You're Fired!

The famous catch phrase of Sir Alan Sugar is all over billboards and TV screens again, heralding the return of the fascinating series ‘The Apprentice’. This is the program where fourteen hopefuls from a business background fight it out to win a job with his company Amstrad on a six-figure salary. The end of each episode shows Sir Alan ushering the apprentices into a room, describing in blunt terms their failings and then telling one of them that they are fired.

Explosive TV viewing, but is it leading employers astray? Verity Slater of the Employment Team at Follett Stock Solicitors thinks so:
“A fundamental principle of current employment law is that Employers can no longer call an Employee into an office and simply sack them. From October 2004 there has been a mandatory three stage procedure which must be followed, namely, 1) writing a letter to the Employee setting out what the concern is, 2) having a meeting and 3) giving a right of appeal. If this is not followed, the Employee can bring a claim in an Employment Tribunal for Unfair Dismissal, which would be automatically successful, regardless for any sound business reason for the Employer’s decision. As a further penalty for Employers, the Tribunal can increase the compensation given by 50%, to a maximum of £58,400”.

This seems fairer for long term members of staff - but does this apply to apprentices, new recruits or those on a probation period? Verity says, “It is good practice to apply the procedures to all staff. Apprentices and those on probation are all employees to whom the above statutory procedures apply. Although the basic rule is that employees need one year’s service before they can bring an Unfair Dismissal claim, there are 17 exceptions where this is not the case, such as dismissals related to health and safety, maternity or whistle blowing. It is best not to risk simply sacking someone without going through the procedure. By holding the meeting with the Employee you can flush out whether there are any problems of this sort that may need to be addressed”.

So “you’re fired” is not the best thing to say. What about the rest of Sir Alan’s frank comments? Surely as the head of his business he is allowed to speak to his staff as he likes? Verity says, “There is a term implied into every contract of employment that the boss will treat his staff with trust and respect. Employees have successfully brought claims against their bosses for breaching this by swearing at them or putting them down in front of colleagues. Sir Alan should also watch that he does not typecast: saying that attitudes are ‘a typical woman’s’ could easily wind up with a sex discrimination claim against him!” Sir Alan, you have been warned!

If you require any further information about dismissals, please contact Verity Slater of Follett Stock either by email at verity.slater@follettstock.co.uk or by telephone on 01872 241700.