Employment Practice

Key points §   For many years, wages or salaries owed to employees by an insolvent employer have been treated in law as 'preferential debts'. However, that preference is accorded only to the first £800 of any claim in respect of wages earned during the four months preceding the date of the receiving order or of the appointment of the provisional liquidator. Amounts in excess of £800 (or for periods longer than four months), and other monies owed to an employee at the time his employer became insolvent, rank as ordinary debts (per Insolvency Act 1986, Schedule 6). §   In recognition of the fact that it could take years for employees to recover unpaid wages or salaries, let alone any other monies owed by an insolvent employer, sections 182 to 190 of the Employment Rights Act 1996 empower the Secretary of State for Trade & Industry to borrow from the National Insurance Fund and to pay some or all of those monies on the employer's behalf. The Secretary of State would the

Key points §   The term 'induction training' is generally understood to mean the process by which a new employee is informed about his (or her) employer's business, the terms and conditions of his employment and his new duties and responsibilities – complemented by an introduction to the people with or for whom he will be working, the materials, machines, plant or equipment he will be expected to use, information and training about safe working methods, (hazardous substances, and the like), fire precautions and fire evacuation procedures; and so on. §   In the smaller organisation, such as a light engineering works, depot, garage, workshop, retail outlet, restaurant, insurance office, public house, etc, induction training may consist of a brief chat with the immediate supervisor followed by an introduction to another employee who will 'show him the ropes'. In larger premises, such as factories, major manufacturing plants, chemical works or headquarters buildings, a

Independent Trade Union Key points The expression independent trade union is the term used to describe a trade union that: a.   is not under the domination or control of any one employer, or of a group of employers, or of one or more employers' associations; and b.   is not liable to interference by an employer or any such group or association (arising out of the provision of financial or material support or by any other means whatsoever) tending towards such control; and, in relation to a trade union, the word independent must be construed accordingly (section 5, Trade Union & Labour Relations (Consolidation) Act 1992). Certification as independent trade union §   Furthermore, in order to take advantage of the statutory rights available to trade unionists (officials as well as members) under current industrial relations legislation, a trade union must apply to the Certification Officer (who fulfils the functions of the former Chief Registrar of Friendly Societies) for a certi