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A vote to increase workers’ holidays and enshrine the right to a 15-minute rest break every six hours in law may sound small, but could have a “major” impact on businesses who will only have two months to adapt, one HR professional is arguing.
Becky Hill, Director at HR Now, had this to say…
Later today, the States Assembly is expected to debate, and is expected to approve, regulations placed before the Assembly by the Minister for Social Security, that could have a major impact for some employers and employees in Jersey. While the draft placed before the States claims that there will be “no financial or manpower implications arising from these draft Regulations”, I think that the reality will be different for some businesses and organisations, particularly smaller ones.
The Minister accepted recommendations made by the Employment Forum following a period of consultation to increase annual leave entitlements for staff and give a statutory right to daily rest breaks with effect from January 1st,2022. The statutory entitlement to annual leave will increase from two weeks to three weeks (10 days to 15 days full time). Every worker will also have an entitlement to a 15-minute rest break in any period worked of six hours or more. This break can be paid or unpaid at the employer’s discretion.
Pictured: Employers only have to offer two weeks of annual leave to employees under the current law.
For many employers who already offer enhanced holiday entitlements and have rest breaks already included in employee contracts, this will have a limited impact. However, for those organisations and employers who follow the current legislative guidelines, it will potentially result in additional costs and changes to working patterns. Critically, there won’t be a great deal of time to deal with these changes either. The regulations are due to come into effect on January 1st, 2022. That’s less than two months away.
Employing organisations that are affected may need to consider a range of factors – for example, whether contracts, handbooks and polices are going to be fit for purpose.
A Contract of Employment is a legally binding agreement between the employer and employee, it therefore must comply with Employment Legislation. Contracts may need to be reviewed and amended accordingly. The easiest way to vary or change a contractual term is by agreement and because both of these changes are beneficial to the employee, it is not anticipated that employers will encounter any difficulties in reaching agreement for these changes. If for any reason agreement cannot be reached, it is essential that employers follow Employment Legislation and a fair process to avoid any unnecessary disputes.
It may also be necessary to review workforce plans, including shift and rostering arrangements, and the administration of annual leave and scheduling of rest breaks and timesheet recording, to enable effective and safe staffing levels at all times. The application of 4% to hourly rates to reflect statutory holiday entitlement for those working on zero hours contracts will obviously have to be revisited. All these changes must be effectively communicated to employees and included in contracts and staff handbooks.
There won’t be much time left before these changes will take effect, so employers must move with pace. I have seen the unfortunate consequences of organisations not complying with legislation or following correct procedures. It can result in financial penalties, damaged reputations, and damage staff morale or recruitment. If these changes are passed in the States today, I would urge all affected businesses to look at their contracts, terms, policies and handbooks and update them all accordingly. For small businesses I’m afraid this tweaking of the Employment Laws could have some financial and working practice implications.
