Visit the global automotive industry news blog with European automotive industry news.


GlobalAutoTV
Click to watch Dr. Juergen Weber -
Click to watch Dr. Juergen Weber -
euro resources


Need an office in Europe or Eastern Europe? Office suites, meeting rooms, virtual offices, network access




free downloads
RUSSIA: "Worker Morale in Russia: An Exploratory Study"

RUSSIA: "Worker Morale in Russia: An Exploratory Study". 28-page study by The William Davidson Institute.

proceed to download
eJournals







back to index backEUROtalk August,  2012


UK: Industrial action contingency planning

In our March 2012 edition of this newsletter, we explored how UK employers can prepare for the threat of strike action, looking at some recent disputes and resulting court guidance.  However, the legal options open to an employer facing industrial action are only part of the picture; there are many practical steps that employers need to consider including careful business contingency planning to address how to enable the business to continue to operate as effectively as possible during a period of industrial action.

Contingency planning should start from the moment a dispute looks like it could lead to industrial action, bearing in mind that, while typically it will take a union four to six weeks to get to a strike from the date they first give notice of the ballot, it is possible to complete the ballot process within three weeks.

On being notified of the possibility of industrial action, some of the immediate steps that an employer may wish to take include:

1.   Prevent all employees from booking holiday for the planned strike period (the employment contract permitting).  For holiday already booked, it may be reasonable to require employees to cancel holiday provided that the employer meets cancellation fees, gives reasonable notice, and accommodates any employees who have special reasons for not cancelling.

2.   Arrange cover: An employer facing the possibility of strike action may be tempted to contact the local employment agency to arrange for agency workers to cover for the workers going on strike.  However, the Conduct of Employment Agencies and Employment Businesses Regulations prohibits the supply of agency workers to fill the roles of those taking part in official industrial action, or the roles of existing staff who are covering the strikers' roles. The prohibition applies to workers engaged by the agency to work under the control of the employer. Breach is a criminal offence with potentially serious consequences.  However, the prohibition does not apply to:

·     Using the employer's own workers to cover, provided that their roles are not filled by agency workers.

·     Engaging workers directly, i.e. directly hiring casual workers. It would still be possible to use an agency to locate and screen the workers (for example, undertake reference checks), provided that the agency does not then engage them.

·     Outsourcing the work to another employer via a true managed service arrangement (that is, where the services are carried out by employees of the provider and under the provider's control). However, some care is needed since the definition of "agency" is broadly drawn, and could capture more than just traditional employment businesses.

(It may also be possible to bring agency workers in to clear the backlog after the event; the legislation is unclear on this point.)

3.   Anticipate higher levels of sickness absence than normal.  An employer facing industrial action may decide to require medical evidence of all illness during the relevant period, and put in place different and more stringent requirements generally. While such an approach may well prompt claims from disgruntled employees, it does typically result in much lower levels of sickness absence through the crisis period.

4.   Be prepared to keep communicating with the workforce and maintain a measured and conciliatory approach while stressing the employer's position and the bigger picture, including the reputational and financial damage to the company (and inconvenience to customers) if the strike goes ahead.  Strike ballots can be won on a very low turn out, so the employer must, at all costs, discourage voter apathy in order to get the "no" vote out.  At the same time as managing its internal communications, an employer will need to consider its external public relations strategy in light of any press interest.

5.   Be prepared to deal with any "wildcat" action, which can occur when employees suddenly "down tools" and walk out.  When that happens, the initial question is whether there is evidence that action has been authorised or endorsed by the union. Wildcat action organised by the union will be unlawful because it will not have complied with the balloting and notice requirements unless the union is able to repudiate the action under sections 20 and 21 of the Trade Union and Labour Relations (Consolidation) Act 1992, and does so.   As a first step, the employer is likely to want to write to the general secretary of the union demanding that the union repudiate the strike and threatening injunction proceedings. Meanwhile, on the ground, managers should inform employees that they are in breach of contract and must return to work.

Source: Baker & McKenzie - GAI

For more information or to contact Baker & McKenzie, please click here.





previous page

go top
search our site


Loading

EUROtalk

Other articles from the same issue (August,  2012).

Impact of China on Central European Automotive Industry
play read on

European car manufacturers voice concerns on 1st anniversary of EU-South Korea FTA
play read on

An overview of the Russian and CIS automotive industry
play read on

Can 'foreign' car giants revive British industry?
play read on

Automotive Production and OEMs in Turkey
play read on

Russian truck market will double its size in 2020
play read on

Made in China, but Assembled in Bulgaria
play read on

Electric Vehicle Charging Equipment Sales in Europe to Reach Nearly $1.3 Billion by 2020
play read on

German labor costs rising faster than EU average
play read on

EU launches strategy to secure raw materials
play read on

Crossing Borders: BTN Research Explores Nuances In European Travel Management Practices
play read on

Negotiating a Russian Deal
play read on

How to Invest in Russia - 2012 Guide
play read on

Investment in Turkey 2012 (guide)
play read on

Developing a Market Entry Strategy for Central & Eastern Europe
play read on

Developing a Market Entry Strategy for Poland
play read on

Poland: State aid for co-financing R&D in 2012
play read on

Belgium: R&D Funding - up to 80% of eligible costs
play read on

New Russian Transfer Pricing Rules
play read on

Survey Finds Payment Default Occurs with 2% of Receivables in Eastern Europe
play read on

Employees and Employment Contracts in Russia
play read on

The Italian way to flex-security: The Monti Reform of Italian employment law
play read on

Spain Passes Major Employment and Labor Law Amendments
play read on

Spain: Reduction in force and collective lay-off appeal in Spain: A new era after the labour reform
play read on

UK: Industrial action contingency planning
play read on

Hungary's New Labour Code: Significant changes that provide more flexibility for employers
play read on

Analysis: Future Challenges for U.S. Businesses Transferring Staff to U.K. Operations
play read on

Online Bookings for UK Visa Applicants to Enroll their Biometrics
play read on


Our Free eJournals
GlobalAutoExperts

To visit GlobalAutoExperts Directory, click here.


©2008 GlobalAutoIndustry.com | HCI Group, Ltd.
101 West Big Beaver Road, Suite 1400 | Troy, MI 48084 USA
USA Tel: +1.248.687.1060 | USA Fax: +1.248.927.0347
Fax UK: +44.(0)845.127.4765 | Fax Europe: +31.20.524.1659 | Fax Asia: +852.3015.8120