Small companies fear of being sued over disciplinary measures

Employment law firm, Peninsula has released research that shows almost half of UK SME’s are afraid to discipline staff in fear that they would be sued.

According the new data, 48% of employers avoid disciplining staff because they feel they will be sued, and 89% of employers would be happy to discipline staff if they were legally confident. Interestingly, 79% of employees fear that because of an increase in employee rights it is only a matter of time before they are taken to employment tribunal

David Price, Head of Employee Relations at Peninsula told us;

“Some businesses are so scared about being taken to Employment Tribunals that they choosing not to discipline staff! Many businesses these days are so convinced that employment law is weighted on the side of employees, that they are afraid to tackle serious issues in the workplace.

"Employers should not be afraid of using disciplinary and grievance procedures when used properly can provide a clear and transparent framework to deal with difficulties. If used correctly they ensure that everybody is dealt with fairly and reasonably. Employers must ensure that they are compliant with current legislation as there is confusion amongst employers as to what rights employees have today.

“Employers are increasingly finding it difficult to approach the area of discipline; they are afraid that they will become embroiled in a long drawn out process and ultimately find themselves at Employment Tribunal. Understandably this can be a difficult time for employers with the threat of large payouts if found guilty. Given the automatic presumption of an unfair dismissal, employers are afraid that whilst following proper procedures they will find themselves at the Tribunals they are unlikely to win,” continues Mr Price.

David Price concludes; “Employers need to follow fair procedures ensuring they are in line with the terms of contract for employment, locally agreed procedures and any industry agreements. All employers need to ensure that they issue a statement of main terms in a contract for employment, produce a clearly defined job description and re-iterate expected standards and behaviours. Employers also need to have a clear defined disciplinary and grievance policy in line with the statutory code of practice.”