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New Employment Law Changes Affect Agricultural Sector

The latest changes to employment law that come into effect during April will both benefit and cost farmers.

Simon Gregory, head of the Rural Business Team at south west law firm Foot Anstey explains "The introduction of a new ACAS Code of Practice replacing the existing statutory dispute resolution procedures should make it easier and quicker for both employers and employees to resolve disciplinary and grievance issues within the workplace.

"Previously any dismissal where an employer failed to follow the prescribed three step statutory procedure  would be judged by an Employment Tribunal as automatically unfair.  Now under the new Code this will no longer be the case.”

"The new Code should promote the early exchange of information, communication between the parties, and help provide agreed courses of action to resolve problems. Compliance with the Code is not mandatory, but the Employment Tribunal can reduce or increase any award of compensation by up to 25% if one party has unreasonably failed to follow the Code.”

Another change affecting the farming sector is the extension of flexible working to care for children.  Previously the child had to be under six years, unless he or she was disabled, now it is 16.  The employee must be the child’s mother, father, adoptive parent, guardian or foster parent, (or a spouse or civil partner of such person) and  have over 26 weeks service.

The cost of the standard weekly rate of Statutory Maternity, Paternity and Adoption Pay will also increase from its current rate of £117.18, to £123.06 and will apply to all payment weeks starting on or after 5 April 2009.

Finally, From 1 April 2009, the statutory leave entitlement for all workers will increase from 4.8 weeks (24 days) to a minimum of 5.6 weeks (28 days.) Time off for bank and public holidays can be included in this entitlement. Where workers are carrying out agricultural work however, then they are entitled to the minimum rates and the other terms and conditions of employment that apply to agricultural workers as set from time to time by the Agricultural Wages Board. Insofar as holiday entitlement is concerned, this is even more generous than for those outside of the agricultural sector. Such entitlement is currently governed by the Agricultural Wages Order 2008 which took effect on 1 October last year. This provides for up to 38 days paid leave for workers but does provide some flexibility by allowing employers to pay in lieu of some of the annual entitlement.

Published 08/04/2009. The author of this article is Matthew Huddleson

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