Bribery Act – Be Prepared

Do you have a clear and effective anti-bribery policy in place? If not, whether your business is big or small, you’d be best advised to look at this as a matter of urgency, as the new Bribery Act came into force as of 1st July this year!

This legislation represents one of the biggest changes to UK laws regarding business and commerce for decades, and getting it wrong could end up costing you a lot more than you bargained for – as the maximum penalty for bribery will rise from 7 to 10 years imprisonment, and/or an unlimited fine. However, if a company can demonstrate that it has adequate procedures in place for the prevention of bribery, the fact that it is using its best endeavours to comply with the law will offer a good degree of protection.

The Bribery Act replaces existing anti-corruption rules, and introduces a new corporate offence of ‘failure to prevent’ bribery. This means companies that cannot demonstrate that they have implemented adequate procedures to prevent corrupt practices could be exposed to unlimited fines as well as other collateral consequences, such as debarment from government business.
This is yet another layer of red tape for beleaguered businesses to negotiate, but once again there is no excuse for not knowing it. Stewart Fletcher & Barrett is committed to trying to get the message across to government that red tape is ruining businesses. Indeed, senior partner Paul Carvell has raised these concerns with MPs, and a new government initiative aimed at cutting red tape has been launched.

He explains: “What you need to know is that the definition of what constitutes bribery is actually far wider than ever before, and encompasses things that may have previously appeared innocuous. It is vital for businesses to realise that bribery is a lot more than just a legal issue – it demands a holistic approach that includes ensuring you have the right processes, controls and company culture. Unfortunately, this is likely to represent yet another cost to businesses.”

If you would like to find out how we can help you minimise that cost, call us on 02476 384171.

To add your voice to the government initiative, visit the website: http://www.redtapechallenge.cabinetoffice.gov.uk/home/index/

Out With The Old..?

Did you know that with effect from the 1st October 2010 you can no longer compulsorily retire employees at 65?
With the introduction of new legislation the default retirement age of 65 is being scrapped. Only employees who have been notified before 6th April 2011 and are due to retire before 1 October can be compulsorily retired.

Developments in employment legislation over the last few years have tried to encourage employers to enable valuable employees – who would otherwise have been compelled to retire – to work beyond the age of 65. Up until now, employers retained the right to refuse a request to allow employees to work beyond the default retirement age.

The changes in this legislation will have significant implications for businesses of all sizes. Employees can still choose to retire, but employers can no longer use retirement as a fair reason to end somebody’s employment. Employers wishing to terminate someone’s employment will have to ensure that the reason behind the dismissal is due to conduct, capability, redundancy or some other substantial reason.

Non-compliance can lead to a claim of unfair dismissal, and an Employment Tribunal may award successful claimants up to £65,300.

Here at SFB HR Support, our trained advisors work within the law to further your company’s agenda. If you have any questions in relation to the changes in handling retirements or any other general HR queries, please call us on 02476 384171 to find out more.