Induction and compliance – What you need

First impressions count – and first impressions last. A new employee’s first impressions of his/her new place of employment can affect their job satisfaction and how long they stay with the business. Be mindful also that it may be their first job so the business brand can also be affected. Costly staff turnover can be significantly reduced if a proper induction process is followed, not to mention costly absenteeism.

Induction
Induction is a process through which employees adjust or acclimatise to their new jobs and work environment, the ‘culture’ of the business, what management guru Peter Drucker called ‘the way we do thing around here’. The term ‘onboarding’ has also been used to describe the whole recruitment, first contact, join-up and induction process. Obviously, the length of the time concerned depends on the individual’s role and duties.

Benefits
Onboarding has a huge part to play in today’s work environment, with educated employees looking for clarity in their role, with more opportunities to develop and better themselves.

• New employees settle into the firm quickly and become efficient quicker
• Motivates new staff
• Reduces staff turnover
• Reduces staff problems – timekeeping, absenteeism
• Reduces cost of repeated recruitment
• Better customer service

It’s estimated that 94% of employees would stay longer if a co-worker or the firm provided better education and training on their roles and job in the business and 69% of employees stay an average of three years with a firm if there is an onboarding process in place.

WHAT TO DO
Meet the staff member and go through the following with them:

• Their contract
• The handbook
• Job Description
• Daily tasks
• Roles/Responsibilities
• Do’s and Don’ts
• Shop layout and organisational chart
• HASSAP
• Food training
• Health and Safety protocols
• GDPR
• Till training – Payzone, Lotto
• Age required products
• Covid training

A comprehensive Checklist must include elements such as:

• Alcohol
• Tobacco
• Grievance procedure e.g. Bullying/Harrassment
• Manual handling
• GDPR
• CCTV
• Till operation
• Support structure for pregnancy, anti-anxiety, depression
• Phone use
• Eating/chewing
• Drinking
• Entitlements
• Deli attire/uniform
• Cleaning
• Theft and action to take
• Disruptive behaviour
• Relevant work permit
• Covid clearance
• Dealing with minorities/elderly
• List of duties
• Day to day expectations
• KPIs used to measure staff performance

I protect my clients at this important stage of the hiring process by better onboard training for staff and staff retention, working with employers to design their:

• Contracts
• Handbooks
• Job Descriptions
• Daily tasks
• Business missions and values
• Business layouts
• Business structure/hierarchy
• Health and Safety Statement
• Providing a mentor for new staff

A BRIEF NOTE ON COMPLIANCE AND STATUTORY RECORDS

In compliance with Employment Legislation, and in order to demonstrate that employees are receiving their proper entitlements, the employer is obliged to maintain certain statutory records. The list below sets out the main records required.

1. Employer registration number with Revenue Commissioners
2. Full Name, Address and PPS Number for each employee (full-time and part-time)
3. Terms of Employment for each employee
4. Payroll details – i.e. Gross to Net, Rate per hour, Overtime, Deductions, Shift and other Premiums and Allowances, Commissions and Bonuses, Service Charges, etc.
5. Copies of Payslips
6. Employees’ Job Classifications
7. Dates of commencement and, where relevant, termination of employment
8. Hours of Work for each employee (including starting and finishing times, meal breaks and rest periods). These may be in the form of Form OWT1 or in a form substantially to like effect.
9. Register of employees under 18 years of age
10. Whether board and/or lodgings are provided and relevant details
11. Holiday and Public Holiday entitlements received by each employee
12. Any documentation necessary to demonstrate compliance with employment rights legislation

Additional records may be required to be held depending on the sector/business involved.

REDUNDANCY

This is a red-hot topic right now because of the Debenham’s situation. However, Debenham’s is a large enterprise, whereas redundancy more often than not will arise in much smaller businesses. Most of my client base – the small retail sector, pubs and hospitality will have to let staff go from time to time. This has been especially so during the past year with Covid shutting down the country and many businesses suffering, many not reopening in fact.  I’ll clarify a few things here:-

Redundancy normally arises where an employee’s job ceases to exist and where s/he is not replaced.

Although the definition of what constitutes a redundancy can be quite extensive, redundancies must essentially reflect a change in the employer’s business to differ from an unfair dismissals claim, for example, restructuring of the business, change of job requirements, a change in the way work is done, reduction in the numbers required.

Essentially, it is the employee’s position that is made redundant, not the employee personally, and if the employee is replaced then this could suggest an invalid redundancy and could be legitimately challenged.

The employer must engage in some form of consultation with the employee in advance of implementing a redundancy and must always follow fair procedures, otherwise the employer will be in a difficult position to defend a claim in the event that the termination is challenged. Employers should be able to demonstrate that the redundancy process is fair and be able to show that the redundancy is genuine and that they conducted themselves reasonably.

The employer has an obligation to consult with and provide information to the affected employees and it is important for this to be followed before any redundancies are implemented. The initial meeting should inform the employees that the decision has been made to implement redundancies and outline why this decision was made. Affected employees must be informed of the consequences of this decision, i.e. that they are now at risk of redundancy.

Employees must be informed that the employers are entering into a period of consultation, but no decision will be made until the consultation period has expired. Employees should be informed that the purpose of the consultation with employees is to deal with any questions which the employees may have and to explore any suitable alternative roles which may be available and whether the employee has any views on alternatives to redundancies. In certain circumstances, an offer of alternative employment may bar an employee from a redundancy payment.

Following this initial meeting the employer should meet with their employees on a one-to-one basis to discuss their positions. If there are no suitable alternatives to redundancy or the employee chooses not to accept an offer made, the employee should be informed of the fact that they are redundant and the terms of their redundancy package. 
The employer should write to all employees following the final meeting confirming the position in writing. It is important that employees are not informed that their role has become redundant until the consultation process has concluded.

Statutory entitlement and ex gratia payments:-

Statutory redundancy payments and ex gratia payments are the two types of redundancy payments in Ireland.

Statutory redundancy payment is calculated by two weeks’ remuneration for each year of service plus one additional weeks’ remuneration. A week’s remuneration is defined as gross weekly wage plus average regular bonus or overtime or any allowance which does not vary in relation to the amount of work done plus any payments in kind. However, the weekly remuneration for the purposes of calculating a statutory redundancy payment is capped at €600 per week.

An ex gratia payment is a non-statutory redundancy payment, it is an amount paid by the employer which is over and above the statutory redundancy payment.

Reckonable and non reckonable service

To calculate redundancy entitlements you must distinguish between an employee’s reckonable service and what’s called non reckonable service. Each has a set of criteria to meet in order to distinguish between the two. 

When calculating the actual length of your service for redundancy payment purposes, the following are regarded as reckonable service, (the absences listed here are called reckonable absences):

• The period you were actually in work
• Any absence from work due to holidays
• Any absence from work due to illness (see below for non-reckonable periods of illness)
• Any period where you were absent from work by agreement with your employer (typically career break)
• Any period of basic and additional maternity leave allowed under the legislation
• Any period of basic adoptive/paternity/parental/carer’s leave
• Any period of lock-out from your employment
• Any period where the continuity of your employment is preserved under the Unfair Dismissals Acts.

However, in making the calculation of the length of your service, the following periods over the last 3 years will not be taken into account as service, (these are called non-reckonable absences):

• Any period over 52 consecutive weeks where you were off work due to an injury at work
• Any period over 26 consecutive weeks where you were off work due to illness
• Any period on strike
• Any period of lay off from work.

The redundancy process is complicated at the best of times. To ensure you have the right procedures in place and for further advice on this topic I am always on hand to help you out.