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Establishing a successful recruitment process and clear written employment contracts for new employees can have a major impact on your business.

Every business needs to be aware of its obligations under minimum wage and equal pay laws, as well as recent pensions auto-enrolment changes.

You must comply with legal restrictions on employees' working hours and time off, or risk claims, enforcement action and even prosecution.

The right employment policies are an essential part of effective staff management. Make sure any policy is clear and well communicated to employees.

While sick employees need to be treated fairly, you need to ensure that 'sickness' is not being used as cover for unauthorised absence.

Most pregnant employees are entitled to maternity leave and maternity pay, while new fathers are entitled to paternity leave and paternity pay.

As well as undermining morale, illegal discrimination can lead to workplace grievances. Employee discrimination is covered by the Equality Act 2010.

Home, remote and lone workers are becoming increasingly commonplace. Key issues include communication and how to manage and motivate people remotely.

The right approach to consulting with and providing information to your employees can improve employee motivation and performance.

Disciplinary and grievance issues can be a major burden to employers. Putting in place and following the right procedures is essential.

Following the right dismissal and redundancy procedures helps protect your business and minimise the risk of a legal dispute at tribunal.

Employment tribunal claims are a worrying prospect for any employer. A tribunal case is a no-win situation – even if the claim is unjustified.

2015 ends on positive note with good news on jobs

18 December 2015

2015 ends on positive note with good news on jobsEmployment is up; unemployment is down and the youth unemployment rate has fallen to its lowest level for more than ten years.

The latest labour market statistics from the Office of National Statistics (ONS) shows that, in the three months from August to October 2015, employment was up 207,000 and unemployment was 110,000 lower.

It means that job growth in the UK has "well and truly recovered" said Mark Beatson, chief economist at the CIPD, the professional body for HR and people development.

David Kern, chief economist at the British Chambers of Commerce (BCC), said: "This is an encouraging pre-Christmas set of figures, with employment rising to a record high, unemployment falling, and inactivity declining. Overall these figures demonstrate that our flexible and vibrant labour market remains a source of strength for the UK economy."

Small businesses are playing a key part in the positive employment picture, according to John Allan, national chairman of the Federation of Small Businesses (FSB). He said: "The continuing growth in employment and wages is further positive proof of the ability of the private sector, and small firms in particular, to create good quality jobs."

Despite the good news, Allan cautioned: "FSB research confirms smaller businesses are playing their role in job creation despite a cooling of confidence in recent months. This is likely to reflect a number of upcoming policy changes that businesses are grappling with, including higher than expected minimum wage increases, auto-enrolment deadlines, and changes to how dividends are taxed.

"With many of these challenges due to hit smaller businesses simultaneously in the early half of 2016, we encourage ministers to monitor the situation closely and be prepared to consider extra transitional support for small firms if the jobs market shows signs of cooling. Crucially, we would urge against any further measures that raise the cost of doing business at this time."

The ONS figures also show that in the same period, the annual growth in average earnings fell to 2.4% including bonuses and to 2% excluding bonuses.

The CIPD's Mark Beatson said: "Wage growth remains subdued, and this makes it less likely that we will see interest rates increase during 2016. With very low inflation, the average pay packet is still increasing in real terms, but this will only be sustainable if productivity increases. This will require organisations to invest in technology, new systems and their workforce."

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