EMPLOYMENTMATTERSACAS EARLY CONCILIATIONLATEST REPORT PUBLISHED ON EARLY CONCILIATION BY ACAS

FLINTSHIRE BUSINESS WEEKAVENTI EXHIBITS AT FLINTSHIRE BUSINESS WEEK 2014

CLOSING THE LOOPHOLES ON ZERO HOURSGOVERNMENT CALL FOR THE CLOSING OF LOOPHOLES ON ZERO HOURS CONTRACTS

www.employment-lawuk.co.uk | ISSUE SEPTEMBER/OCTOBER 2014

Interview: Chris Morris We speak to Agricultural Solicitor Chris Morris on the

latest issues affecting the sector

Independent Scotland & TUPEFOCUS

Prepare for Business Changes Land agents Rostons, share their

key steps for business change

Farmers Missing out on PaymentsFigures from the RPA reveal that farmers

are mising out on EU Payments

More Support For Young VetsThe British Veterinary Association reveal that

more support is needed for young vets

More Workers in AgricultureONS figures reveal that over 55,000 workers

entered the industry in the last 5 years

Published by Hillyer McKeown Solicitors

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EDITOR’S LETTER

4 EDITOR LETTERRichard Burnett comments on some of this month’s features & issues.

5 EMPLOYMENT NEWSAcas early conciliation report and Aventi announces stand at Flintshire Business Week.

6 ZERO HOURS CONTRACTSGovernment calls on businesses, Unions and employees to close loopholes on Zero Hours contracts.

9 10 REASONS FOR AVENTIWe look at 10 reasons why you business needs Aventi Employment Solutions.

10 MENTAL HEALTHChief medical officer Dame Sally Davies calls on employers to offer workers more help with mental health illnesses.

11 SCOTTISH INDEPENDENCESarah Lowe looks at the problems an independent Scotland could bring for businesses

12 ABOLISH TRIBUNAL FEESLabour MP Chuka Umunna announces intentions to abolish tribunal fees.

14 E-CIGARETTESWe look at the debate around the banning of E-Cigarettes at work.

16 PREPARED FOR CHANGE?Land agents - Rostons share their keysteps for business success, controlling costs and succession planning in agriculture

18 EU PAYMENTSWe report how poor record keeping means that farmers are missing out on EU Payments

19 SUPPORT FOR YOUNG VETSSurvey reveals that more support for young vets is needed as they settle into their roles.

20 WORKERS IN AGRICULTUREONS reveal that over 55,000 workers have entered the industry in the last five years

21 NFU LATEST STATISTICSWe report on the NFU’s latest figures on the agricultural industry

22 CHRIS MORRISSarah Lowe talks to Agricultural Solicitor on issues affecting the sector

11

contentsEMPLOYMENTMATTERS

22Interview:

Chris Morris

06More Workers Are Choosing a Career in Agriculture

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Welcome to the latest edition of Employment Matters Magazine - a dedicated employment magazine written for employers and business owners.

Agriculure Veterinary Law

In this month’s edition of EMM, we take a look at the agricultural and veterinary industries. Recent statistics released by the Office for National Statistics show that a staggering 55,000 people have entered the agricultural industry in the last few years, but, Justine Watkinson says, now is the time that employers in the industry need to step up their game, to ensure that this positive development remains.On the contrary, a UK-wide survey of the veterinary profession has suggested that more support is needed

for young vets. The survey, conducted by the British Veterinary Association, pinpoints issues such as isolation, low wages and long hours are contributing to dissatisfaction amongst workers. We discuss how employers can go some way to tackling some of these issues.

Potential TUPE problems on the horizon

Also this month, after weeks of campaigning, we’ll finally find out what the future holds for Scotland. However, whilst there has been plenty of coverage on the wider implications of a ‘yes’ vote, there has been much less talk of what this means for employers and specifically, those with large, national businesses.

This month, Justine Watkinson explains the potential TUPE problems that could be raised should the vote go in favour of an independent Scotland.

EMPLOYMENTMATTERS

Welcome

byRICHARD BURNETT Editor

EDITORIAL & FEATURES Employment-lawuk.co.ukT: 0845 366 4416E: enquiries@law.uk.com

Aventi Employment SolutionsMurlain HouseUnion Street ChesterCheshireCH1 1QP

EDITOR’S LETTER

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Earlier this year, a new law was introduced meaning that anyone who wishes to make an employment tribunal claim needs to contact Acas first.

Today (3rd September 2014), Acas has published its Early Conciliation statistics for the first quarter, running from 6th April to 30th June 2014.

Initially notification to Acas was voluntary however by 5th May it was compulsory that all claims were lodged with Acas before proceeding. Figures from April show that around 1,000 people voluntarily

contacted Acas each week but, in May, when compulsory, this figure rose to around 1,600 per week. A total of 17,000 requests for early conciliation were received throughout the quarter, with over 16,000 of these coming from the employee.

With regards to the take up of Early Conciliation, the statistics show that relatively few people reject the offer of Early Conciliation completely, but rather talk through the issues in an effort to resolve the matter effectively. It is important to note that when an Early Conciliation notification is made to Acas, there is an

automatic pause of one month in the time limit within which the claimant would legally need to bring a claim if they decide to do so. During this time period, Acas has a legal duty to offer conciliation, however the parties do not need to accept this offer.

The formal Early Conciliation period comes to an end when either the dispute is settled, or if it becomes apparent that neither party is willing to settle. The figures submitted by Acas show that 16.5% of the total 11,355 cases ended their Early Conciliation period between April and June 2014.

Next month the Aventi team are heading to Flintshire Business Week 2014 (FBW14), running from 7th-10th October.

This flagship event, organised by Flintshire County Council, is now in its eighth year and has been designed to provide support to the North Wales business community. This year’s theme is ‘The Growth Agenda’ and will focus on helping businesses in North Wales to deal with the challenges they face as the economy recovers from the recession.

Our team will also be exhibiting at FBW’s Business to Business Exhibition, which will be taking place on Wednesday 8th October at Coleg Cambria in Deeside.

The exhibition, which will once again be sponsored by Westbridge Furniture Designs, will also host exhibitors including Edge Transport, DRB Group and HSBC, amongst others operating in a wide variety of industries.

#FBW14 Social Media SurveyIn the lead-up to the event, Hillyer McKeown will be running a campaign highlighting the increasing need for businesses in the North Wales area to adopt a coherent social media policy.

As part of the campaign, we will be carrying out a survey of North Wales businesses, to determine how many organisations have an existing social media policy in place and, if not, why they have held off implementing one.

Do you have a social media policy? Let us know via our dedicated LinkedIn group – ‘Employment Matters Magazine’.

Take the Survey: http://bit.ly/fbw-14

Aventi at FBW 2014

Acas Early Conciliation Report Published

EMPLOYMENT NEWS

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Call for Help to Close Loopholes in Zero Hours Exclusivity BanThe government is calling on businesses, unions and employees to help it ensure that there are no loopholes in the law banning exclusivity clauses in zero hour contracts.

B usiness Secretary Vince Cable told of his plans to ban exclusively clauses in the contracts, which

allow business owners to employ workers without specifying minimum working hours, back in June of this year. However, ministers now fear that some unscrupulous employers may try to get round the ban using methods such as offering contracts guaranteeing one or two hours’ work a week.

The issue has been put to public consultation with the government seeking ideas and advice from all interested parties. It asks for views on what problems might arise and whether the government should take pre-emptive steps to prevent them.

It suggests one option might be to introduce civil penalties that workers could use to seek justice if they are treated unfairly for finding alternative work while subject to a zero hours contract.

Exclusively clauses stop a worker employed on a zero hour contract from working for another employer, even if their employer does not give them any guaranteed work. Banning exclusivity clauses in these types of contracts will mean that workers employed on them will have increased flexibility and be free to search for work with more than one employer.

Business Secretary Vince Cable said: “We are tightening the screws on rogue employers who try to abuse workers on zero hours contracts. We are looking closely at any potential loopholes that could arise from a ban, to ensure that these are closed off and no one can get round the new law. We are also ensuring there is access to justice for workers treated unfairly.

“The evidence shows that the vast majority of zero hours contracts have been used responsibly by many businesses for many years, but unfortunately we know that some abuse does take place. This is why we are bringing in new laws to ban the use of exclusivity clauses in zero hours contracts, which currently stop employees getting other jobs if they need to top up their income.

ZERO HOURS

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A Zero Hours Contract is an employment contract where an employee agrees to be available for work but has no guarantee from the employer of a fixed number of hours per week or month.

ZEROHOURS CONTRACTS

583,000PEOPLEEMPLOYED ON ZERO HOURS CONTRACTS

SOURCE: Labour Force Survey (LFS), April 2014

OF PEOPLE

HOURS

35% WANT LONGER

14%PEOPLEARE ACTIVELY LOOKING FOR ANOTHER JOB

“We want to give individuals the chance to find work that suits their individual circumstances whilst also giving employers the confidence to hire and create new jobs.”

Justine Watkinson, Partner and Head of Employment Law at Hillyer McKeown said: “It is great to see that the government is keen to address the concerns raised in relation to zero hours contracts and is working to identify any loopholes that could arise in the system.

“Removing the exclusivity clauses in these types of contracts is a very positive move and will make these contracts fairer for workers who need to secure their income streams by seeking other work.

“I do believe that, providing they are used in the right manner by employers who are fair and open about their requirements,

these contracts serve a purpose in the current labour market and are useful for some workers looking for flexibility in their job.”

The consultation runs until 3rd November this year.

Have a question about zero hour contracts? Our employment department has assisted many employers in their concerns about these types of contracts and how they can be used. If you would like to speak to a member of the team, please call us on 0845 366 4416 or visit our dedicated website: www.employment-lawuk.co.uk.

You may also like to join our LinkedIn group at www.linkedin.com/groups/Employment-Matters-Magazine-7468422 to discuss issues relating to these types of contracts as well as other areas of employment law.

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AVENTI EMPLOYMENT

W e look at 10 reasons why your business needs Aventi Employment Solutions:

01 Support: You will have unlimited access to specialist employment

solicitors who can support all your employment and HR needs with complete and commercially sound legal advice.

02 Protection: Aventi’s unique Legal Expenses cover ensures that your

business is protected from expensive tribunal claims.

03 Improve Cash Flow: Aventi is a fixed fee service so you know exactly

how much it is going to cost and can budget for the financial year knowing that all your employment and HR advice is covered.

04 Save Management Time: Knowing that your Managers have the resource

to resolve employment and HR queries quickly and professionally will allow them to spend more time focusing on the growth and improvement of your business.

05 Compliance: Aventi will keep you and your documentation up to date

with any changes and developments so you have all your ducks in a row! Aventi also offers health and safety support to ensure you fully comply with your H&S obligations.

06 Personal Service: Aventi gives you direct and speedy access to a

specialist employment solicitor who will take the time to get to know you and your business personally. Unlike other schemes Aventi does not have a call centre. Our Aventi Service is delivered by our technically excellent qualified employment solicitors.

07 Insurance: Aventi’s unique Legal Expenses cover ensures that your

business is protected from expensive tribunal claims. A key feature is that you are not

10 Reasons Why You Need Aventi Employment Solutions

compelled to take our advice about an issue to be covered by the insurance. The small print with other schemes says you must take advice every step of the way and follow the advice to have the full benefit of the insurance cover; with Aventi Employment Solutions we offer a pragmatic and commercial approach which allows you to run your business as you see fit and still have the benefit of the cover.

08 Legal Privilege: We are solicitors therefore you will never need to

disclose our advice in any court case or tribunal proceedings. Advice given by a non-solicitor or consultant is always subject to disclosure to a court, no matter how damaging the consequences to you and your business.

09 No handcuffs: You will not be tied in to a long contract. We are

so confident that you will benefit from our service and renew, you can take Aventi for

just 12 months (unlike other schemes which require a 3 or 5 year commitment).

10 Full Service: Our excellent reputation for quality service is

supported by a full service Commercial Law Firm. As part of Hillyer McKeown LLP we can offer you access to the full range of commercial legal services to complement every aspect of your business, from buying and selling commercial property, to dealing with intellectual property issues, handling commercial disputes, preparing effective terms of business, debt recovery and everything in between.

For more information visit: employment-lawuk.co.uk

by RACHEL HUGHESEmployment Solicitor

LEGAL SOLUTIONSaventi ®

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TRIBUNAL FEES

C hief medical officer Dame Sally Davies said this month (9th September 2014) that employers

urgently need to be doing more to support people with mental health problems.

It was revealed in her annual report that last year, nearly 70 million working days were lost to mental illness, at a cost of between £70bn and £100bn to the economy in lost productivity, sickness absence and benefit payments.

“The costs of mental illness to the economy are astounding,” said Dame Sally.

“Through this report, I urge commissioners and decision-makers to treat mental health more like physical health.”

Since 2009, the number of working days lost to anxiety, depression and stress has risen by 24%, the report said. However, around 75% of people suffering with diagnosable mental illnesses are actually getting no treatment at all.

“Anyone with mental illness deserves good quality support at the right time,” Dame Sally continued.

“One of the stark issues highlighted in this report is that 60 to 70% of people

with common mental disorders such as depression and anxiety are in work, so it is crucial that we take action to help those people stay in employment to benefit their own health as well as the economy.”

Dame Sally recommended that employers allow those with mental health problems the option to work flexible working hours, to keep them in stable employment.

Justine Watkinson, Partner and Head of Employment Law at Hillyer McKeown, said; “This is clearly a major problem in workplaces across the UK, accounting for an astounding 70 million working days lost in just one year, according to Dame Sally’s report.

“On 30th June this year, a new law was introduced that gives every employee the right to request flexible working hours, which their employer can either approve or reject. Previously, only some parents and carers were able to request flexible working hours and those suffering with mental health problems have generally not been offered this type of working up until now.”

“One in four adults suffers some form of mental ill-health all of the time,” Dame Sally continued. “But what I’m concerned

about is how do we support people with mental ill-health who fall out of work.

“They [employers] can make it by actually talking about it, knowing how their people are, whether they have ill health, supporting them by giving them flexible working if they need it, by reducing stigma,” Dame Sally said.

Justine agreed: “It goes without saying that employers need to ensure they are aware if their employee is suffering with ill-health, and if they are, support them in any way they can.

“Flexible working could be a way for employers to support with this. Every case will need to be considered on an individual basis, but by offering employees this type of working option will help them to remain in employment, give them some stability and hopefully aid their recovery.”

Have a question about flexible working? Visit our dedicated website – www.employment-lawuk.co.uk – for more information or contact Justine on jw@law.uk.com or 01244 616609 if you have an enquiry.

by RACHEL HUGHESEmployment Solicitor

Help for Employees With Mental Health IllnessesChief medical officer Dame Sally Davies calls on employers to offer workers more help with mental health illnesses

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Scotland IndependenceIndependent Scotland could bring about problems with TUPE

O n Thursday 18th September, the future of Scotland will go to vote, in a much-publicised bid for

independence. However, if a ‘yes’ vote is cast by the majority of voters, it could bring about big TUPE issues for organisations spanning the union, employment solicitor Justine Watkinson has warned.

“Scottish independence would give employment lawyers on both sides of the border some interesting questions to tackle,” Justine, Partner and Head of Employment at Hillyer McKeown, said. “Employers such as Royal Mail, for example, could encounter problems under TUPE should there be a split across national borders.

“TUPE issues can be triggered when employees face a considerable change in their working conditions to their material detriment,” Justine explained. “The issue here is that, should Scotland vote for independence, these larger organisations would be forced to split, and any Scottish arm of the business would be considerably smaller as a result.

“A person employed by an organisation such as Royal Mail would see a considerable difference in their working environment and career options; if you were at the height of your career and wanted to move to the Head Office, which was in London for example, you wouldn’t be able to do that anymore, because it would not be a part of the same organisation.

The split would not affect public authorities like the MOD, Justine said, but “could massively impact employees on a very personal level” in many other businesses across the country.

“People who have planned to move around the country to build up their career, for example, would not be able to do this anymore without leaving their current employer and losing all of their accrued rights as a result, such as those associated with their length of service to the company and pension benefits.

“Pensions could potentially be a major problem in the event of Scottish independence, as any businesses that split between Scotland and the remainder of Britain would need to decide how they would go about dividing up their pension liabilities.

“TUPE permits a ‘new’ employer to propose lower pension provisions, but employers might not to ‘mirror’ an existing scheme to retain employee benefits.”

The vote takes place after weeks of campaigning, with latest polls “too close to call”, say politicians.

“Very little emphasis has been placed on employment issues in the result of an independent Scotland, with the focus instead on the larger issues involved,” Justine said. “However, these are the hard facts facing individuals on a very personal level. It is important to consider the wider impact these changes could have on an organisation.”

Have a question about TUPE? Our employment lawyers can help. Contact Justine via our dedicated website: www.employment-lawuk.co.uk.

by SARAH LOWEFeatures Editor

INDEPENDENCE DEBATE

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At the TUC Congress earlier this month, shadow business secretary Chuka Umunna told how a Labour Government would abolish the current employment tribunal system, which requires claimants to pay a fee for bringing a claim against their employer.

Calling the current system “unfair”, Mr Umunna said that, should his party be elected, Labour would reform the current system to make it more streamlined for both employers and staff.

“The current employment tribunal system is unfair, unsustainable and has resulted in prohibitive costs,” Mr Umunna said. “Affordability should not be a barrier to workplace justice, but it would be a mistake to simply return to the system of the past, where tribunals were so slow that meaningful justice was not available.

“So if we are elected, the next Labour government will abolish the current system, reform the employment tribunals and put in place a new system which ensures all workers have proper access to justice.”

Fees currently apply to all claims made to the Employment Tribunals and Employment Appeals Tribunal that were received on or after 29th July 2013. Claims are split into two categories, Type A and Type B, with the latter being the more serious claims, and so the more expensive. There are also two sets of fees that need to be paid; an issue fee, paid when first submitting a claim, and a hearing fee, paid once that claim has been given a scheduled date for hearing.

The Government’s reasoning for these changes, given in 2011, was that they would reduce the taxpayer subsidy and promote early resolution. This would, the

Government said, hopefully mean that the tribunals would only be used as “a last resort for the most complex cases”.

It was hoped that those with ‘weaker’ claims will be forced to consider their claim more seriously, with regards to whether they have a realistic chance of success, before entering their claim into the system. This, the Government said, would save time and money and in turn, make the system more sustainable.

“It is in everyone’s interest to avoid drawn out disputes which emotionally damage workers and financially damage businesses…that’s why we are encouraging quicker, simpler and cheaper alternatives like mediation,” Justice Ministers stated.

Statistics released by the Ministry Of Justice show that the impact of these changes has seen a dramatic decrease

Labour Announces Intentions to Abolish Tribunal Fees

“ The current employment tribunal system is unfair, unsustainable and has resulted in prohibitive costs

”

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of claims being brought to the employment tribunals, with 79% fewer claims in January-March 2014 than in the same period in 2013. Unions such as the TUC have stated that these changes are particularly worrying for the more serious Type B claims, and that “by charging up-front fees for harassment and abuse claims, the Government has made it easier for bad employers to get away with the most appalling behaviour”.

Trade union UNISON felt so strongly opposed to the introduction of fees that they submitted a judicial review of the introduction of fees, which was rejected in January 2014. Additionally, along with UNITE, they have offered to pay any fees for any claims their members may feel they have.

On the contrary, the Confederation for British Industry and the Institute of Directors welcomed the changes, saying it will help business’ growth by giving employers more confidence that only genuine claims are likely to be brought.

Before these changes, many businesses were settling even where they had acted within the scope of employment law, as it was the easiest method of resolution, and was least damaging to a company’s reputation. The UK government stand by the changes and insist it is not unreasonable to expect people to pay towards the cost of running the service. Making a claimant pay for services is not a new idea either; it has been long established within civil courts that claimants pay for any claim which they may wish to bring.

Some feel that the changes will not deter people with weak claims but rather discourage instead those who have genuine claims, making justice unaffordable to them. The Universities of Strathclyde and Bristol have conducted research which shows that the introduction of these fees has indeed limited the access to justice. This has, in turn, increased the fear in claimants of the emotional and financial stress of going to a tribunal.

It is important to note that the new system does have an allowance for full or part remission of fees, allowing those people who would be unable to afford the claim to still have access to justice. Indeed, the 2013 government survey of tribunal applications showed that 29% of cases withdrawn were because of the expense involved (the most popular reason for withdrawal). However, the law society feels that the cut off point for remission is too low.

The idea that the fees will allow for other alternatives to be utilised is arguably unlikely as once a claimant has paid the initial fee, they are less likely to want to settle. However the

option to include the fees already paid in any settlement that is reached is an interesting area for negotiation.

Whilst the introduction of these fees has seen a dramatic drop in the amount of claims coming before the employment tribunal, the drop is too significant to account the cases lost solely to those ‘weaker’ cases. Instead, it must be acknowledged that at least some portion of claims deterred by the fees have been genuine. Government officials, meanwhile, have accredited the large drop in claims to the resolution of several class action claims brought on behalf of cabin crew, which they argue is skewing the statistics. However it may be too early to tell what true effect these changes have had without giving them a longer settlement period and a comparison with win/loss statistics.

Have a question about current tribunal laws? Our employment experts can help. Visit our dedicated website – www.employment-lawuk.co.uk – or call 0845 366 4416 to speak to a member of the team.

29% of cases are withdrawn

because of the expense involved

APPLICATIONS WITHDRAWN

79% fewer claims in

January-March 2014 than in the

same period in 2013

FEWER CLAIMS

29%

79%

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Should You Ban E-Cigarettes in Your Workplace?Smoking in enclosed or substantially enclosed workplaces in England has been prohibited since July 2007 (under the Health Act 2006), but this does not cover the use of electronic cigarettes.

Smoking in enclosed or substantially enclosed workplaces in England has been prohibited since July 2007 (under the Health Act 2006), but this does not cover the use of electronic cigarettes.

As an employer, you have the choice whether to abolish or limit the use of e-cigarettes within your privately owned or rented workplace. This may take effect through a No Smoking Policy, whereby you can restrain the use of smoking e-cigarettes to designated areas, or ban the use on the premises full-stop.

The British Medical Association (BMA) has advocated for stronger controls on where e-cigarettes can be used in order to protect others from being exposed to e-cigarette vapours and to ensure their use does not lead people to believe it is acceptable to smoke or reinforce the “normalcy” of smoking behaviour. In light of such concerns the BMA believes the existing smoke free legislation in the UK should be extended to include vapour from e-cigarettes.

There have been arguments against banning indoor use of

e-cigarettes, for example, Charles Hamshaw-Thomas from leading brand E-Lites believes it would be ‘troubling’; “If our products are helping people to reduce and/or stop their use of tobacco, shouldn’t we be taking the steps to help people do that, rather than the converse…Treating people in the same way as smokers?”Hazel Cheeseman, from Action on Smoking and Health, warned regulation needed to be proportionate and stated: “Although we cannot be sure that electronic cigarettes are completely safe, as the World Health Organisation acknowledges, they are considerably less harmful than smoking tobacco and research suggests that they are already helping smokers to quit.”

Now this may be true, but consider the recent media attention to injuries caused by the explosion of e-cigarettes.

The Merseyside Fire and Rescue Service announced the death of a man on 8 August 2014 due to the explosion of an electronic cigarette. A small fire in the man’s bedroom is believed to have started when an e-cigarette that was charging exploded, caught on fire and ignited the oxygen tube of an oxygen concentrator.

Earlier in April 2014, a woman was taken to hospital following the explosion of her e-cigarette, causing her shock and smoke inhalation. It took four fire engines and over 20 fire fighters to rescue the woman from the blaze in Barking, East London. Following the event, Charlie Pugsley, from the London Fire Brigade investigation team, said: “People assume e-cigarettes are much safer than ordinary cigarettes, and in most cases they are. The danger is that people sometimes use incorrect chargers, which runs the risk of over-charging, which can potentially have explosive results.”

Advantages of not banning them?

If you do not ban the use of e-cigarettes in the workplace you may open yourself up to the possibility of personal injury claims through the explosion of an e-cigarette being charged at an employee’s desk or work station, which can be easily avoided through banning such use in a No Smoking policy.

As it currently stands there has been no evidence of harm to the users of e-cigarettes, yet this does not mean that in future they will not surface.

DEBATE: E-CIGARETTES

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As with asbestos, the effects may not be evident until later in life. This uncertainty can cause employees to be fearful around the use of e-cigarettes, which may lead to complaints and have a negative impact on business morale.

How could you apply the policy?

By altering or creating a new No Smoking Policy, the same rules can apply to that of normal cigarettes. For example, they would not be permitted to be used inside, including charging, and may only be smoked in designated smoking areas and during designated breaks.

To protect your Company or organisation from this risk, you must clearly explain in your policies that failing to adhere to them may result in disciplinary action. The policy must be consistent throughout the workplace, to clearly define the scope of its application.

Actions in breach of the policy will thus amount to misconduct, for which a warning may be issued. In more serious cases it may amount to gross misconduct, which could allow for the summary dismissal of an employee. The employment tribunal must be satisfied that dismissal was within the reasonable band of responses to the employee’s action.

As an employer, you may fear that a sanctioned approach could create the risk of being accused of unfairly dismissing employees should they breach the policy by smoking or charging an e-cigarette indoors. The Employment Rights Act 1996 provides that the dismissal of a qualifying employee will be unfair unless:

The employer can show that the reason for the dismissal was a potentially fair reason (section 98(1) and (2)) and the tribunal finds that the employer acted reasonably in treating that reason as a sufficient reason for dismissal (section 98(4)).

Gross misconduct could apply where an employee charges their e-cigarette on the premises after the action has been prohibited, leading to an explosion and fire in the workplace. This would amount to a serious breach of health and safety regulations and thus justify summary dismissal (subject to a fair disciplinary procedure being followed), which can be supported by recent media stories.

Have a question?

Contact our employment team for advice by visiting our dedicated website – www.employment-lawuk.co.uk – make an enquiry or call 0845 366 4416 to speak to a member of the team.

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C ontrolling business costs or succession planning for your business to ensure a viable future are ongoing topics for discussion among farming and agricultural businesses.

While plenty has been written about business management and reducing costs, there is a limit to the number of cutbacks and spending reductions that can be made and, according to Rostons director Ros Rimmer, it’s essential for the business basics to be right.

She said: “A business is like a building - as long as the foundations are sound the building will survive. Farming businesses have evolved over the years and while the husbandry and agronomy can be first class, the management of the business in all too often viewed as secondary. As we move forward, commodity prices are likely to be more volatile and we will have to be prepared to compete at a global level. Farming can no longer be just a way of life - it’s a business and must be run as one.”

So what are the key basic steps?

A Common GoalEnsure all those with an interest in your business have the same aims and vision. It is no use one party aiming for high milk yields and first class quality stock when another is striving for low-cost production.

CommunicationEnsure everyone within your business is aware of cash flow, financial demands and deadlines for projects.

Staff/Team WorkingWithout a good team no business can survive in the modern business environment. Staff need to feel part of the team and need to be communicated

with so that they know and understand the business goals. This can be done very simply by way of regular meetings or even putting goals on a whiteboard in the brew room.

Ros saw this simple but highly effective solution in action at an arable business where the team wasn’t aware of the whole business overview. Simply writing key information like when and what to drill on a whiteboard helped everyone focus on a common goal.

Business PlanThe mere mention of a business plan sends many farmers running for cover - but it doesn’t have to be a big, detailed, glossy booklet. Two sheets of A4 paper with the short, medium and long term goals of all the partners in the business can assist to take it forward.

Examples are:• When you want to retire • Expansion opportunities • What is proposed

None of this is rocket science and it is not beyond the reach of any farmers, but few actually do it. If you require guidance or further details on how to prepare for your business future, speak to either Tony or Ros Rimmer - 01829 773000 or visit: www.rostons.co.uk

Are You Prepared for Business Changes?For this special agricultural issue Cheshire’s premier land agents - Rostons share their key steps for business success, controlling costs and succession planning in agriculture.

FOCUS: AGRICULTURE

Focusing on the needs of farmers

West View House Whitchurch Rd, Hatton Heath Chester CH3 9AU Tel: 01829 773000Tel: 01829 773000Tel: 01829 773000Tel: 01829 773000 Fax: 01829 773001 Email: info@rostons.co.uk

• Farm / Property & Land Sales • Residential & Estate Management • Expert Witness, & Arbitrations • Planning & Development • Renewable Energy • Valuations • Compensation • Finance • Grants • Entry Level Stewardship • Glastir • Agricultural Leases & Agreements • NVZ Calculations & Agreements • Single Farm Payment • Entitlement & Milk Quota Trading • Fodder Bank

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E England’s farmers are missing out on millions of pounds in EU payments, it was reported

earlier this month, because they are not maintaining adequate records.

The figures, released by the Rural Payments Agency (RPA), show poor record keeping continues to play a major part in cross compliance breaches, costing farmers £2.33 million last year in reductions to their Single Payment Scheme (SPS).

The figures show that there were 2,972 failures in the last year. Under EU rules, the Agency was tasked with carrying out additional inspections in those areas, because of the poor performance on soil protection and nitrate vulnerable zones in the previous year. These extra inspections generated over 700 of the total breaches that were recorded.

Cattle keepers attracted the largest numbers of breaches, as was the case in 2012, with 810 breaches for failing to report deaths and movements, reporting movements incorrectly and for animals found without passports.

Nitrate Vulnerable Zone breaches were the second highest, totalling 562, for reasons such as failing to keep accurate and up-to-date records and leaving temporary field heaps in position for over 12 months or too close to water courses. 328 of these breaches were as a result of extra inspections.

Coming a close third was Soil Protection Review, with a total of 535 failures – 383 of which were generated by extra inspections. A rise of 53 breaches was seen in issues with animal medicine and mortality records, rising from 95 in 2012 to 148 breaches last year.

Other areas seeing an increase in breaches included farmers applying or cultivating fertilizer or pesticides in protection zones around hedgerows or watercourses, which saw an increase of 37 breaches since last year, sheep and goat reporting errors, rising by 34 breaches, and farmers failing to comply with a water abstraction licence, which saw a rise of 23 breaches.

Paul Caldwell, RPA Operations Director, said: “RPA is currently working very hard to prepare for the new CAP but we are also committed to delivering our usual high quality routine services.

“Release of these figures is just one of the ways that we help farmers and the agricultural industry as part of our ongoing commitment to support rural economies.“The aim is to make farmers aware of the most common errors to help them to avoid future penalties and keep more of their vital SPS funds.

“The data clearly shows that, similar to 2012, failure to keep adequate records was a major cause of breaches across a number of cross compliance requirements.”

Have a question about agricultural law? We can help. Contact our solicitor Chris Morris, specialist in agricultural law, on 01244 616607 or cpm@law.uk.com.

by RACHEL HUGHESEmployment Solicitor

Farmers in England Missing Out on EU Payments

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Survey Suggests More Support Needed For Young Vets

A UK-wide survey of the veterinary profession has revealed that the majority of student vets would

choose a career as a vet again, but suggests that more support is needed for young vets as they settle in to their roles.

The Voice of the Veterinary Profession survey, conducted by the British Veterinary Association (BVA) showed that, although 83% of student vets were happy with their career choice, there were also a number of challenges affecting graduates as they move away from university life and into a veterinary practice. These included:

• Isolation – felt when re-locating and moving away from family and friends

• Lower wages than in other professions requiring a similar level of training and increased student debt

• A shortfall in expectations of the career• Long hours, such as additional night

shifts and weekend work

These concerns were reflected in results amongst respondents aged 26 to 34. When asked if they would still choose the same career path given the chance again, 21% of respondents answered that they would not still choose the career again, and 32% said they were “not sure”.

Of those who said that they would not choose the career again, over half gave the reason of poor pay compared to equivalent professions. A similar proportion cited the long hours and poor work-life balance as the problem.

A number of initiatives have been introduced by the BVA to help address these challenges. One of these is the Young Vet Network, a facility providing additional services and support to members of the BVA in their final study year and the following eight years after graduation.

Robin Hargreaves, president of the BVA said: “We see the commitment and enthusiasm of young people during their studies and training for the veterinary profession, and this is reflected in the findings of the BVA Voice of the Veterinary Profession survey.

“Young people enter the profession because they care about animals and their owners, and are prepared to go through very tough studies and training to achieve their dream of becoming a vet. But we know the reality of the profession can be different from expectations as a student.”

Justine Watkinson, Head of Employment Law at Hillyer McKeown, said: “It is important that employers within the veterinary sector are aware of the results of this survey carried out by the BVA, which gives great insight into current issues affecting entrants to the industry.

“There are many ways that employers can offer support to young vets new to the industry. Many vets at the beginning of their career will need to move away from their family and friends, and when having to work long hours on top of this, it is easy to see how they can feel

isolated. By arranging regular meetings with employees, and identifying any issues as they arise, employers can go some way to ensuring that young vets are content in their job, whilst helping to improve and progress in their careers, ultimately leading to a higher wage for them and the retaining of key talent for the employer.”

Hargreaves continued: “The BVA is committed to supporting vets throughout their careers and in helping young vets starting out to meet the early challenges and go on to a rewarding career in this wonderful profession. We are already making significant strides here, with initiatives such as the BVA Young Vet Network.

“We are also working to emphasise the full range of opportunities on offer to graduate vets, including work in research, Government and industry, as well as traditional practice. The BVA wants to break down the barriers to professional mobility for veterinary surgeons through events such as the BVA Careers Fair, which showcases a range of career opportunities.”

Are you an employer in the veterinary industry? Have a question on employment law? We can help you. Contact Justine and her team today on 08444 177 177 or visit our dedicated website - www.employment-lawuk.co.uk.

by SARAH LOWEFeatures Editor

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T he increase brings the number of people currently employed in the industry to 166,672, a rise of 33

per cent on last year.

The largest rise has interestingly been amongst women, with current figures showing three times as many women now work in the industry than in 2009. Many entrants to the sector were also college graduates at the beginning of their career.

Justine Watkinson, Partner and Head of Employment Law at Hillyer McKeown, said that whilst this is great news for the agricultural sector, and indeed the economy as a whole, it is now very important for employers within the industry to ensure that this positive increase remains, by implementing comprehensive policies and procedures across their organisation

and providing new workers with sufficient training, to arm them with the specialist skills that they will need in their day-to-day roles.

“The agricultural sector has seen a big increase in the number of workers it is recruiting, which is fantastic news for businesses operating within the sector and for the overall economy,” Justine said.

“However, now is the time for employers to really step up and ensure that this remains the case - get their ‘ducks in order’, so to speak. As new workers enter the industry, it is important that they are given a detailed contract of employment, and sufficient training to enable them to thrive in their new environment and progress. “By reviewing current policies and procedures, and ensuring that these are

all up to scratch, businesses will be giving themselves the best possible chance of retaining the new talent that they have acquired, all the while ensuring the smooth running of the company and attracting others to the industry.”

Do you work in the agricultural industry and need help drafting your contracts of employment or other policies and procedures? We can help! Visit our dedicated website: www.employment-lawuk.co.uk to contact one of our employment solicitors directly or request a call back at a time convenient for you. Alternatively, give us a call on 0845 366 4416 and one of the team will get back to you.

by RACHEL HUGHESEmployment Solicitor

More Workers Choosing Career in AgricultureOver 55,000 workers have entered the agricultural industry over the last five years, new figures from the Office of National Statistics show.

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T he National Farmers Union (NFU) released its latest round-up of key agricultural data last month.

The report includes key information for employers in the agricultural industry, with details on the latest farm practice, inflation and economic indicators.

Results of the Farm Business Survey, conducted by the Department for Environment Food & Rural Affairs (Defra) back in July, were also included in the report, which looked at the profitability and resilience of England’s farms from 2010/11 to 2012/13. Defra examined six measures: liabilities, gearing ratios, liquidity, net worth, net interest payments as a proportion of Farm Business Income as well as Return on Capital Employed.

The survey found that, across all farms surveyed, the mean liabilities (in this case, debt) are £150,000 for each farm. The mean net worth across the farms is £1.2 million, with nearly 40% having a net worth of £1 million or more, indicating that farm businesses will be resilient to fluctuations in income, in the short term at least.

Results of the survey also show the mean gearing ratio across all of the farms stands at 11%; around half of all farms had a gearing ratio of fewer than 5%, suggesting the vast majority are viable over the longer term. The mean liquidity ratio across all of the farms was 246%.

In addition, the net interest payments are, on average, 6% of Farm Business Income. This ranged from 5% for cereal farms to 13% for pig and poultry farms.

latest report also indicated a considerable increase in the number of holdings with a nutrient management plan (up 14% since 2006 to 60% of all holdings this year). The report detailed how, over the last four years, more holdings are reporting a financial benefit in having a nutrient management plan in place – a total of 49% of all holdings in 2014. This far outweighs the environmental benefits (reported by 34% of holdings this year) and of those that currently don’t have this type of plan in place, 22% would not be motivated to

create one, according to the report.

A copy of the full report can be found here: ht tp:/ /www.nfuonl ine.com/key-stats-july-2014/.

Have a question about agricultural law? Our in-house agricultural team will be able to help. Contact Chris Morris today on 01244 616607 or cpm@law.uk.com.

Latest agricultural statistics released by the NFU

by SARAH LOWEFeatures Editor

FOCUS: AGRICULTURE

About ChrisChris offers specialist advice in all areas of Commercial Property, with a depth of experience in landlord and tenant work for major corporate occupiers, the management of large portfolio estates, development for both commercial projects and residential housing. He also advises on the real estate aspects of corporate acquisitions, disposals and secured lending.

Chris also specialises in Agricultural Law, acting for large landed estates in Cheshire and North Wales, through to small holdings based throughout the Northwest of England. He advises on agricultural tenancies and licences, wayleaves and easements affecting agricultural land, large quarrying licences and a multitude of sectors governed by the Common Agricultural Policy.

Chris provides his clients with pragmatic solutions, taking a collaborative approach to transactional work to ensure the job gets done with the minimum of fuss.

INTERVIEW

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Interviewwith

Chris MorrisSarah Lowe speaks to Solicitor Chris Morris on issues affecting the agricultural sector. Agricultural Law, acting for large landed estates in Cheshire and North Wales, through to small holdings based throughout the Northwest of England. He advises on agricultural tenancies and licences, wayleaves and easements affecting agricultural land, large quarrying licences and a multitude of sectors governed by the Common Agricultural Policy.

Q Chris, you specialise in agriculture law at Hillyer McKeown. How did you get involved in this area of law?

A I got involved in agricultural law when I was at my previous firm in Manchester and acting for Tarmac, a large quarrying company. Tarmac buy big swathes of land up in Derbyshire and many other areas of the country and 9 times out of 10 they buy subject to farming business tenancies (FBTs). The farmers would be on the land under the FBTs, so initially my role was to investigate the FBTs and then report back upon what they were. Under an FBT you have lots of stripped rights of occupation and so on and so forth, so there are only certain times that you can get in to the land to get them off. Having an FBT in place means you can’t quarry the land, you can’t dig the land out and then backfill it. I used to do all sorts of negotiations with the farmers and my experience has grown from there.

Q What does agricultural law involve?A From a property perspective, agricultural law is predominately based

around FBTs, but land and grazing licenses are also a big area and I tend to do a lot of these. I act for both the landowners and tenant farmers and when working with the latter it’s all about identifying and dealing with issues as and when they occur. The big areas at the moment are renegotiating large FBTs based upon the milk quota, and the money that is brought in from the milk quota has an effect on the rent that paid for the land. My job is to negotiate these FBTs and ensure they are completed correctly.

Q What do you think are the biggest issues affecting employers in the agricultural industry at the moment?

A A big concern at the moment is animals contracting TB and other infections which leads to them having to be put down. Aside from the devastating effects that this has on the animal’s owners, these types of issues also have

a serious financial impact on the running of the farm. Money is needed to feed the cattle, pay the wages…it could have serious consequences. Succession rights are also a key issue at the moment. People are living longer and inheriting farms from their parents; as a result decisions need to be made regarding how these farms will be run going forwards, as well as the other corporate aspects involved. Young farmers have been in the spotlight a lot lately – channel 4 documentary ‘First Time Farmers’ has been following a new generation of farmers who have a lot to bring to the industry. New research published by the Office of National Statistics has also shown an increase in the number of graduates entering the industry. This can only be viewed as a positive; more people are coming into the industry with new ideas.

Q What part of agriculture law do you enjoy most?A The aspect I enjoy most is being out with the clients. It’s completely

different from Commercial Property because you’re dealing with a totally different area – commercial property is the built environment whereas agriculture is very much green fields (apart from the farmyard) so it is just a completely different way of life. I really enjoy meeting people from different walks of life - from the older farmer through to the younger farmers entering the industry, as we discussed before. The younger generation are a lot more tech-savvy and it’s really interesting to see how they are working to incorporate technology into the industry to make it more productive for them.