Do we need to worry about the new age discrimination legislation – or does it only apply if you employ people in their 50s and 60s?

You need to be aware of the new regulations if you employ anyone at all. They come into force on 1 October 2006 and they will affect every area of employment, including recruitment, training, terms and conditions and the retirement process.

They will make it unlawful to discriminate on grounds of age, directly or indirectly. They also make it unlawful to harass anyone, intentionally or unintentionally, or to victimise anyone who has complained, or assisted someone else in complaining, about treatment on grounds of age.

We are thinking of taking over a rival’s business, but not their company. Do we have to take on their staff?

The real question is whether ‘TUPE’ (The Transfer of Undertakings (Protection of Employment) regulations 2006) will apply to your takeover. This depends on the circumstances of the transfer. If you are buying a business that is a going concern, it is certainly possible that the staff will be transferred with the business on their existing terms and conditions of employment, in accordance with the TUPE regulations. If in any doubt, it’s always best to seek specific legal advice.

Do I have to give an employee a contract?

Even if you do not give your employee a written contract, a contract will exist as soon as they accept your job offer. You are, however, legally required to give every employee a written statement covering certain terms and conditions, within two months of their employment beginning. If you fail to do this, the employee can refer the matter to an employment tribunal, to decide what terms and conditions he or she is working under.

Can I change the terms of an employment contract?

Yes - provided you have reserved the right to amend the terms and are not acting in an unreasonable manner. If you have not reserved the right to amend the terms, you may only do so with the employee’s consent. A lot will depend on how significant and serious the changed term is. In all cases it’s best to discuss any changes with the employee first - explaining why you want to do it, how it will affect them and what, if any, benefits you will offer them as an incentive to agree.

Do we need a written disciplinary procedure?

Yes. Every business, however small, must include the following in their written statement:-

• Details of disciplinary and grievance procedures that apply to employees - or notification of where employees can locate and read these procedures

• The name and title of the person to whom employees can appeal, if they are dissatisfied with disciplinary decisions or if they want to raise a formal grievance.

Your disciplinary and grievance procedures must be the same as, or better than, the procedures laid down by statute.

What offences justify immediate dismissal?

Immediate dismissal will only be justified for the most serious kinds of misconduct. This may include theft, taking bribes, or sexual harassment that’s serious enough to constitute gross misconduct. Once you have been through the appropriate disciplinary procedure, you can dismiss an employee without notice. However, you need to act reasonably. In considering a claim for unfair dismissal, the Employment Tribunal will decide whether your response falls within the band of reasonable responses open to an employer on considering an offence to be gross misconduct. If it falls outside the band, the Tribunal would consider it unfair.

Do we need a formal grievance procedure?

Yes. From 2004, every business is required by law to have a three-stage process for handling grievances as well as disciplinary offences.

In what circumstances can I make a claim for unfair dismissal?

In most cases, employees cannot sue for unfair dismissal unless they have at least one year’s continuous service. However, there are some circumstances where employees can sue, regardless of age or length of service – such as dismissal on the grounds of pregnancy or taking advantage of statutory maternity rights.

In deciding whether your dismissal was fair, the Tribunal will examine both the reason for dismissal and the way in which it was carried out.

Can an interviewer ask a woman attending a job interview whether she is, or intends to become, pregnant?

There is no ban on questions about pregnancy. However, they could be viewed as evidence that a potential employer intends to discriminate against a woman. The same applies to questions about childcare commitments, unless the employer can demonstrate that the questions are relevant to the job requirements, and both male and female applicants are asked the same questions.

What is the maximum average number of hours that people are allowed to work during the week?

Under normal circumstances, the maximum is a 48-hour week. The following exceptions apply:-

• Workers who have signed an ‘opt-out’ agreement;

• People with so-called ‘unmeasured’ working time, or who determine their own hours of work (for example, senior staff);

• Self-employed workers - who can work whatever hours they see fit.

What is the current minimum wage?

Workers aged 22 and over: £5.52 per hour rising to £5.73 on 1st October 2008
Workers aged 18-21: £4.60 per hour rising to £4.77 on 1st October 2008
Workers aged 16 and 17: £3.40 per hour rising to £3.53 per hour on 1st October 2008

Exceptions apply to apprentices in some cases, so check what rates you should be paying.