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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.

Number of self-employed hits record high

29 January 2016

Number of self-employed hits record highThe number of self-employed people in the UK has risen, according to the latest employment statistics.

Data from the Office for National Statistics (ONS) shows that the number of self-employed rose by 98,000 in the three months to November 2015, compared to the same period in 2014.

IPSE, the Association of Independent Professionals and the Self Employed, reports that this is a "record high" for self-employment.

Lorence Nye, IPSE economic policy adviser, said: "Today's labour market figures again show more and more people are realising the benefits of self-employment and opting to become their own boss."

Freelancing, he said, is no longer limited to certain professions or specific age groups. It is "an established part of the labour market, with workers in every sector and from every demographic."

However, Nye reports that there has been particularly rapid growth in the number of older workers who become self-employed to continue their careers past retirement age, and also among those under thirty.

Nye said: "The self-employed are now a key part of the UK economy. Their flexibility provides us with a unique characteristic that has powered the UK through the financial crisis and may be the one thing that shelters the country from the potential global economic storm appearing on the horizon. We hope the Government will continue to implement tailored policies to help this essential sector flourish, to allow for the UK to retain its competitive edge."

The latest jobs figures show that the labour market as whole has performed strongly in 2015. Michael Martins, economist at the Institute of Directors (IoD), said: "These jobs figures, which show the British labour market ended 2015 strongly, could be just what the doctor ordered as we see nothing but storm clouds gathering across the global economy. At home, British firms remain upbeat, creating jobs, and pushing both the absolute number of people and the employment rate to its highest level since records began."

However, the skills shortage is affecting many firms, especially small businesses, he said. "For small firms that employ fewer than ten employees, the struggle to find workers is particularly acute, with vacancies rising by 13% in the last quarter."

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