Dismissal umbrella covers small firms
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PEOPLE working in small haulage and coach firms will soon be able to complain to an Industrial tribunal if they think they have been unfairly sacked.
Mr Albert Booth, Secretary of State for Employment, has signed an Order paving the way for further provisions of the 1975 Employment Protection Act to come into operation from the beginning of October.
It means for the first time that firms who employ four people or less face the prospect of reinstating or re-engaging an employee whose complaint is upheld by a tribunal.
Compensation may also have to be paid, comprising a basic award up to a maximum of £2,400 and an additional award up to £5,200.
Employees in small firms cannot claim unfair dismissal at the moment because of an exclusion clause in the Trade Union and Labour Relations Act 1974.
More than a thousand extra cases could be heard each year, according to the Department of Employment, as a result of the repeal of the clause. The change will not apply retrospectively.
Another Order taking effect from April 6 next year means that all except a few special categories of employees will have to be provided with a proper pay statement.
Among other things employers will have to give details of deductions and the reasons for them.