Blog
From garage to unicorn – Employment law lessons for scaling tech teams
Catherine Bourne
17 June 2011
Beware IT Contractors – why an IR35 victory over the Taxman means more uncertainty for agencies and end-users
Many IT consultants work under HMRC’s IR35 rules that are designed to prevent independent contractors (usually IT contractors), who would otherwise be liable for income tax and National Insurance Contributions (NICs), avoiding them in favour of the lower rates of tax available if they work through the intermediary of their own personal service company (PSC). Normally, a PSC arrangement means that that the worker can pay him or herself dividends from shares owned in the PSC, which are not liable to NICs. On that basis, the worker pays less in NICs than a regular employee. Although corporation tax is payable on the profits of the PSC (after expenses) such an arrangement will nevertheless normally mean a big income tax and NIC saving to the worker.
15 June 2011
Employment Appeal Tribunal clarifies law on “pre-pack” administration TUPE dismissals
Important news for those buying a business out of "pre-pack" administration. The Employment Appeal Tribunal (EAT) in Pressure Coolers v. Molloy & others has clarified that where the purchaser of such a business dismisses employees that transfer under the Transfer of Undertakings (Protection of Employment) Regulations 2006 (TUPE) after the transfer then the purchaser itself, not the Government, is responsible for paying their basic unfair dismissal award and notice pay.
9 June 2011
After the abolition of the default retirement age, is it ever possible to retire an employee?
The default retirement age of 65 was effectively abolished on 6 April 2011. Employers, and many employment law practitioners, appear to be resigned to a future without compulsory retirement for older employees.
27 May 2011
Sex and the City – the risks of workplace affairs
A recent survey has been reported as saying that 72% of those bankers surveyed have had at least one affair and that 87% of affairs are with a work colleague. (Click here for article). http://news.hereisthecity.com/2011/05/24/male-bankers-affairs-some-interesting-facts/) Of course, it is hard to get reliable answers to questions about this sort of thing but this does suggest that the recent revelation of an alleged affair between Sir Fred Goodwin with “a senior colleague” whose identity is still protected by super-injunction is not an isolated incident.
25 May 2011
Riding two horses at one and the same time - the government's employment agenda rolls on
On the one hand the Government says it is looking to cut down on “red tape” for employers so as to encourage them to recruit. On the other, they say they are looking to drive “cultural change” by increasing the ability of employees to seek flexibility and/or alternative leave entitlements at work.