resolve conflicts.
Know when to escalate: in cases of persistent disruption, the Chair should liase with governance experts or consider recommending replacement if behaviour undermines the Board’s effectiveness.

By handling tensions swiftly and diplomatically, the Chair preserves the cohesion and professionalism of the Board.

Bridging the Board and the Senior Leadership Team

The relationship between the Board and the Senior Leadership Team (SLT) is critical for strategic alignment. The Chair plays a key role in ensuring this connection functions smoothly by:

Acting as a conduit: providing the SLT with a clear understanding of Board expectations and delivering accurate insights from the SLT to the Board.
Balancing oversight and autonomy: supporting the SLT in delivering on strategic goals without micromanaging.
Building trust: establishing a regular cadence of communication between the CEO and the Chair to create a collaborative relationship.
Encouraging accountability: setting performance expectations for the SLT and facilitating transparent reporting to the Board.

A strong Chair ensures that both the Board and SLT operate in synergy to achieve long-term success.

Navigating shareholder relations and strategy

Significant shareholders can bring both opportunity and complexity to Board strategy. The Chair must adeptly manage these relationships whilst safeguarding the Board’s independence:

Engage early and often: proactively communicate with key shareholders to align their expectations with the company’s strategic direction.
Balance competing priorities: navigate tensions between shareholder interests and long-term objectives, ensuring that decisions benefit the business as a whole.
Protect Board independence: encourage transparency whilst ensuring shareholders respect the Board's authority to manage operations.
Mediate during disputes: act as a neutral party to address shareholder concerns and prevent them from derailing the company’s strategy.

By fostering mutual understanding and respect, the Chair ensures shareholders remain supportive partners in the company’s growth.

Beyond the Basics: Leadership for the Future

In addition to these core responsibilities, Chairs must stay ahead of emerging governance trends. Current priorities include fostering ESG alignment, ensuring diversity and inclusion within the Board, and embracing technological innovation to drive informed decision-making.

A good Chair is not just a facilitator but a strategist, a mediator, and a leader. By mastering these roles, they can guide the Board and the wider business towards enduring success.

Boardside Law works closely with Chairs and Boards to navigate governance challenges, shareholder relationships, and strategic decision-making. If you would like to learn more about how we can support your leadership team, or for strategic employment concerns, please contact Richard at rport@boardside.co.uk , or Sarah at spodesta@boardside.co.uk

Corporate Governance: ESG Standards in Focus

Wed, 04 Dec 2024 17:20:28 GMT

Corporate Governance: ESG Standards in Focus

Governance and accountability are under increased scrutiny, with new regulatory developments highlighting the importance of Environmental, Social, and Governance ( ESG ) measures.

Key highlights

The UK plans to introduce legislation in 2025 to regulate ESG ratings providers , in order to enhance transparency and reduce confusion for investors. The proposed regulation will place ESG ratings providers under the supervision of the Financial Conduct Authority ( FCA ), as demand for ESG integration in investment strategies continues to grow. This is in line with the EU, which has brought ratings providers under the oversight of the European markets regulator, ESMA.

The aim is to boost growth, contribute to a cleaner economy and prevent companies in certain sectors, such as defence, from being unfairly penalised by unclear ratings.

2. Non-Financial Misconduct and ESG : The FCA has emphasised the link between governance and ESG by addressing non-financial misconduct as a critical concern for leadership. Companies are expected to demonstrate strong ethical practices and ensure accountability at the executive level.

3. Executive Pay and Governance : Ofwat, the UK’s water regulator, is consulting on restrictions to executive remuneration for water companies failing to meet governance or sustainability targets. This reflects a broader trend of holding executives accountable for aligning company practices with ESG goals.

4. Broader ESG Impact : Stakeholder expectations around governance are evolving. Companies must prioritize workforce engagement, sustainability initiatives, and pay transparency to mitigate reputational risks and foster stakeholder trust.

Action Points :

· Businesses should conduct internal audits to assess ESG compliance and identify areas for improvement.

We would recommend updating governance policies to reflect ethical considerations and incorporate stakeholder feedback.

Boards should view ESG compliance not only as a regulatory requirement but also as a strategic advantage for fostering trust and resilience in a competitive marketplace.

Business Immigration: Expansion of the UK ETA Scheme

Wed, 04 Dec 2024 17:09:10 GMT

Business Immigration: Expansion of the UK ETA Scheme

The body content of your post goes here. To edit this text, click on it and delete this default text and start typing your own or paste your own from a different source.

Employment Rights Bill: Key Consultation Deadlines

Wed, 04 Dec 2024 16:40:25 GMT

Employment Rights Bill: Key Consultation Deadlines

The body content of your post goes here. To edit this text, click on it and delete this default text and start typing your own or paste your own from a different source.

Fire-and-Rehire Practices Under the Spotlight

Wed, 04 Dec 2024 16:33:39 GMT

Fire-and-Rehire Practices Under the Spotlight

Navigating the Legal Landscape

The body content of your post goes here. To edit this text, click on it and delete this default text and start typing your own or paste your own from a different source.

Whistleblowing: A Practical Insight for Businesses

Wed, 04 Dec 2024 16:21:28 GMT

Whistleblowing: A Practical Insight for Businesses

Whistleblowing has become a recurring theme in the headlines, capturing attention with its potential to bring workplaces into the spotlight. While high profile cases often dominate the media, whistleblowing affects organisations of all sizes, from national healthcare providers to independent retailers and charities. Recent legal developments underscore an increasing focus on transparency, accountability and robust protection for those exposing wrongdoing.

A series of recent pivotal Employment Tribunal decisions have reshaped the legal landscape, making it essential for businesses to remain proactive and informed. At Boardside Law, we regularly represent both businesses and senior executives in whistleblowing disputes. Having participated in three different Tribunal Hearings focussing on whistleblowing during the last month, as well as fielding a growing number of complex client queries in this area, we would like to share some actionable insights to help you navigate this evolving area of law.

The Government’s increasingly strict approach in relation to whistleblowing incidents

In a recent press release, the Department of Health and Social Care has pledged to adopt a strict approach in relation to NHS managers who try to silence whistleblowers. The Secretary of State, Wes Streeting MP, launched a public consultation (with effect from 26 November 2024) with regard to government proposals to ensure that health service managers follow professional standards and are held to account, especially in cases which endanger patients’ lives through misconduct. In serious cases, it is proposed that NHS managers could be barred from practising.

The changes are designed to, ‘tackle a culture of cover up’ and to ‘ensure patient safety is at the heart of leadership in an NHS fit for the future’. Whilst the consultation relates to health and social care setting, the general emphasis reinforces the importance of transparency, accountability and professionalism in the workplace generally, in all sectors and at all levels.

Key messages from recent case law:

1. Reduce business risk by taking all complaints seriously (even those that at first sight might seem minor). Ignoring or dismissing complaints (even from external candidates) can lead to reputational risk, financial implications (the cost of having to respond to a Tribunal claim) and operational disruption.

In Sullivan v Isle of Wight Council ( [2024] EAT3 ), the Employment Tribunal clarified that job applicants are not protected by whistleblowing legislation, unless specific circumstances apply (for example, if the individual has a contractual obligation to perform work for the employer, or certain NHS roles). In this case, Ms Sullivan, a rejected job applicant, later alleged financial misconduct by one of her interviewers. When the Isle of Wight Council denied her a right of appeal regarding her complaint, she claimed this amounted to detrimental treatment linked to her protected disclosure. The Tribunal dismissed her claim, ruling that she did not fall under the extended definition of ‘worker’, which includes: (i) those who have, or had, a contract of employment or a contract under which they are personally required to work for the employer (external job applicants do not have such a contract); (ii) non-employees undergoing training; (iii) certain self-employed health practitioners and agency workers. This case demonstrates the limited scope of current legislation, but it also draws attention to the important question of who is legally entitled to protection under the Employment Rights Act 1996.

2. Beware of an ingrained culture of negativity or resentment towards whistleblowers, which can expose employers to liability. Proactively addressing negative attitudes or comments about whistleblowers (especially after disclosure are resolved) can help to avoid long-term consequences.

The case of First Greater Western Ltd -v- Moussa ( [2024] EAT82 ) raises important considerations for employers regarding the treatment of workers who have made protected disclosures, even years earlier. In this case, the claimant, Mr Moussa, alleged that his employer and two individuals had subjected him to an unfair disciplinary process, amounting to a detriment, related to protected disclosures he had made six years previously. Whilst these disclosures had been resolved, Mr Moussa claimed that they had left a residual ‘ill-will’ within the organisation.

The Tribunal and Employment Appeal Tribunal ( EAT ) ruled that the individuals involved in the disciplinary process had not conducted the disciplinary process because of the past disclosures, but they had been influenced because the organisation retained a collective memory of ill-will, which affected the disciplinary process. This was imputed to the company, establishing vicarious liability for the detriment suffered by the claimant.

3. Remember that complaints about harassment or mistreatment of others may qualify as protected disclosures , which afford legal protection against retaliatory action. It is critical to handle such reports with care and ensure that your organisation has appropriate mechanisms in place to support whistleblowers and address concerns effectively.

The question of whether an employee can make a whistleblowing claim after reporting the bullying or harassment of others was addressed in the case of Mysakowski v Broxburn Bottlers Ltd ( 8000379/2023 ). In this case, Mr Mysakowski reported witnessing a manager engaging in inappropriate conduct towards a junior employee. After his dismissal, Mr Mysakowski alleged that his protected disclosure (reporting potential sexual harassment) was the reason for the termination of his employment. The Tribunal found that the Claimant had reported potential violations under the Equality Act 2010, and his actions were deemed to be in the public interest, as he sought to protect his colleagues from possible harassment, such that he was protected by the whistleblowing legislation.

Action Points for Employers

To reduce exposure to legal risks, organisations should:

revise whistleblowing policies to ensure clarity and accessibility;
promote a speak-up culture , making employees feel safe reporting concerns without fear of reprisal. Establishing a safe environment, treating all complaints with care, and documenting responses comprehensively, can help to prevent a case such as Mysakowski -v- Broxburn Bottlers Ltd;
partner with external reporting services for confidential handling of disclosures;
train managers and staff on whistleblowing rights and employer responsibilities to avoid inadvertent breaches. Equipping managers with training on whistleblowing protection and fostering an inclusive environment where employees feel safe to report concerns can help to prevent a case such as First Greater Western Ltd -v- Moussa.

Whistleblowing protections are broader than they may at first appear. Employers should seek legal advice when handling sensitive matters, in particular in relation to disciplinary and grievance issues, to ensure compliance with evolving case law. As whistleblowing reform progresses, Boardside Law can provide tailored guidance to help your organisation navigate these changes and mitigate risk effectively.

How to prepare for the changes to Labour’s employment rights bill

Thu, 11 Jul 2024 11:14:57 GMT

An Employment Guide for Businesses

"The biggest upgrade to rights at work for a generation"

Last month, we looked at what changes we might expect to see in the event of a Labour victory in the General Election. Following Labour’s decisive win, we outline below the steps which businesses can take now in order to prepare for significant reforms, with Labour’s employment rights bill, which are likely to reshape the employment landscape in the UK.

What changes will Labour’s employment rights bill bring?

The new Government promises to introduce legislation, though what that actually means in reality remains vague. From a business perspective, the Government has said it will consult fully with businesses before legislation, which is positive.

Here are the key areas of change that we believe businesses should focus on:

- Employment status: rights for all workers

Labour proposes to eliminate the distinction between employees, workers and self-employed, and settling on ‘worker’ and ‘self-employed’, granting equal rights to all workers, with a consultation ‘in detail’ prior to introducing any changes.

Steps to take:

audit your workforce: identify who is currently classified as a worker, as opposed to an employee;

undertake an impact assessment: evaluate the financial and administrative implications of extending employee rights to all workers, for example increased costs in relation to sick pay and holiday pay. Consider how any additional cost and administrative burden can be absorbed into your current business model;

update contracts: prepare for a unified contract type for all staff going forward;

engage in the Consultation: look out for and participate in the proposed Consultation, to shape practical outcomes for your business.

- Enhancing family-friendly rights

Labour aims to expand flexible working and to review parental leave systems.

To get ready:

audit policies: review your existing family-friendly policies and benefits, and your absence management policy, to see what changes might be required;

prepare for the Consultation: engage in upcoming consultations to shape these changes;

check your current record keeping processes: ensure that you have a robust system for recording all absences across the business, including number of days and reason for absence;

support returnees: develop support systems for maternity returnees and others taking extended leave;

consider impact of introduction of paid carers’ leave: assess cost implications for your business, and consider how many staff are taking time off currently on a compassionate basis

train your managers: ensure that managers are away of the different types of leave, and that all requests for leave are recorded correctly. Consistency of approach across the business is essential.

- Expanding day one rights

Labour’s employment rights bill intends to extend basic individual rights from day one, including protection from unfair dismissal (there is some debate as to whether there will be any qualifying time in employment, such as a probationary period) and the right to sick pay and parental leave.

To prepare:

review probationary procedures: ensure that your probationary period processes are robust and transparent, to enable fair dismissal;

update disciplinary and redundancy procedures: ensure that these are fair and comprehensive beyond any probationary period;

plan for parental leave: anticipate potential changes, such as paid parental leave, and assess cost implications.

- Fair pay

Labour proposes to introduce a ‘real living wage’, including the abolishment of age bands which set different minimum wages for those between the age of 16 and 21. Under these plans, we would see the introduction of a single National Living Wage for all workers aged 16 and over.

Actions to consider:

calculate the cost implications for your business: assess the financial impact of wage increases, particularly for younger workers;

pension contributions: bear in mind the impact of a wage increase on pension contributions;

travel time: consider how you can factor in this cost, especially in you have multiple working sites;

audit internships: ensure compliance with fair pay standards for internships and work experience placements.

- Banning ‘exploitative’ Zero-Hours contracts

Labour plans to end ‘exploitative zero-hours contracts’, possibly banning zero-hours contracts entirely.

Steps to take:

audit your zero-hours contracts: evaluate the extent of your current reliance on these contracts;

consider alternatives: plan for guaranteed hours or other flexible working arrangements;

update records: keep detailed and up-to-date records of employment terms.

- Ending fire and rehire

Labour aims to ban fire and rehire practices (the practice of an employer making an employee redundant and then re-engaging them on reduced terms and conditions), promoting a dialogue-based approach.

To comply:

review any restructuring plans which might be in the pipeline: ensure that future restructuring plans include a thorough consultation process;

understand the Code of Practice in this area: stay informed about the implementation and details of the new Code of Practice (there is discussion about this coming into force on 18 July 2024).

- Equality Measures

Labour seeks to enforce equal pay for race and disability characteristics and focusses on equality, including menopause action plans and protection from discrimination.

Steps to take:

implement pay audits: regularly review your pay practices to ensure compliance;

monitor and report: prepare for mandatory pay gap reporting for race and disability;

update outsourcing practices: ensure that outsourcing does not bypass equal pay requirements;
enhance diversity policies: strengthen your policies around diversity, inclusion and discrimination prevention;

train your managers: ensure that managers are well-versed in handling discrimination issues and supporting a diverse workforce, so that they are aware of potential red flags.

- Extending redundancy and TUPE rights

Labour proposes changes to redundancy and TUPE rights, affecting rules surrounding collective consultations in particular.

To prepare:

review your redundancy policies: update policies to comply with potential changes, especially for multi-site operations;

track redundancies: ensure that you have a system in place to keep detailed records of redundancies across all business units.

- Developing Trade Union Rights

Labour plans to simplify trade union recognition and enhance employee engagement with unions.

To adapt:

build relationships with Unions: foster constructive relationships with trade unions;

prepare for electronic balloting: stay informed about changes to balloting processes and consult accordingly.

Summary

The proposed changes with the Labour employment rights bill present certain challenges for UK businesses, whilst enhancing rights and protections for workers. Costs for businesses will increase.

We believe that the key action points are, in summary, as follows: stay informed, review your current practices and policies, plan for the financial impact of the changes, and make necessary adjustments sooner, rather than later, to navigate this period of change successfully.

At Boardside, we have a comprehensive suite of employment policies and contracts that can be adapted for any given business. We regularly receive enquiries about the effectiveness of employment documents and policies, and we should be pleased to provide more detailed advice and suggested documents on a case-by-case basis. Please do not hesitate to contact us with any queries or concerns.

Labour’s Vision for Employment Law and Practice

Wed, 19 Jun 2024 12:17:25 GMT

How might the employment landscape change under a potential Labour government?

We are in the final phase of the countdown to the General Election. Each political party presents a distinct approach to employment law, reflecting their broader political philosophies and priorities. As the election date draws near, these proposals have been one area (amongst many) of intense debate and scrutiny.

Traditionally the party of workers, Labour has placed employment law changes high on its agenda. Labour has published an employment specific document, entitled: ‘ Plan to Make Work Pay: ‘Delivering a new deal for working people ’. This document makes clear Labour’s intention to deliver ‘ the biggest upgrade to rights at work for a generation ’, promising to ‘boost wages, make work more secure and support working people to thrive – delivering a genuine living wage, banning exploitative zero-hour contracts, and ending fire and rehire.’

What changes might we expect to see in the event of a Labour victory in the election?

Labour proposes significant reforms to strengthen workers’ rights and promote fair employment practices, pledging to ‘ back working people to take their voice back, improve their terms and conditions and ensuring protections at work are fit for the world today. ’

Labour’s manifesto includes a statement to implement the Plan to Make Work Pay document in full, ‘ introducing legislation within 100 days ’. Outlined below are some of the key proposals.

- Single ‘worker’ employment status:

This is perhaps one of the most fundamental changes which has been proposed. The intention is that a two-tier system (of ‘ workers ’ and ‘ self-employed ’) will replace the current three-tier system for employment status (with people classified as either ‘ employees’, or ‘ self-employed ’ or ‘ workers ’). The three-tier system often causes confusion as to what rights individuals are entitled to. Workers, for example, are entitled to holiday pay and protection from discrimination, but have no protection against unfair dismissal.

The aim of Labour’s proposal is to avoid ambiguity and to give individuals a clearer understanding of what protections they are entitled to. How easy such a system would be to implement remains to be seen, although Labour has announced a consultation ‘ in detail ’ prior to introducing any changes.

- Enhancing family-friendly rights:

Proposals include a review of parental leave and ensuring that workers can benefit from flexible working (which would become a default right unless employers have a good reason to refuse it), as well as introducing a right to ‘ switch off ’ outside normal working hours.

- Day one rights:

In another radical proposal, certain key employment rights will be made available from day one, including accessing rights of protection against unfair dismissal and the right to sick pay and parental leave. Currently, an employee can only bring a claim for unfair dismissal (with limited exceptions, for example whistleblowing), on completion of two years’ service.

- Living wage:

Labour has pledged to introduce a ‘ real living wage ’, including the abolishment of age bands which set different minimum wages for those between the age of 16 and 21. Under these plans, we would see the introduction of a single National Living Wage for all workers aged 16 and over.

- Zero-Hours contracts:

Labour pledges to ‘ ban exploitative zero hours contracts ’. The intention is to phase out zero-hours contracts, with the stated aim to ensure all workers receive ‘security and predictability’.

- Fire and rehire:

Labour will end fire and rehire (the practice of an employer making an employee redundant and then re-engaging them on reduced terms and conditions). Fire and rehire will only be possible when the business might not survive without it.

There are also various other proposals, which may impact businesses and individuals, including a right for employees to have a contract which reflects the hours they regularly work (based on a twelve-week reference period), an extension of tribunal time limits for bringing all claims from three months to six months, a requirement for employers with more than 250 employees to have a menopause action plan, new duties on large employers to produce ethnicity and disability pay gap reports, and introducing a right to unpaid bereavement leave (currently only available following the death of a child).

Planning ahead

It is important for employers to consider the impact of the proposals, to prepare for potential change, and to undertake an early review of business procedures and processes to stay one step ahead of likely changes. This is a good opportunity for a review of documentation, irrespective of which party is elected.

We suggest the following steps are taken to prepare for potential changes:

Stay informed: keep up-to-date with Labour’s proposed policies and any developments in their agenda (watch this space!).

Undertake an audit of contracts and policies: evaluate your current employment contracts and policies to see whether they align with Labour’s anticipated changes.

Review current contractual probationary clauses in particular to ensure that there is a clear probationary period with the right to extend it.

Enhance employee relations: encourage open communication with employees about potential changes and seek their input on improving workplace practices. This might include a shift towards more flexible working arrangements, such as remote working and flexible hours.

Consider your recruitment practices and ensure that performance management and disciplinary policies enable you to deal effectively with unsuitable new hires.

Plan for the financial impact of changes: assess the financial implications for your business of potential changes (such as increased wages or enhanced employee benefits) and budget accordingly. Check whether you have insurance protection against the legal costs of defending Employment Tribunal claims.

If you are planning any changes which might be affected by the proposals, for example fire and re-hire, act sooner rather than later.

If you have more than 250 employees, audit your reward mechanisms and consider whether any changes to remuneration structures are needed.

For strategic advice and support on employment law matters please get in touch or call 0330 0949338

Work visa rules and immigration update June 2024

Wed, 12 Jun 2024 17:15:24 GMT

Can overseas nationals work remotely in the UK whilst on vacation?

At Boardside, we frequently receive queries asking us about work visa rules, from UK businesses with overseas offices, whose employees are travelling to the UK on ‘business’. In addition, overseas nationals travelling to the UK on vacation query whether they may undertake work-related activities whilst they are here.

There is often confusion in relation to what specific activities business visitors to the UK are permitted to undertake. Visitors to the UK are not allowed to ‘work’ in the UK, apart from very limited circumstances, due to work visa rules, but what does ‘work’ mean, in this context? These days, people are used to working remotely from home, and often deal with business matters and video calls whilst on holiday.

Recent changes to the Immigration Rules have seen an expansion in the range of activities visitors are allowed to do in the UK from 31 January 2024. This includes changes in the areas of remote working, research, provision of legal services and paid engagements.

What changes will Labour’s employment rights bill bring?

- Easing of restrictions on remote working

The Home Office has issued new guidance in relation to visitors undertaking a limited amount of remote work whilst on a trip to the UK. This guidance states that visitors may undertake activities relating to their employment overseas, ‘ such as responding to emails or answering phone calls ’, provided that this is not the ‘ primary purpose of the visit ’.

It is important to note two particular restrictions:

visitors cannot be employed in the UK (which prevents businesspeople and self-employed people working for UK-based clients whilst they are physically present in the UK);

unless a specific exception applies, visitors must not receive payment from a UK source for any of their activities carried out in the UK.

An interesting point to note is that the Home Office’s guidance to its visa officials states that they should consider the proposed length of stay in the UK – a stay of more than one month attracts closer scrutiny and remote working activities for more than 90 days may lead officials to question the nature of the work (for example, whether it breaches employment and payment restrictions). The immigration officials will take into account whether the visitor seems to be genuinely employed abroad, rather than intending to work in the UK.

- Expansion of permitted intra-corporate activities

In another welcome change, overseas nationals visiting a branch of a group business in the UK will be able to undertake certain activities directly with clients, including:

advising and consulting;

trouble-shooting;

providing training;

and sharing skills and knowledge.

This is with the proviso that the service is being provided by the UK branch of the visitor’s employer (i.e., not for the overseas business) and that any client-facing work is incidental to the visitor’s employment overseas. Home Office guidance states that intra-corporate activities should be, ‘ of a short duration, linked to a specific project and where the visitor will be directly working with for clients, this should not be the primary purpose of their visit to the UK. ’

- Research

Under recent changes, scientists, researchers and academics are now permitted to conduct research in the UK as part of their visit. This is allowed either for a specific project (which relates to their employment overseas), or independently. Previously, the research was restricted to independent research and research for an academic’s own purposes whilst on a sabbatical.

Scientists are also allowed to take part in formal exchange arrangements with UK counterparts.

- Planning ahead

It is important to be aware of the recent changes in order to make informed decisions when planning business trips to the UK. The Government’s intention is to make it easier to do business in the UK, whilst net migration levels remain unaffected. However, the scope of permitted activities can still be very confusing for businesses and individuals. If in doubt, contact us in advance to discuss upcoming trips and proposals, to ensure a smooth entry to the UK and absence of problems at border control on arrival. Care should still be exercised, in particular when considering working remotely in the UK as a visitor.

The new Electronic Travel Authorisation

The UK government is in the process of rolling out a new Electronic Travel Authorisation Scheme (ETA). This is a system of pre-travel immigration checks, which will require visitors to the UK to apply for an ETA prior to arrival.

It currently only applies to nationals of Bahrain, Jordan, Kuwait, Oman, Qatar, Saudi Arabia and the United Arab Emirates. The intention is that the ETA will eventually apply to all overseas nationals visiting the UK who are ‘ non-visa nationals ’. Non-visa nationals are citizens of countries that do not require visas to visit the UK. Non-visa nationals can currently enter the UK just by presenting their passport to the Immigration Officer on arrival at the airport or port of entry.

The application is relatively straightforward (completed either online or via an app) and usually takes up to 3 working days to process, with approval being in the form of a confirmation email. Once granted, the ETA will be valid for 2 years or until the expiry of the individual’s passport. Once the scheme is rolled-out fully, all non-visa nationals will need to obtain an ETA before travelling.

- Planning ahead

This is an additional administrative function to be aware of prior to travel. Businesses will need to plan ahead and ensure that employees who are due to visit the UK have the necessary authorisation prior to travelling.

2024 Changes to Workers’ Holiday Rights

Wed, 05 Jun 2024 09:54:28 GMT

2024 Changes to Workers’ Holiday Rights

We have set out below an overview of several significant changes which have been implemented by the Government this year (2024) in relation to holiday entitlement and pay. The Government has updated its guidance in relation to statutory workers holiday rights, following two consultations which were undertaken in 2023. The intention has been to clarify some previously unanswered questions and areas of uncertainty, for example in relation to part-year workers and those with irregular schedules of work.

- Are there general workers' holidays rights?

Generally, all workers are entitled to a minimum of 5.6 weeks’ paid annual leave per year, (i.e. 28 days for full-time workers) (Working Time Regulations 1997, as amended). Workers have this amount of holiday in each ‘leave year’. The leave year is usually specified in the contract but, if not, it starts, (in the case of workers who started work on or after 1 October 1998) on the date that employment started and each successive anniversary. Leave can be pro-rated in the first and last year of employment.

Part-time workers are entitled to the same 5.6 weeks’ leave as their full-time colleagues, but based on the number of days which they work per week. For example, someone who works 3 days a week is entitled to 16.8 days holiday per year (5.6 x 3).

The position with regard to part-year workers and those who work irregular hours is more complicated.

- What are the key points that employers should bear in mind when calculating the entitlement and pay of staff?

Paid holiday entitlement for Irregular Hours and Part year workers

The calculation of holiday pay for staff with unpredictable hours (for example, zero-hours workers) has previously been complex. The new regulations aim to simplify matters. Irregular hours and part-year workers will accrue annual leave at a rate of 12.07% of hours worked in the previous pay period.

Employers can use a ‘roll-up’ method to calculate holiday pay for part-year and irregular hours workers. This involves paying workers their holiday pay upfront, together with their regular pay (rather than accruing holiday pay throughout the year).

The holiday pay must be itemised separately on the worker’s payslip, and it is still important that these workers still take at least 5.6 weeks of annual leave per year. Employers should note that this is not lawful for workers who work regular hours.

- Extended carry-over provisions for family-related leave

Up to 5.6 weeks of unused annual leave due to family-related absences can now be carried over to the next holiday year. This applies, for example, to parental leave or leave taken in caring for dependants.

- Provisions for workers on long-term sick leave

Previously, unused annual leave due to long-term sickness could only be carried over for one year. The new regulations provide that four weeks’ annual leave can be carried over, but the carried-over leave must be used within 18 months of the end of the holiday year in which it accrued. This will need to be carefully monitored and recorded.

- Carry-over of leave in other situations

Workers are able to carry-over 4 weeks of annual leave if they have not had a reasonable opportunity to take leave. Any leave carried-over in these circumstances will only stop being carried-over once a full year has elapsed where the worker has taken holiday and been paid for it correctly.

In addition, the new regulations provide for carry-over if an employer fails to advise workers that untaken annual leave will be lost at the end of the leave year.

Planning ahead

A key point for employers to remember is that holiday regulations apply to all workers, which is why we have mentioned workers’ holiday rights as a whole, and not just to employees.

Employers should ensure that up-to-date policies are in place which reflect these recent developments and that communication has been made to workers outlining how holiday entitlement is managed. For example:

ensure that policies in relation to sickness absence reflect the ability to carry over leave for a period of 18 months;

make sure that workers know about their right to take paid annual leave and encourage them to take it;

send a reminder email to all workers that annual leave which has not been taken by the end of the leave year will be lost;

make sure that you have an effective system in place for recording leave taken by workers.

If you have queries or concerns about holiday entitlement and the latest rules, please get in touch with a member of the team.

Skilled Worker Visas - new salary thresholds

Tue, 21 May 2024 10:48:40 GMT

Skilled Worker Visas - new salary thresholds

The Government published a new Statement of Changes in Immigration Rules in March 2024, setting out some reforms to the UK’s immigration system. These changes came into effect from 4 April 2024. This article looks further at how this affects skilled worker visas, applications and salary thresholds.

How does the new reform affect Skilled Workers?

In summary, the changes which will be applicable to Skilled Worker applications are as follows:

- Minimum salary threshold

The minimum salary threshold which employers need to pay Skilled Workers has increased to £38,700, for all future applications. This figure has been based on the latest Office for National Statistics pay data.

- Immigration Salary List

The previous ‘Shortage Occupation List’ is being replaced with a new ‘Immigration Salary List’ (ISL). The change of name is intended to make it clear that the jobs appearing on the list are those in respect of which the Government considers it sensible to offer a discounted salary threshold, rather than it being a list of those occupations where a labour shortage is being experienced at a given time. Any jobs which appear on this list will have a 20% discount to the general salary threshold. There are noticeably fewer roles on the ISL, however, such that the number of roles which could benefit from the discount has been significantly reduced.

- The Standard Occupational Classification (SOC) code system

The SOC code system, which is used for all jobs/roles in the UK, has been updated. Job codes and descriptions may be different under the new system. Any Certificates of Sponsorship issued from 4 April 2024 will need to use the new coding system. It is important that any Skilled Worker extension applications, as well as applications for new hires, adopt the new SOC codes (i.e., do not rely on previous job codes).

- Salary requirements for other work immigration routes

There are also changes to salary requirements for other business immigration routes, including a new general salary threshold for the Senior or Specialist Worker (Global Business Mobility) route, which is being increased from £45,800 to £48,500, and an increased general salary threshold under the Graduate Trainee route to £25,410.

Practical Considerations

Employers must ensure that the new provisions are being carefully followed in relation to new recruits, both in terms of salary requirements, the ISL, and SOC codes. It is also sensible for employers to review their current work force, to ascertain how salary levels compare against the new requirements.

Employers who are looking to sponsor any overseas nationals in the near future, should consider any recruitment discussions to date, whether there are any existing job offers, and how the new requirements impact on the need of the business to recruit.

This is a good opportunity for employers to review their approach to sponsoring Skilled Workers, and to undertake an audit of personnel files to check that all the necessary paperwork (for example, in respect of right to work checks and visa expiry dates) is in place.

Please get in touch if you have any queries or concerns on skilled workers visas, applications and salary changes. Our team will be happy to help.

How to manage change in a business: A Board-Level Imperative

Tue, 07 May 2024 10:33:29 GMT

How to manage change in a business: A Board-Level Imperative

The name Boardside originates from a recognition that many of the cultural and procedural elements of an organisation that lead to future commercial and employment challenges are matters for the board. Moreover, when it comes to managing change in a business, whilst it might be nice to leave all that messy stuff for HR to deal with, actions and attitudes of the board will set the tone for the entire organisation. Mismanagement of change can lead to a decline in employee morale, reduced productivity, customer dissatisfaction and ultimately, financial losses.

- The Impact of not knowing how to manage change in a business

Before we leave the doom mongering behind us, let’s think in more detail about the impact of not doing change well.

How can the board avoid some of the pitfalls that can lead to dissatisfaction and talent drift?

In our experience of advising boards on the strategic framework upon which good employment practices are built, we have seen time and again that the lack of a structured change management process leads to widespread confusion among employees and customers alike.

Put simply, the impact of poor planning and communication means disrupted business operations and damaged customer relationships.

- Dealing with business change as a Board

A Board-led approach to change of any kind within an organisation, whether it is simply a shift in commercial emphasis or a major transformation restructure, helps to keep the end result in mind and gives the whole project a firm and defined focus. The Board can proceed with a pure emphasis on business objectives. However, it is important to bear in mind that dialogue throughout the organisation will be a vital element of success.

The objective is to avoid chaos and the disintegration of culture and ethos. A board should be proactive in ensuring all parts of the organisation are aligned and prepared for change. This includes communicating the aforementioned culture and ethos (you would be surprised to learn that many boards and senior management teams like to keep their vision to themselves – or maybe you wouldn’t?).

The five steps of how to manage change in a business are often described as follows:

Planning – Develop a plan for implementing the change, including identifying who is responsible for each area, down to task level, and creating a timeline
Preparing – This is where you prepare your employees for the change; explaining the as is and future state, and what will happen to close the gap. It’s critical to explain the impact on the employee and what they can expect, including any training they will be given on any new systems or procedures
Implementing – This is where the rubber meets the road, and the change is put into practice. Working with employees through the implementation phase is key to keeping the programme on track.
Monitoring – This is continuous and is needed to keep abreast of the changes, ensuring the changes are activated as planned, addressing roadblocks and issues as they arise to ensure a smooth transition.
Evaluating – Evaluation of the implementation and the success – has the change met the success parameters? Does it meet the definition of done? It’s a great opportunity to conduct a retrospective, and to also take the opportunity to learn and improve for future programmes.

- Tips for Mitigating Poor Change Management

If you already find yourself in a situation where change has happened, or is happening, and the preparation has been – how shall we put it? – inadequate, do not panic. There is still time to establish clear objectives and communication. Board members should work with management to define the objectives of the change clearly and communicate these goals throughout the organisation. Transparency helps in managing the expectations of all stakeholders and reduces uncertainty and resistance.

Engage with your stakeholders. Change should not be imposed from the top down. Engaging with employees, customers, and other stakeholders early in the process can provide valuable insights, foster cooperation, and build advocacy, which is critical for successful change implementation.

Provide training and support for employees. They will be more likely to embrace change if they feel supported. Providing training and resources that help them understand and adapt to new methods or technologies is crucial.

Implementing change is not a set-it-and-forget-it activity. Continuous monitoring of the change process and being ready to make necessary adjustments based on feedback and results is essential. Expanding on this, and continuing the theme of board-led change, leadership plays a pivotal role in change management. Board members and senior executives should lead by example, embracing the changes themselves and demonstrating their commitment to the process.

Boardside provides strategic employment law support to boards, to create a healthy culture and employment structure. For further information about how we work with boards contact Richard Port rport@boardside.co.uk

What are the new flexible working rules?

Thu, 02 May 2024 11:03:31 GMT

What are the new flexible working rules?

The Government’s new flexible working rules came into force on 6 April 2024. Here’s what we know about them.

Previous provisions were considered by the Government to be too rigid, with certain restrictions perceived as a barrier to employees wanting to make a flexible working request. The following changes have been introduced, by the new Employment Relations (Flexible Working) Act 2023 and the Flexible Working (Amendment) Regulations 2023 .

How do the new flexible working rules work?

- The flexible working request:

An employee who is making a flexible working request no longer has to explain what effect the change will have on their employer and how this can be managed. The employee can now simply declare how they would like to work flexibly, and when.

- Increase in the number of requests for remote and flexible working

There has been an increase in the number of requests that an employee can make to work flexibly, from one to two requests per year, in order to give greater flexibility to employees.

- Consultation:

Employers are now required to consult with an employee before refusing a request to work flexibly. ACAS has published a draft Code of Practice on handling requests in a reasonable manner. The Code will encourage employers to consider requests with an open mind, and not with the assumption that the answer will be “no”. It will mean that an employer cannot simply refuse a flexible working request without discussing this with the employee.

An employer will need to consider alternatives if unable to agree to a flexible working request.

- Period of consideration:

Flexible working requests must be dealt with by the employer within two (not three) months of receipt of a request, unless an extension to this timeframe is agreed.

- “Day One” Right:

The right of an employee to request flexible working is now a “day one” right, i.e., an employee can request remote/part time working from their first day of employment. In practice, the Government is hoping this will encourage employers to discuss options during the recruitment process and to agree up this front, to avoid a day one request. ALL employees will be able to make a request from 6 April 2024, regardless of when their employment commenced.

Practical implications with the new flexible working laws

The business case for adapting is strong in terms of:

talent acquisition
talent retention
equality, diversity and inclusion
workforce wellbeing
employee engagement
productivity, skills and innovation
environment, social and corporate governance
cost saving

The intention is that a change in employer attitudes will result in a better work/life balance, thereby impacting on general staff motivation and the working environment, with improved well-being and attendance levels, giving rise to better productivity. Employers can also leverage flexible working initiatives to reduce costs, for example hot desking and reducing the amount of office space needed.

The emphasis is very much on good practice and transparency of approach. However, flexible working does not suit all businesses. There can be a concern, in particular for smaller businesses, about covering the shortfall of hours, managing client expectations, and ensuring that the processing of customer orders is efficient, for example.

Could a more radical approach work for your business?

Get in touch if your Board needs advice on managing the new flexible working laws.

Boardside Immigration Update September 2023

Wed, 20 Sep 2023 11:49:45 GMT

Boardside Immigration Update September 2023

The Ripple Effect of The Channel Crossings for UK Businesses

We are all too familiar with immigration stories hitting the news headlines, from boats packed with asylum seekers risking Channel crossings, to the images of the floating barge in Dorset which was set to house up to 500 immigrants. It is a concern for many, for a variety of different reasons. Of course, it was a major feature of the whole Brexit debate.

Last month, as part of its campaign to reduce illegal migration into the UK, the Government announced new rules whereby there will be a sharp increase in the penalties which can be imposed on businesses which are found to be employing illegal workers. Indeed, from the start of 2024, fines are set to triple in size. Employers will risk a civil penalty of up to £45,000 (previously £15,000) for a first breach of the UK’s illegal working laws, and up to £60,000 for repeat breaches (previously £20,000). This comes alongside dramatically increased fines for landlords who are found to be renting accommodation to illegal migrants (from £1,000 per occupier to £10,000 per occupier, in respect of a first breach, and up to £20,000 per illegal immigrant in respect of repeat breaches).

Since 2018, the Government has issued more than 4,000 civil penalties to employers who have employed illegal workers, resulting in revenue of more than £74 million.

Writing for The Telegraph, the Immigration Minister, Robert Jenrick, stated that the practice of illegal working and renting is fuelling the practice of people smuggling, and that the new rules seek to combat this: “Making it harder for illegal migrants to work and operate in the UK is vital to deterring dangerous, unnecessary small boat crossings….There is no excuse for not conducting the appropriate checks and those in breach will now face significantly tougher penalties” (Article by Robert Jenrick in The Telegraph on 6 August 2023).

- The Importance of Right to Work Checks

UK employers operate under a duty to prevent illegal working by carrying out right to work check on all prospective employees. An employer found to be employing an illegal worker will have a defence if it can show that the correct right to work checks had been undertaken.

Employers must be vigilant. The Home Office may undertake “spot checks” at any time, arriving at premises unannounced, to undertake checks of right to work documentation. It is therefore crucial that employers have effective right to work checks and procedures in place, so as to provide a defence in the event that an illegal worker is discovered.

In addition to increased fines, breaches of the right to work rules can result in the downgrading or removal of a sponsorship licence and lead to reputational damage.

- Boardside’s top tips:

Consider your processes for onboarding new employees:

Who? Check documentation in relation to all employees, regardless of nationality. Be careful not to discriminate.

When? At what point in the onboarding process do you request documentation? Again, be careful not to discriminate – have the same process for all employees. It may be necessary to timetable a follow up check in relation to employees who have time-limited permission to remain in the UK.

How? Depending on the circumstances of each individual, there are three different types of check that may be possible (a manual check, an online check, or the Employer Checking Service). Ensure that the details are consistent with your employee, and retain a copy of the documentation (online or hard copy).

What? Familiarise yourself with the list of acceptable documents which has been published by the Home Office.

Why? Explain to colleagues why it is essential to follow the process, and the sanctions for not doing do.

Communication is vital. Make sure that all relevant personnel within your business are aware of the rules and the consequences for non-compliance.

For larger businesses, engage with different departments and with individual employees to generate a general understanding.

Be aware of your responsibilities if you are a sponsor of skilled workers. There are specific rules in relation to reporting and record keeping which apply, and it is essential to ensure that you have a means of tracking when each sponsored worker’s visa (or Biometric Residence Permit) expires.

Now is a good time to review your processes and policies. Having a specific “Right to Work Policy” can provide clarification and understanding for everyone.

For Immigration and Employment Law support contact Nadine at nmarston@boardside.co.uk

What is Fractional General Counsel and how can it help your business?

Tue, 12 Sep 2023 11:34:25 GMT

What is Fractional General Counsel and how can it help your business?

A Fractional General Counsel is a legal advisory who offers services on a part-time basis. Employing a permanent in-house lawyer isn’t always the most appropriate choice for businesses for a variety of reasons, not least the cost. In addition, for example, finding the right lawyer who is able to provide you with a broad range of legal advice may not always be possible and it may not be necessary to employ a lawyer within your business full time.

Using the services of a ‘Fractional General Counsel’ can be of benefit in the following ways:

1. Represented by an experienced senior lawyer who has operated at GC level for over 10 years;

2. Certainty of fees and effective management of legal budgets (we can work on a project or fixed fee basis or offer a monthly retainer arrangement where you ‘buy’ days of our time);

3. Responsive and timely legal advice which is commercial practical and easy to understand;

4. Clear legal understanding of the risks across your business, balancing them with the competing commercial constraints;

5. Remove the need for the CEO, CFO or COO to have to manage multiple external lawyers, we will be your single point of contact;

6. Deal with diverse legal matters (such as business set up and structure, commercial contracts, employment advice, immigration, general terms and conditions – product support, regulatory, GDPR and Data Protection, fund raising, compliance, risk assessment and training) and also manage the instruction of specialist external legal support where needed.

The stage of your business will also dictate the level of legal support you require and we have identified 3 key stages and the ways in which we might be able to assist:

- Start Up

Ad Hoc support;
Policies, procedures, templates; and
Assisting with the building blocks for creating a strong base to enable you to move your business to the next stage

- Growth/Build Up/Evolution

Not ready to hire in-house counsel but need more formal legal support; you need a fractional general counsel.

Single point of contact who understands your business and its needs; and

Ability to advise on contracts, people and incentives, provide compliance support and put the legal, compliance and corporate governance structures in place to allow the business to grow and scale.

- Established

Assist in the creation of an in-house legal team/first in-house appointment;

Manage increasing volumes of work; and

Workflow management, training, ongoing support.

Want to know more about a Fractional General Counsel is, and how it can help your business? Get in touch to find out.

Managing Risk - one of the many roles of a General Counsel lawyer

Tue, 12 Sep 2023 11:23:40 GMT

Managing Risk - one of the many roles of a General Counsel lawyer

The role of a General Counsel lawyer that works in-house, has always involved managing legal risks across the organisation they advise, however, this traditional role seems to have evolved in recent years and seems to no longer be limited legal risks.

In many cases, a General Counsel will be expected to be cognisant of and able to address, and sometimes even manage, all risks that span across their entire organisation; both internally and externally.

What areas of risk does a General Counsel lawyer manage?

- Risk Management in business

Within a businesses Risk Management Framework, there are generally understood to be the following elements:

1. Risk identification – this is often referred to as ‘risk mapping’ but is simply a process whereby all of the possible risks facing the business are listed. These will include legal risk, but also IT, operational, strategic, regulatory and credit risk, for example.

2. Risk Measurement – this element of the exercise involves assessing the quantum of each risk that has been identified and the probability of loss or the consequences of the risk materialising. Some risks will be easier to quantify than others and those more difficult risks may require subjective consideration and a collective view being reached within the organisation

3. Risk Mitigation – this is where risks are considered through the lens of mitigating factors or possibly you may be able to eliminate a risk altogether (by choosing not to undertake the activity that creates the risk in the first place, for example, or purchasing insurance).

4. Risk Reporting & Monitoring – it is important to agree on a reporting and monitoring process within your organisation that is proportionate and reflects the risks identified, but also the nature of the business.

5. Risk Governance – ultimately, all companies should be ensuring that the management and oversight of the identified risks is allocated appropriately within the business and that a form of risk report is regularly produced within the business, reviewed by management and reported to the board of directors. This will involve assigning responsibility to individuals, committees and the board.

- Key risk areas for General Counsel lawyer

Governance and accountability
Financial crime
Cyber Risk
Regulatory Risk – engagement with regulators and assessing the impact of changing regulation
Operational and financial risk
GDPR, privacy and data management risk
Conduct risk
Environmental, Social and Governance (ESG)

Does your organisation need an in-house general counsel lawyer? Get in touch today.

ff143db7

The Fair Work Agency: a quiet shift with significant implications

The Fair Work Agency: a quiet shift with significant implications

Why this matters at Board level

A note of realism

The practical takeaway

Trade Union Right of Access Code of Practice

Trade Union Right of Access Code of Practice

Why Boards should care

UK Immigration Briefing – Passports at the Boarding Gate

Passports at the boarding gate

When Collaboration Turns into Conflict: Why Your Articles and Shareholders’ Agreement Decide Who Wins

When Collaboration Turns into Conflict: Who Really Has Power in Your Business? ﻿

Conflict changes the lens

Two documents. Two types of power.

Designing for disagreement (not just success)

Sector-specific risk: when knowledge is the business

The Boardside lens: governance is relationship engineering

From Five Years to a Generation

The UK Immigration Landscape Is Shifting – What Boards Need to Know Now ﻿

1. “Earned Settlement” – A Fundamental Reset of the ILR Journey

Board-level considerations

2. Immigration Rule Changes – Language, Graduates and Global Talent

Board-level considerations

How Boardside Can Support

Director Identity Verification: A New Governance Tripwire for Boards

Director Identity Verification: A New Governance Tripwire for Boards ﻿

Why this matters at Board level

Practical steps Boards should take now

The Boardside perspective

The Employment Rights Bill: Board-level reckoning

Six months’ for unfair dismissal rights changes the landscape

The missing conversation: culture and capability

Compensation caps were never the real risk

What smart Boards are doing now

Employment Law Focus: ACAS Conciliation – More Time, Less Clarity?

What’s changing

Why this matters

Practical advice

Boardside’s View

Employment Rights Bill: A Welcome Correction — But What Should Boards Do Next?

Business Immigration – Changes Reflective of the Government’s Shift in UK Immigration Policy

What’s happening

Raising the English Language Requirement

Shortening of the Graduate Route

Expansion and Cap of the High Potential Individual Route

New Opportunities for Student Entrepreneurs

Increase in the Immigration Skills Charge

Strategic Implications for Employers

Boardside View

Internal Delegated Authority Policies: Why Clarity Isn’t Optional

What Is Delegated Authority?

Why It Matters for Employers

What Happens Without It?

Boardside’s View

Autumn pressures ahead? Navigating workforce expectations

Autumn pressures ahead? Navigating workforce expectations ﻿

Fire and Rehire

Pregnancy loss: new bereavement leave

Boardside Law action points

﻿

UK Business Immigration: the next wave of change

UK Business Immigration: the next wave of change ﻿

What Should Employers Do?

Conclusion

Sexual Harassment: when do social spaces become ‘The Workplace’?

Sexual Harassment: when do social spaces become ‘The Workplace’?

Where does ‘The Workplace’ end?

Boardside Takeaways ﻿

Whistleblowing: Post-Employment Protections Clarified

Whistleblowing: Post-Employment Protections Clarified

Key Facts of the Case

EAT Ruling: causation must be more than timing

Implications for employers and whistleblowers

Boardside Law insight

Modernising Companies House: What Directors Need to Know

Director ID Verification – Coming This Autumn

Paper Accounts to Be Phased Out by April 2027

What You Should Do Now

Whistleblowing: Reform on the Horizon

When Collaboration Turns into Conflict: Who Really Has Power in Your Business?

The UK Immigration Landscape Is Shifting – What Boards Need to Know Now

Director Identity Verification: A New Governance Tripwire for Boards

Autumn pressures ahead? Navigating workforce expectations

UK Business Immigration: the next wave of change

Boardside Takeaways

Immigration Reforms: What Employers Need to Know

The Right to Disconnect: Coming Soon to a Workplace Near You…. Or Not?

Sex, Gender and the Workplace: The UK Supreme Court Clarifies the Law