Lack of policies and procedures can lead companies into tribunal minefield

Employees need to know where they stand, and what is expected from them, from the start

Companies risk facing employment tribunals if they donít have a complete set of detailed HR policies and procedures in place, warns Berkshire-based recruitment and HR consultancy Bamboo Resourcing.

Employment legislation is becoming more stringent all the time, and staff are increasingly aware that they can take grievances to tribunal. This means it has never been more essential to take policies and procedures seriously, according to Bambooís operations manager Karen Green.

ìEmployers who cross their fingers and hope for the best are risking problems if a member of staff decides to pursue a claim against unfair treatment,î she says. ìAnd it isnít just companies that lose at tribunal who suffer. Even if a company wins, it has to pay the solicitorís costs, and loses productivity through preparing for and attending the hearing.î

Organisations with clear policies and procedures on everything from how disciplinaries, redundancy, maternity leave, sickness and absence are handled, to how employees are expected to behave, and use their company car, the internet etc., are protecting themselves from falling foul of legislation, or aggravating employees. They are also far less likely to receive frivolous claims.

Meanwhile, those that are unlucky enough to be taken to tribunal will be in a much stronger position if they can prove there are clear and detailed policies and procedures in place, which have been followed step-by-step.

Itís crucial to ensure that they are correct, kept up to date with changes in employment legislation, followed to the letter, and that all employees are aware of them. This can be achieved by including them in staff inductions, citing them in contracts, publishing them in a company handbook, or putting them up on a noticeboard.

It is small and medium-sized companies (SMEs) that are in most danger, according to Karen Green.

ìSMEs are least likely to have dedicated HR staff, and most likely to find themselves too busy to handle HR tasks,î she says. ìHowever, they could all too easily be wiped out by the costs associated with tribunals ñ for example, in a race or sex discrimination case, there is no upper limit to how much people can receive in compensation.î

Bamboo has developed a ëvirtual HR departmentí package, designed to support companies by taking care of essential HR services on their behalf, including the drawing up, communication and following of company policies and procedures.