Totaljobs.com > Careers advice > Money and legal

Resignation letter: Sample templates and guide

Thu, 09 May 2013 09:45:16 +0100

Everyone has different reasons for leaving their job, so it can be difficult to write a resignation letter that reflects your situation. If that wasn’t enough pressure, there’s the knowledge that getting it wrong could lose you a reference and potentially good contacts.

That’s why we’ve done all the hard work for you, and created resignation templates to help take the stress out of leaving your job.

Regular resignation template

Use this template if:

You can work your full notice period
You’re willing to help out with the transition (e.g. finishing on-going projects, helping train new staff)
You want to part on good terms with your employer

This is of the most common types of resignation letter that employers will see. If you can work your full notice, this is the template you need to hand in.

This template tells your employer that you’re leaving, when you’re leaving and politely thanks the company for their time. It’s polite, to the point and shows the company you still appreciate them, just you’re ready to move on.

Download the template now

Short notice resignation template

Use this template if:

You want to leave for personal reasons (illness, family etc)
You need to start a new job immediately
You want to leave earlier than your contract allows

You won’t always be able to work your contracted notice period, especially if you’re expected to give several months’ notice before leaving. In this instance, you need to ask the employer for permission to leave early in your resignation letter.

Download the template now

A guide to bonuses

Tue, 26 Mar 2013 14:17:57 Z

If you're after more money from your employer it's always difficult knowing how to approach it, no matter what your circumstances are.

So we've compiled a handy guide to bonuses to make things a little easier for you.

Is my employer awarding bonuses fairly?

Even with a discretionary bonus, your employer can’t give bonuses in an irrational or unreasonable way. Many bonus schemes specify performance criteria. Some also specify who will judge performance against those criteria.

Your employer should ensure that decisions are made by the right people, and that their decisions are transparent, consistent and objectively justifiable. There should also be no conflict of interest, e.g. where decision-makers receive their bonuses from the same pool.

My colleagues have all had a bonus – does this mean I should?

If your employer regularly awards bonuses, there will be rules that govern the manner and method of payment. These rules might be recorded in writing, agreed orally, or have arisen through custom and practice.

If your performance has been similar to your colleagues over the year and they have been paid bonuses, you are entitled to a similar bonus level. If you think your employer might be trying to encourage you to leave by not paying your bonus, you could potentially claim constructive dismissal.

Can my employer withhold my bonus?

If your employer wants to withdraw from or amend a current bonus scheme, they should do this at the end of the bonus year, with the new criteria applying to future entitlement.

I’ve lost my job – but should I still get my bonus?

If you’ve been made redundant shortly before your bonus was due, you may still have the right to this payment. There are many different types of bonus schemes, some related to commission (based on specific contractual formulae) and others to performance (normally discretionary).

If your bonus is contractual, it should still be paid (pro rata if appropriate), regardless of when you were dismissed. If the bonus is discretionary, the position is more difficult. But if your employer has by custom and practice paid bonuses to employees who have left before the year-end bonus date, you should be paid.

Should I get any bonuses I would have earned during my notice period?

If your employment contract specifies payment in lieu of notice (PILON), you probably aren’t entitled to any bonus or commission you would have earned during your notice period.

If your contract doesn’t specify PILON arrangements and your salary includes a large commission or bonus element, you may be entitled to work out your notice period so you can earn this. Contracts of employment contain an implied term preventing employers from avoiding contractual obligations (including bonuses) by terminating employment early.

What to do if you have a problem

If you think you’re entitled to a bonus or that your performance-related pay is too low, you should first discuss it with your employer. If you have an employee representative, such as a trade union official, they may be able to help.

The information on these pages is provided for your information and reference only. Before making any important decisions regarding your employment or any legal matter, you should consult a qualified professional adviser who can provide specific advice based on your individual position.

Paternity rights and the workplace

Tue, 26 Mar 2013 12:31:33 Z

Just like mums, new fathers are also entitled to time off work.

Employers are legally required to offer paternity leave (either paid or unpaid) so you can look after your child upon their arrival and make any necessary childcare arrangements. So what are your rights when it comes to paternity leave? We explain everything you need to know.

Who qualifies for paternity leave?

You’re entitled to paternity leave if you’re the biological father of the child, the mother’s husband or partner, or the child’s adopter or partner of the adopter.

You must be an employee of a company for at least 26 weeks by the end of the 15th week before your baby is due (or the end of the week when you’re notified that you’ve successfully adopted).

It’s vital to notify your employer in writing about your incoming bundle of joy. In your written notice, give your boss important details including when the child is expected to arrive, how much paternity leave you want and when you want it to start (although no medical evidence is needed).

If you can’t give the required 15 week notice period (e.g. born prematurely, not enough notice from adoption agency), it’s important to tell your employer as soon as possible, and if there’s no valid reason you could lose some of what you’re normally entitled to.

We know you’re probably rather pre-occupied preparing for your new addition, so the stress-free way of doing this is by filling out a self certificate, as it contains all the information your employer will need to sort out your leave.

It’s important to know you can still take paternity leave if the child is stillborn after 24 weeks of pregnancy or is born alive at any point of the pregnancy.

The basics…

Sadly, most companies can’t offer you months of paid leave, so whether your partner has just given birth or you’ve recently adopted a child, your statutory paid paternity leave can last one or two weeks.

This applies no matter how many children you have. So even if it’s triplets, you’re only allowed one statutory paternity leave which must be taken in a single period of time (you aren’t allowed to spread out 14 days of leave over several months).

Paternity leave isn’t part of your annual holiday allowance, and you’re also entitled to parental leave should you need it.

How much is statutory paternity pay?

The amount you’ll receive in paternity pay will depend on your earnings.

If you earn over £107 a week (before tax), you’ll be given £135.45 per week. If this is less than you normally earn, you’ll receive 90% of your average weekly earnings instead.

And the good news is it’s not a hassle to organise, as your paternity pay will arrive into your account in the same way (and at the same time) as your normal salary. Because it’s treated as part of your wages, your employer will also deduct any tax and national insurance contributions, so every penny you see is yours to spend.

If you’ve got more than one job, you may be able to get paternity pay from each employer that you work for, although always check your contract, and if in doubt, arrange a meeting with your boss.

When can I start paternity leave?

You can start your paternity:

From the day the baby is born
A number of days or weeks after the baby is born, specified by you
A number of days, specified by you, following the first day of the week your baby is expected

You can change the date of your paternity leave, as long as you give at least 28 days notice.However, your leave must end within eight weeks of the child’s arrival (or eight weeks after the expected date of birth if the baby is born early).

You can also start paternity leave after a period of parental leave has ended.

Additional paternity leave

You can apply to have additional paternity leave if your partner is returning to work. Additional leave lasts up to 26 weeks and can be taken between 20 weeks and one year after your child is born or placed with you for adoption.

To get additional paternity leave you must be an employee of the company for 26 weeks, and both you and your partner will need to meet additional requirements.

What if there’s an issue with my paternity leave?

If there’s a problem, it’s important to talk to your employer first, not only could this be a simple misunderstanding, but by talking things through, your boss will also get a better understanding of your situation.

If talking doesn’t solve anything, you need to make a formal complaint using your employer’s grievance procedure, and contact the HM Revenue and Customs employees enquiry line on 0845 302 1479 for further advice.

Not everyone will qualify for additional paternity leave or pay, but don’t worry if you don’t as there are other options available to you.

As well as requesting more flexible hours and applying for child benefit and tax credits, you may be able to take further annual leave or unpaid parental leave.

Parental leave FAQs

Tue, 26 Mar 2013 12:14:31 Z

Parental leave is designed to give parents time to care for a young child or a child with a disability or to make arrangements for their welfare.

Who is entitled to parental leave?

Any parent who has completed one year's service with their current employer is entitled to 13 weeks' unpaid parental leave for each child born or adopted. It may be taken at any time up to the child's fifth birthday. Parents of disabled children can take 18 weeks' unpaid leave up to the child's 18th birthday.

For the purposes of parental leave, "parent" covers parents, carers with "parental responsibility" and fathers who are registered on the birth certificate. Unmarried fathers will have parental responsibility if it's been granted by the mother or a court. Adoptive parents will get parental responsibility as soon as a child is placed with them. It is also possible for same-sex partners to get parental responsibility through legal proceedings.

When can it start?

The leave can start once the child is born or placed for adoption with the employee, or as soon as the employee has completed a year's service.

How do I arrange time off?

A structure will probably exist in your organisation to cover these regulations. Either speak to HR or check your employment contract for specific details.

Will taking parental leave affect my current job?

Employees remain employed while on parental leave and some terms of their contract, such as contractual notice and redundancy terms, still apply.

At the end of parental leave, employees have the right to return to the same job as before or, if that is not practicable, a similar job which has the same or better status as the old job. If the leave is taken for a period of four weeks or less, the employee is entitled to return to the same job.

Can I take my parental leave all at once?

Guidance from the Department for Business Innovation & Skills states that employees can take parental leave in short or long blocks. In practice, this will depend on the discretion of the employer.

Can I use parental leave for emergencies, for instance, if my child is sick?

It depends on the agreement you have with your employer. You will usually require a certain notice period to take your leave.

My employer isn't keen on me taking parental leave. Who can help?

Employees are protected from dismissal or detrimental treatment for taking (or seeking to take) parental leave. If your employer prevents you from taking parental leave, you can complain to an Employment Tribunal, but make sure you have taken specific legal advice.

What if I need time off for my older children in an emergency?

All employees have the right to take a reasonable period off work to deal with an emergency problem involving a dependent such as a child, partner or parent. There is no set time allowed for this, although your employee handbook may state some guidelines.

Where does paternity leave fit in?

Paternity leave will not disappear and the rules remain in force. But, in practice, requests for paternity leave are diminishing as parental leave regulations expand.

Working hours

Thu, 31 Jan 2013 09:38:36 Z

In 1998, the Working Time Regulations came into force and with them the right to some basic entitlements such as time off and holiday pay.

But the regulations are complicated. They do not necessarily apply to everyone and can be opted out of and varied by contractual agreements. Here are a few frequently asked questions to help clarify the situation.

How long is the working week?

The average working week should not exceed 48 hours, but this is an average, not a limit on each week. Employees have the right to a 20-minute break in a six-hour working day, a rest period of 11 hours in every 24 hours, the right to a day off each week and four weeks’ paid leave (pro rata for part-timers).

What counts as working time?

Working time amounts to time spent at your workplace carrying out your working duties under the direction of your employer as well as any workplace training, time spent travelling to visit clients and working lunches. It does not include travelling to and from work, time when you are on call but not working, training at college, or time taken to travel to an occasional meeting away from your normal workplace.

Is everyone covered?

No. Some groups of workers are exempt from the Working Time Regulations. For example, if you are self-employed, running your own business or are free to work for different clients and customers, the regulations don’t apply to you.

Certain workers are not subject to the regulations, because they are covered by sector-specific provisions. These include workers in certain transport areas, such as at sea and in the air (for example, flight crew and cabin crew, but not workers employed in general aviation). Meanwhile, other employees – such as mobile workers in road transport – are covered by only certain provisions of these regulations. Workers in the Armed Forces, the police and emergency services are also outside the scope of the regulations in certain circumstances.

I mainly work nights. Are my rights affected?

The regulations covering night workers are slightly different. Your normal hours of work should be limited to eight hours in 24 on average. If your work is especially hazardous, heavy, or involves physical or mental strain, your daily working time should not exceed eight hours at all. Your employer must also provide free health assessments. If you are found to be suffering from health and safety problems relating to the performance of night work, your employer must transfer you to suitable day work.

What if I want to work longer hours?

You can waive your rights if you wish, but you must do so in writing. The opt-out can be for a defined period of time or indefinitely. Your employer must give you the opportunity to opt back in if you wish to do so. Employers can agree with workers to exclude or modify all of the limits and entitlements, apart from the annual leave provisions. But your employment contract can restrict the times when annual leave is taken, the amount taken at any one time and the amount of notice required to take such leave.

If I refuse to opt out, can my employer sack me or withdraw benefits?

No. Dismissing you or withdrawing benefits – such as denying you promotion or pay rise – would be illegal.

Unfair dismissal

Thu, 31 Jan 2013 09:38:36 Z

Losing your job can be a time when emotions run high and judgment is clouded. Our guide to unfair dismissal should help you decide whether your employer's reasons for letting you go were legally sound.

What constitutes a dismissal?

An employee is dismissed when the employer terminates his or her contract of employment, unlike a resignation where the employee terminates the contract. Confusingly, the expiry of a fixed-term contract is also often referred to as a dismissal.

What constitutes an unfair dismissal?

The dismissal is unfair if you weren't fired for a fair reason and/or you weren't fired using the correct procedures. If you are dismissed for exercising your legal rights, it will automatically be classed as unfair dismissal.

It's helpful to know that a tribunal is likely to find the following reasons justifiable:

Incapability - in terms of qualifications, competence or health (excluding disability)
Serious or repeated misconduct - theft, intoxication, leaking confidential information, regular absence, etc.
Redundancy - provided the method for selection was fair.

Can an employee ask for the reasons for dismissal?

Yes, after one years' continuous service, the Employment Rights Act 1996 gives you the right to ask your employer to provide a written statement of the reasons for dismissal within 14 days. If you don't get a statement, or you believe the statement to be inaccurate, seek legal advice.

Is retirement a valid reason for dismissal?

The Employment Equality (Age) Regulations 2006 state that forcing someone to retire below the age of 65 is unfair. But retirement at 65 and older may be fair, provided the right procedures are followed. See the Department for Business Skill & Innovation website for details.

What is constructive dismissal?

A constructive dismissal is where an employee resigns because their employer has acted so as to make continued employment impossible. For example, a detrimental change in the contract of employment or a refusal to improve intolerable working conditions.

When can a disciplinary procedure be incorrect?

A tribunal will look at whether the employer had a proper disciplinary procedure, and whether it was followed. Written warnings aren't obligatory in every situation; in cases of serious misconduct, immediate dismissal can be perfectly fair, for example. If the allegations are not investigated thoroughly, or if you're not given the chance to tell your side of the story, your claim is more likely to be successful.

Can anyone bring a claim of unfair dismissal?

No. To begin legal proceedings, you must:

have a proper contract of employment. If you are a casual or temporary worker, you may not have any protection
have been employed by your organisation for one year without any breaks
be under 65
work in the UK.

Can I claim at any time?

No, you have three months from the date on which you were notified of the dismissal.

Can my union help if I am unfairly dismissed?

Your union representative is there to provide help and support. It may bring in an officer at national level to help you in a case of unfair dismissal. Trade unions can provide expert information, advising you, for example, on the likelihood of success should you wish to take your case to an employment tribunal.

Your rights to sick pay

Thu, 31 Jan 2013 09:38:36 Z

Nobody likes to think of having to take any long-term time off work due to illness. But it’s important to understand what support the law or your company will provide should it happen to you.

Laws designed to improve the rights of people with disabilities are also affecting the way employers deal with staff who have to take long periods off work when they are sick.

What is Statutory Sick Pay?

Statutory Sick Pay (SSP) is the minimum amount employers must pay an employee who is off for four days in a row or more. Contracts of employment often give rights that exceed this sum (known as contractual sick pay).

How much will I get?

The standard rate for SSP is currently £79.15 a week. Your employer will work out a daily rate of SSP if necessary by dividing the weekly rate by the number of days you’d normally work in that week.

For information on the latest regulations and rates, visit the Department for Work and Pensions website.

How long do I have to be off work before I get SSP?

You will qualify for SSP if you have been off work sick for four or more calendar days in a row, including weekends and Bank holidays. This is known as a Period of Incapacity for Work (PIW).

After the qualifying days, SSP is payable for up to 28 weeks. Within the 28-week period, an employer can stop sick pay if you return to work, resign from your job or start maternity leave. Qualifying days should be stipulated in your employment contract.

Can my employer make rules about sick pay entitlement?

If you're receiving SSP there are certain steps an employer is not allowed to take. They can't insist you phone in by a certain time of day and a medical certificate can't be requested until the eighth day of illness, for instance. The employer can, however, attach such rules to contractual sick pay.

Can the employer refuse to pay?

If you do not tell your employer immediately that you are off sick, you could lose some, or all, of your sick pay unless you have a good reason.

What happens if this sickness affects my long-term health?

The Disability Discrimination Act (DDA) 1995 has improved the legal rights of anyone who can't work due to long-term illness with it's definition of disability covering "a physical or mental impairment which has a substantial and long-term adverse effect on a person's ability to carry out normal day-to-day activities". For more guidance on how the Act affects you, visit the Equality and Human Rights Commission website.

Am I entitled to see my sickness absence records?

Yes. Employers have always been required to keep records on sickness absence, but new legislation means you now have the right to see them. The Data Protection Act 1998 requires a company notifies the Data Protection Commissioner if it is processing personal data. This applies to employees' personnel files, recruitment, health, attendance and disciplinary records and any other files compiled manually by management with or without authorisation.

How can my employer help to keep me healthy?

Health and safety regulations require employers to provide health surveillance as appropriate, such as checks from an occupational health nurse for those working with chemicals.

For exposure to other health risks, such as work-related upper limb disorders, there is no such requirement, although employers should arrange a working environment analysis for anyone at a permanent workstation. Some employers will also have benefits packages which include free services such as eye tests or physiotherapy treatments.

Handing in your notice

Thu, 31 Jan 2013 09:38:34 Z

Whether you're thinking of leaving your current job or the boss has told you it's time to go, you need to understand your legal rights when it comes to the notice period.

How much notice must I legally give?

If you've been employed for one month or more, the minimum notice period required by law is one week. However, it's likely your employment contract will include notice in it's terms, so check whether you should be giving longer.

If your contract doesn’t state a notice period you should still be giving reasonable notice and this will depend on your seniority and how long you’ve worked there.

How much notice should my employer give me?

Your employer must give you at least the statutory minimum period of notice. This period depends on how long you've worked there:

Continuously employed for between one month and two years: one week
Continuously employed for 2+ years: one week for each complete year (up to 12 weeks)

If you’re not an employee (e.g. a freelancer or contractor), or if you’re employed in a specific job (e.g. some civil servants or members of the armed forces), you might not be entitled to a minimum notice period.

Your employer can dismiss you without notice (summary dismissal) if you've committed gross misconduct. If your employer's behaviour is so unreasonable you're forced to leave then you can do so without giving notice (constructive dismissal).

Do I have a right to be paid if I leave without notice?

No. If you don’t give the right notice, you are in breach of your employment contract. If you want to change your notice period you should discuss this with your employer in advance.

Am I entitled to normal pay during my notice period?

Yes, you’re normally entitled to your contractual pay and benefits during your notice period.

What is payment in lieu of notice (PILON)?

PILON is money paid to you as an alternative to working your full notice period. It might be set out as an option in your contract, or used to cover potential damages for breach of contract.

If PILON is included in your contract, the amount should be stated. It should normally cover what you would have earned during your notice period: basic pay and commission, bonuses or compensation for loss of benefits (e.g. personal use of a company car or medical insurance).

What is gardening leave?

Your employer might ask you take gardening leave when you resign which means you'll have to stay away from work during your notice period. Gardening leave is normally used to prevent an employee taking sensitive information about the company to a new job with a competitor. You still have contractual duties (e.g. confidentiality) until the end of your notice, and you can be brought back to work if needed. You’re entitled to your normal pay and any company benefits.

Job reference advice

Thu, 31 Jan 2013 09:38:34 Z

In almost all cases, an employer will ask you to give them the names and contact details of people who can give you references. This is usually to check that you have worked where you said you did and you really are a good employee.

However, many people don’t know where they stand legally when it comes to references. We’re here to help…

I haven’t resigned yet – do I have to give them my reference details?

If you’re looking for a new job then chances are you don’t want your boss to find out until after you hand in your resignation.

Luckily, most employers understand this and don’t ask for references until after they offer you the job. This is called a conditional job offer and they CAN change their mind if they then get a bad reference for you.

Conditional job offer – can you lose a job because of a bad reference

Does my old boss/company have to give me a reference?

In a word, no. Your former employer is under NO legal obligation to give you a reference. Also, if they DO decide to give you a reference then there’s no rule about how long or detailed it has to be.

What if my employer refuses to give a reference?

If an employer refuses to give you a reference then it may ring warning bells in the ears of your new boss. However, some companies are increasingly refusing to give references because they’re worried about legal action.

Usually you will need to provide 1-2 work references and a personal reference – so choose that person carefully! If the company is satisfied by the majority of your references then they may not argue about one being refused.

Personal references - how they can help

Can my employer give me a bad reference?

Yes and no. Many people mistakenly believe that your boss can’t give you a bad reference by law, but that’s not entirely true…

References just have to be accurate and truthful so if you were disciplined at your last job then they could include that on your reference. However, many employers are scared to give bad references because anything considered to be not 100% accurate could be grounds for legal action. If you find out that you have been unfairly given a bad reference then you could possibly sue.

What can I do if my old employer provides a bad reference?

If you believe your past employer's reference unfairly harmed your future work prospects you may be able to sue for ‘negligent misstatement’. To do so, you must show that:

- The information in the reference is misleading
- Providing this misleading information has had a negative effect on your future employment
- Your employer was negligent in providing a reference.

Alternatively, if you think there is an element of discrimination involved, you can bring your former employer to an employment tribunal.

Discrimination guide

How do I make sure my reference will be good?

You can’t 100% be sure but if you have a positive relationship with your company or boss and are leaving on good terms then you can ask them to make sure. They don’t have to legally tell you but they can choose to if they want to put your mind at rest.

What if this is my first job?

If you don’t have a previous employer then provide two personal references instead. You could also include your teacher or a lecturer at uni who can vouch for your school work.

Personal references examples

Equal pay

Thu, 31 Jan 2013 09:38:34 Z

Women working full-time earn on average 17% less than men working full-time. And for ethnic minority women, the gap is still wider - a gaping 20% disparity.*

The Equal Pay Act does however, go some way in maintaining equality. Here are the facts to help you get a fair deal.

What does equal pay really mean?

The Equal Pay Act says that men and women have the same rights to equal treatment for work of a broadly similar nature; or work rated as equal value under a job evaluation scheme.

What's the going rate for the job?

Before applying for a job, conduct some research into how much the role is worth so that you are in a strong position to negotiate your salary at an interview . If the pay isn't made clear in the job advertisement, the role will probably carry an existing salary range, taking into account the role's market value and its geographical location.

What happens if I accept a job and find I'm being paid less than equivalent colleagues?

You can bring an equal pay claim by lodging a case at an employment tribunal if you suspect you are being paid less because of your ethnic origins or gender . You must identify a person, the "comparator", who is doing equal work in the same employment and who is earning a higher salary than you. "Pay" in this context means not just your basic salary, but also contractual terms and conditions such as pension, sick pay, holiday pay, performance pay and overtime .

Although the employer can try to defend a claim by arguing that the reason for the difference in pay is based on something other than gender or ethnic origin, such as market forces, discrimination legislation now makes it easier to bring successful pay claims in the case of sex discrimination. The employer must prove that a pay regime is not discriminatory, rather than request that the employee prove that it is.

What about the national minimum wage?

The national minimum wage was introduced by the government in 1999 to ensure the minimum amount of pay entitlement. There are different rates according to age (16-17 years old; 18-21 years old and one for workers aged 22 and older). Check what the current minimum wage is at HM Revenue & Customs.

Useful links:

Acas
Citizens Advice Bureau
Directgov
Equality and Human Rights Commission
The Fawcett Society

The information on these pages is provided for your information and reference only. Before making any important decisions regarding your employment or any legal matter, you should consult a qualified professional adviser who can provide specific advice based on your individual position.

Employment contracts

Thu, 31 Jan 2013 09:38:33 Z

An employment contract is an agreement between you and your employer that sets out your employment rights, responsibilities and duties (called particulars or terms).

The terms of your contract can be both written and verbal and by starting work, you accept them. You and your employer are bound to the contract until it ends (usually by giving notice ) or the terms are changed.

What is a written statement?

In most cases you’re legally entitled to a written statement of your main employment terms. Your employer must give you this within two months of starting work, even if you’re employed for less than two months.

What are the terms of my contract?

Your contract or employment terms are your main employment rights, responsibilities and duties. If either side breaks a term of the contract, the other can sue for breach of contract. Terms can be:

Verbally agreed
In a written contract or written statement
In an employee handbook or on a company notice board
In your offer letter
Required by law
Collective agreements (agreements negotiated by your trade union or association)
Implied terms
If there are any terms in your contract you don’t understand, ask your employer or HR to explain them.

What are implied terms?

Implied terms won't appear in writing but they're still very much a part of your contract. They can be established through custom and practice or they might be necessary or obvious; take the implied "duty of mutual trust and confidence" which means you and your employer expect each other to be honest and respectful.

Can a contract be altered?

Either you or your employer can change your contract: your employer might wish to change working hours, while you might want better pay. Neither of you can normally do so without mutual agreement, either directly between you and your employer or by collective agreement (negotiated between your employer and trade union or association).

If a collective agreement makes a change to employment contracts, this will apply to you even if you’re not a member of the union or association.

Do changes have to be in writing?

Agreed changes don't necessarily have to be in writing. However, if the terms in your written statement alter, your employer must give you an updated statement within a month of the change.

What can I do if I have a problem?

If you have a problem you should first discuss it with your line manager. Should your line manager be unhelpful, go to HR who can escalate the matter. If you have an employee representative, such as a trade union official, they may be able to help too. For further help contact Acas or the Citizens Advice Bureau.

Useful links:

Acas
Citizens Advice Bureau
Directgov

The information on these pages is provided for your information and reference only. Before making any important decisions regarding your employment or any legal matter, you should consult a qualified professional adviser who can provide specific advice based on your individual position.

Diversity links

Thu, 31 Jan 2013 09:38:33 Z

If you'd like to know more about diversity and inclusion of any kind, or you need advice on a specific issue, our useful links can point you in the right direction.

What do you need advice on?

General
Age
Carers
Disability
Employment
Gender
Parents
Race
Social

General

Equality and Human Rights Commission
The Commission for Racial Equality works in partnership with individuals and organisations for a fair and just society which values diversity and gives everyone an equal chance to work, learn and live free from discrimination, prejudice and racism.

Equality and Diversity Forum
Draws together a wide range of information about all aspects of equality and human rights, to provide its users with the information and expertise they need to tackle discrimination.

Age

Help the Aged
With passion, intelligence and ingenuity, Help the Aged is committed to addressing the issues that matter to older people.

Age Positive
Age Positive is the Department for Work and Pensions' initiative working with business to remove age discrimination in employment. Age Positive encourages employers to adopt good practice that offers flexible working patterns and flexible retirement to older workers, and to remove compulsory retirement ages.

Employers Forum on Age
The Employers Forum on Age (EFA) is an independent network of leading employers who recognise the business value of attracting and retaining experienced employees - regardless of their age. Through regular reports, studies and research it constantly highlights and increases knowledge and understanding about the issue of age discrimination at work.

Carers

Carers.org
The Princess Royal Trust for Carers is a national charity and exists to make it easier for carers to cope by providing information, support and practical help to carers.

Disability

Leonard Cheshire Disability
LCD is the UK's largest voluntary sector provider of support to disabled people. Leonard Cheshire's main project to support disabled people getting into work is Workability. This training scheme, backed by Microsoft, aims to equip disabled people with the skills to assist them in the search for jobs by providing free internet-linked, computer equipment and training.

Disability Rights Commission
The Disability Rights Commission (DRC) is an independent body established in April 2000 by Act of Parliament to stop discrimination and promote equality of opportunity for disabled people.

RADAR
RADAR is a national network of disability organisations and disabled people. The charity represents members by fast-tracking opinions and concerns to policy-makers and legislators in Westminster and Whitehall, and launching campaigns to promote equality for all disabled people.

Royal National Institute of Blind People
Royal National Institute of Blind People (RNIB) is the UK's leading charity offering information, support and advice to over two million people with sight loss.

The British Deaf Association

The BDA is the largest UK Deaf organisation run by deaf people for deaf people. The BDA campaign for sign language users to have the same rights, responsibilities, opportunities and quality of life as everyone else.

Employment

Acas
Acas (Advisory, Conciliation and Arbitration Service) work to improve organisations and working life through better employment relations.

Lesbian, bi-sexual and gay

Stonewall
Stonewall works with major employers through their Diversity Champions programme. They raise awareness of new employment laws to ensure gay people are given equal rights within the workplace.

Gender

The Gender Trust
The Gender Trust provide support to Transsexual, Gender Dysphoric, Transgender individuals
The Government Equalities Office

Government Equalities Office
GEO has responsibility within government for equality strategy and legislation. The Department lead on issues relating to women, sexual orientation and transgender equality matters.

The Equal Opportunities Commission
The Equal Opportunities Commission is the leading agency working to eliminate sex discrimination in Britain.

Parents

Gingerbread
Gingerbread was started in 1970 and is a registered charity maintained by lone parents. At this site you will find valuable information about support for lone parent families.

The Daycare Trust
Daycare Trust is a national childcare charity that promotes high quality, affordable childcare for all.

Maternity Alliance
Maternity Alliance works to improve rights and services for pregnant women, new parents and their families.

Race

The British Council
Britain's international cultural relations body creates opportunities for people to understand each other better and work together more

Social

Homeless Link
Homeless Link is the national membership organisation for frontline homelessness agencies. The charity is committed to increasing justice, opportunity and choice for all homeless people and for those at risk of homelessness.

Nacro
Getting people into work is one of the best ways to tackle poverty and disadvantage and plays a vital part in reducing crime. But often people who have difficulty finding work have other problems too such as housing difficulties, a criminal record and poor literacy and numeracy. Nacro specialises in providing services for people who need extra support to find and hold down a job.

Disability rights

Thu, 31 Jan 2013 09:38:33 Z

The Disability Discrimination Act (DDA) 1995 protects disabled people during the recruitment process and throughout their employment.

The Act covers the terms and conditions of employment, disciplinary proceedings, dismissal procedures, protection from harassment, training and promotion prospects.

What is the definition of a disability?

A disability is defined as a long-term physical or mental impairment that affects a person's ability to carry out normal day to day activities. Dyslexia, asthma and clinical depression all come within this definition.

Do I have to tell my employer I have a disability?

You’re under no obligation to tell your employer. But as the Equality and Human Rights Commission (EHRC) points out, there is no duty on employers to make reasonable adjustments unless they know an employee is disabled and will require extra support at work as a result.

Can an employer ask about a disability on a job application form?

Employers are within their rights to ask about your disability, but they must not use the information to discriminate against you.

As a disabled jobseeker, what can I expect from an employer?

You should not be treated less favourably because of your disability. If a job offer is made, the employer must make "reasonable adjustments" to the workplace or to the employee's working practices as necessary. What is "reasonable" will vary depending on the cost and ease of change, the employer's resources and the financial help available.

These adjustments can include altering the business premises, reorganising someone's working hours, or even assigning a disabled person to a different place of work. An employer's failure to take necessary action would be classed as discrimination.

What do I do if I think I have been a victim of discrimination in the workplace?

The law places the onus on employers to disprove discrimination, rather than on the employee or jobseeker to prove it.

If you think you have been discriminated against, you can bring a discrimination claim to an employment tribunal. The success rate is around 17% or lower for claims alleging discrimination in recruitment.

Are any jobs exempt from the DDA?

Jobs in the Armed Forces are not covered by DDA legislation.

Useful links:

Citizens Advice Bureau
Equality and Human Rights Commission

How to handle bullying in the workplace

Thu, 31 Jan 2013 09:38:33 Z

With 14% of us claiming to have been bullied in our current job*, it's clearly not just a playground phenomenon.

But bullying is difficult to spot and open to misinterpretation, making this area a tricky one to navigate. If you or a colleague are unlucky enough to become a victim of bullying we hope this advice will help.

What is classed as 'bullying'?

According to the Advisory, Conciliation and Arbitration Service (Acas), bullying may be characterised as "offensive, intimidating, malicious or insulting behaviour, an abuse or misuse of power through means intended to undermine, humiliate, denigrate or injure the recipient".

It can be carried out by individuals or a group. So, if you feel you are repeatedly singled out for unfair treatment, it's likely you're a victim of bullying. Here are a few examples of behaviour which could be classified as bullying:

Constant critiscism despite good performance
Having responsibilities removed or being given trivial tasks to do
Shouting at staff
Persistently picking on people in front of others or in private
Blocking promotion
Regularly and deliberately ignoring or excluding individuals from work activities
Setting a person up to fail by overloading them with work or setting impossible deadlines
Consistently attacking a member of staff in terms of their professional or personal standing
Regularly making the same person the butt of jokes

How do I know the difference between a bully and a tough manager?

Workplace psychologists and training organisations suggest that a manager is a motivator who encourages team members to improve. "Tough but fair" is the usual description, but a bully will enforce targets or ideas without discussion or explanation. A manager supports colleagues, but a bully ridicules them.

If I think I'm being bullied what should I do?

First, find out what your employer's policy on bullying is - most company's have a zero-tolerance policy these days. Then, if you don't want to challenge the bully directly, speak to your line manager or HR department.

Anti-bullying charity, the Andrea Adams Trust, suggests keeping a detailed record of every verbal or physical attack too. This will act as vital evidence should your case be taken to an employment tribunal.

Is there legislation to prohibit bullying?

The Protection from Harassment Act 1997 provides civil and criminal law protection from harassment (which includes bullying) in the workplace.

A victim can also bring a claim under the laws protecting employees from discrimination on the grounds of their sex, race, disability, age, religion or sexual orientation.

A guide to age discrimination laws

Thu, 31 Jan 2013 09:38:32 Z

New age discrimination regulations came into force in October 2006.

Essentially, the new rules will prevent the use, without good cause, of age or age-related criteria in recruitment, promotion and training.

Why do we need it?

More than 50% of the UK labour market is now over the age of 40 with fewer younger workers in the pool to replace them. The new rules reflect this demographic shift, bringing in protection for those who want to work later into their lives. Until the 2006 regulations, rights for employees beyond retirement age (either by law or under a contract of employment) were seriously limited.

Who will be protected?

The legislation covers all employees, job applicants, contract workers, office holders, those who are on secondment and the self-employed. The regulations affect all areas and stages of employment – from the recruitment process to benefits and training at work.

What rights and protection were introduced?

Unfair dismissal and statutory redundancy rights for those beyond retirement age.

If an employer dismisses you or makes you redundant at this point, an employment tribunal can now step in if that dismissal is considered unfair or if you don’t receive your entitled redundancy pay.

The right to request to work beyond 65.

Employees must be told they have a right to request to work for longer. The request must be made in writing at least four weeks before the proposed retirement date or within four weeks after it. An employer will need to show good cause to refuse.

A default retirement age of 65.

The good news is, if an employer decides retirement should be lower than the default they will need a very good reason for it. The bad news is, this rather controversial aspect of the Act allows employers to require retirement at 65 as long as the correct procedure is followed.

Six to 12 months notice of retirement.

If an employer fails to do so, the retirement could be deemed unfair dismissal.

Employment benefits, policies and training must not discriminate on the basis of age.

This includes indirect discrimination – selecting only part-time workers for redundancy when a large number of these may be older employees is one example. Recruiters will also have to be careful about the language they choose when advertising for roles: "Energetic individuals required for dynamic PR agency" or "mature team leader for new department" are out.

How can I spot age discrimination?

Likely scenarios include:

Being bypassed for promotion
Unfair and unnecessary selection criteria
Not being shortlisted for interview
Being refused a post or apprenticeship
Inappropriate treatment at interview
Harassment on grounds of age
Victimisation for making a complaint

What do I do if I think I’ve suffered age discrimination?

If the discriminatory act occurs at work, try to resolve the issue with your line manager first. If you get no support then lodge an 'internal grievance'; your employer will have 28 days to discuss your complaint.

If you’ve already been dismissed, lodge a claim for unfair dismissal at an employment tribunal within 3 months.

What compensation will I receive?

If you are successful, compensation can be awarded for financial loss.

Useful links:

Citizens Advice Bureau

Retracting a resignation

Thu, 31 Jan 2013 09:38:32 Z

You’ve done it! You’ve quit! You have a new job, you’re taking a career break or you just couldn’t work in a job you didn’t like anymore. Woo hoo!

But hang on. Now you’ve changed your mind. Eek! Where do you stand legally? Can you cancel your resignation now?

Why the change of heart?

Sometimes, when a valued employee hands in their resignation, the company will try and negotiate with you to get you to stay. This could involve a promotion offer, the promise of more money or better benefits. If you then decide to stay on, you are in a great position! Congratulations!

However, if you have just changed your mind (the job offer you have has been cancelled, you don’t want to move on after all, you handed in your resignation in the heat of the moment) then asking to have it reversed can be embarrassing. The important thing, in this case, is to face up to the situation and ask you speak to your manager as soon as possible.

How do I retract my resignation?

The best thing to do if you’ve changed your mind is to draft a quick retraction letter. Something like:

Dear [manager’s name],

I am writing to cancel my previous resignation letter, dated [date on resignation letter].

[If you’ve been convinced to stay]
Following our conversation, I’m happy to accept the new terms of employment we discussed.

[If you’ve changed your mind]
Due to a change of circumstances, I would like to remain in my position as [job name] at [company name].

Yours sincerely
[Your name]
[Your signature]

Does my employer have to accept my retraction?

Unfortunately, an employer has no legal obligation to accept a cancellation of a resignation and they may feel that you aren’t committed enough to your job. They can, however, CHOOSE to accept it.

How should I explain myself?

The best policy is honesty at this point. Explain what happened and reassure them that you ARE dedicated to your job. Point out your skills and successes and show them how it would be easier and better for them to keep you on rather than looking for a new employee, which means they will have to train them up.

What if they don’t accept it?

If they refuse then you will be legally obliged to work your notice and then leave. Do a great job and show them there are no bad feelings; after all, you will need a good reference still.

And DON’T PANIC! If you’re facing unemployment there are lots of options open to you. See our unemployment advice.

IR35 explained

Thu, 31 Jan 2013 09:38:32 Z

If you're a contractor, you will no doubt have heard about IR35 – but whether you understand what it's all about is quite another matter!

This guide will help you get to grips with the legislation, but if it all gets a bit too technical you can always seek advice from regulated chartered accountants.

Background

IR35 became effective from 6 April 2000. The legislation was designed to deal with "disguised employees"; individuals the government believed were taking advantage of a corporate structure when they should have been taxed as any other employee.

The rules only apply to "relevant engagements" - where an individual provides services to a client through an intermediary (a limited company) and, but for the existence of the intermediary, the income would be treated as that of an employee if the individual had contracted directly with the client.

The intention of the legislation is that, apart from specified deductions, all money received by the intermediary in respect of relevant engagements should be treated as paid to the individual in a form subject to Schedule E income tax and class 1 national insurance. In effect, dividend payments and many business expenses are not allowed.

Effects

Where there is IR35 income and it exceeds the worker's salary (after certain expenses) the excess will be deemed to be salary subject to PAYE and NI in the tax year to 5 April. Failure to correctly account for PAYE and NI can result in significant penalties and interest.

The intermediary will be allowed to deduct certain expenses in respect of IR35 income specifically:

Expenses deductible as an employee
Company contributions to approved pension schemes
Employers NI
A flat rate of 5% of the gross income from relevant engagements

The crux of all this was that the vast majority of contractors caught by IR35 switched to using an umbrella company because the tax-benefits were of negligible difference while the costs and administration of operating their own limited companies were removed.

Recent changes in Employers National Insurance contributions rules will mean that many contractors should review this decision after taking advice from specialist contractor accountants.

Are you caught by IR35?

For each engagement, the question is whether the contract is in the nature of employment as far as the individual is concerned. Tests applied to determine whether an individual is employed or self-employed are used. The 3 main tests are:

Control

A worker will not be an employee unless there is a right to exercise control over the worker. This may be a right to control what work is done, where or when it is done, or, how it is done. Actual control is not paramount; it is the right of control that is important.

The right to get a substitute or helper to do the job

Personal service is an essential element of an employment contract. A person who has the freedom to choose whether to do the job himself or hire somebody else to do it for him, or provide substantial help, is probably self-employed.

Mutuality of obligation

Within a contract there are various mutual obligations - the obligation to perform and be paid for performing would form part of any contract - but the mutual obligations needed for a contract of employment to exist consist of more than this, there needs to be obligation to offer and an obligation to accept future work.

Other considerations would be...

Provision of equipment

A "self-employed" contractor generally provides whatever equipment is needed to do the job. The provision of significant equipment (and/or materials) which are fundamental to the engagement is of particular importance.

For example, where an IT consultant is engaged to undertake a specific piece of work and must work exclusively at home using their own computer equipment that will be a strong pointer to self-employment. But where a worker is provided with office space and computer equipment that points to employment.

The fact a worker might occasionally choose to do some work at home using his or her computer does not change this.

Financial risk

An individual who risks his own money by, for example, buying assets needed for the job and bearing their running costs and paying for overheads and large quantities of materials, is almost certainly self-employed.

Financial risk could also take the form of quoting a fixed price for a job, with the consequent risk of bearing the additional costs if the job overruns. However, this will not necessarily mean that the worker is self-employed unless there is a real risk of financial loss.

Basis of payment

Employees tend to be paid a fixed wage or salary by the week or month and often qualify for additional payments such as overtime, long-service bonuses or profit share. Independent contractors, on the other hand, tend to be paid a fixed sum for a particular job.

Opportunity to profit from sound management

A person whose profit or loss depends on his capacity to reduce overheads and organise his work effectively may well be self-employed. People who are paid by the job will often be in this position.

Part and parcel of the organisation

Establishing whether a person becomes "part and parcel" of a client's organisation can be a useful indicator in some situations. For example, someone taken on to manage a client's staff will normally be seen as part and parcel of the client's organisation and is likely to be an employee.

Right of dismissal

A right to terminate an engagement by giving notice of a specified length is a common feature of employment. It is less common in a contract for services, which usually ends only on completion of the task, or if the terms of the contract are breached.

Employee benefits

Employees are often entitled to sick pay, holiday pay, pensions, expenses and so on. However, the absence of those features does not necessarily mean that the worker is self-employed - especially in the case of short-term engagements where such payments would not normally feature.

Length of engagement

Long periods working for one engager may be typical of an employment but are not conclusive. It is still necessary to consider all the terms and conditions of each engagement. Regular working for the same engager may indicate that there is a single and continuing contract of employment.

Intention

It is the reality of the relationship that matters. It is not enough to call a person "self-employed" if all the terms and conditions of the engagement point towards employment. However, if other factors are neutral the intentions of the parties will then be the deciding factor in employment status.

The legal side

Given the list of factors mentioned above it is tempting to try to determine a person's employment status by adding up the number of factors pointing towards employment and comparing that result with the number pointing towards self-employment. However, the courts have specifically rejected that approach.

When the detailed facts have been established, the right approach is to stand back and look at the picture as a whole, to see if the overall effect is that of a person in business on his own account or a person working as an employee in somebody else's business. If the evidence is evenly balanced the intention of the parties may then decide the issue.

HM Revenue & Customs (HMRC) has looked at a number of standard agency contracts and has, as expected, suggested that such contracts fail IR35. HMRC will only consider whether specific contracts fail the test and will not give any clearance on standard contracts.

The conclusion of all of the above is that if you sign a standard agency contract you are likely to fail IR35. Even if you get a contract worded differently, HMRC will look at the facts behind the contract.

This article has been provided by chartered accountants planIT Services Limited who have specialised in the contracting market since 1996. If you have any questions or concerns regarding IR35 call 020 7251 8690 for a free no-obligation consultation.

How to claim jobseekers allowance

Thu, 31 Jan 2013 09:38:31 Z

If you’re between jobs and actively looking for work, you might be entitled to claim Jobseeker’s Allowance. But how do you know if you are eligible for it?

Read on to get the lowdown on the dos, the dont’s and the possibilites...

What is it?

Jobseeker’s Allowance (JSA) is paid to help unemployed people (mostly) who are out there looking for a job. If you’ve paid enough National Insurance Contributions you’ll be given a non-means-tested contribution-based JSA, while those of you who haven’t will be paid a means-tested income-based JSA.

Depending on your eligibility and age, you can expect to be paid the following:

Aged 16-24 - Up to £56.25 a month
Aged over 25 - Up to £71 a week
Couples and civil partnerships aged over 18 - Up to £111.45 a week
Single parents aged over 18 – Up to £71 a week
Single parents aged under 18 - Up to £56.25 a week

Still confused about how much you’ll receive? If you want to do a few quick calculations yourself, the benefits calculator is there to help.

Take note…

There are some important things you need to know about the two types of JSA.

With a contribution-based JSA:

It's important to know it could be reduced if you’ve got earnings from part-time work or an occupational or personal pension.

You can also only claim it for six months, although after this you may still be eligible for income-based JSA. You might get some income-based JSA if you’re on a low income and have a partner, a disability, or are caring for a person with a disability, or have housing costs such as a mortgage

What you need to know about an income-based JSA is:

To qualify for it, your partner (if you have one) must work less than 24 hours a week and you and your partner should have less than £16,000 in savings.

Any funds that you have, such as savings over £5,999, pensions and your household income can affect what you get.

Find your local job centre

Browse our list of locations and find your nearest job centre

Am I eligible?

This is the all important question you’re bound to be asking right now. To be eligible to claim JSA you need to be aged over 18, not claiming a pension, living in England, Scotland or Wales and – unsurprisingly - looking for a job.

The other important point is you need to be available to work straight away and definitely not working more than 16 hours a week.

Take note...

In special circumstances, 16-17 year olds may be eligible, so it might be worth discussing this at your local JobCentre Plus if this applies to you.

How do I claim?

So you’ve realised you’re eligible, so how do you claim? It’s actually fairly simple. There are two ways:

Make an application online
Telephone Jobcentre Plus on freephone 0800 055 6688

You’ll then have to attend an interview at your local Jobcentre Plus where you and your adviser will agree what steps you’ll take to find work. This might include improving your skills through training schemes, getting help in writing a CV, preparing for interviews and so on.

Once you’ve agreed a plan of action, the adviser will record it in a Jobseeker’s agreement and every fortnight you’ll both have a review meeting to check you’re being proactive in your jobsearch and doing all the things you said you would.

To speed the process up, you should take relevant documents along to your first meeting. These include your national insurance number and a driving licence or birth certificate. You’ll probably have to provide your partner's national insurance number too if they live with you, plus evidence of your income and savings, bank statements, pay slips and so on.

Take note…

If you and your partner intend to apply for income-based JSAs and at least one of you is aged over 18, you’ll need to make a joint claim.

The nitty gritty

Once you’ve been awarded a JSA, your payments will be backdated to when you applied and then paid fortnightly into your bank account or a Post Office card account.

Additional good news is, if you have a valid reason for having made a late application, it’s possible to get back payment for up to three months.

If you disagree with any decision made about your claim you can ask for a written statement of reasons. If necessary, there is an appeals process you can go through, but you’ll usually only get a month to dispute the decision, so seek advice and act quickly.

Take note...

Things are changing and from April 2013, there will be a cap on the amount of benefits those of you aged 16 to 64 can claim.

For this reason, you must tell your Jobcentre Plus adviser if your circumstances change – for instance, if you start working or your income changes. Volunteer work won’t affect anything, but you’ll still need to tell them as soon as possible.

Beware

To keep receiving JSA payments you have to keep looking for work and be available to take up a suitable job.
You could lose your payments for up to 13 weeks if you:

Miss an interview with your advisor
Fail to make an effort to improve your skills (e.g. not attending a training course when asked)
Fail to apply for or accept a place on an employment or training programme you’ve been told about - or leave voluntarily
Lose your place on an employment or training programme because of misconduct

Even worse, you could lose them for up to three years if you:

Don’t apply for a job that your adviser tells you about
Don’t accept a suitable job offer
Leave a job voluntarily, or lose your job because of misconduct
Don’t take part in a compulsory work-related programme

Last but not least - even if your payments are temporarily stopped, you still need to check in at your local Jobcentre Plus or attend any employment programme you’re on otherwise you could lose your benefit altogether.

Think you're entitled to Jobseeker's Allowance? Fill out an application form.

Not entitled to the allowance? Why not upload your CV to totaljobs and start applying for the latest jobs?

How to claim housing benefit

Thu, 31 Jan 2013 09:38:31 Z

You don’t have to be unemployed to claim housing benefit (help with your rent), you just need to earning less than a certain amount.

Housing benefit will help you to pay all or part of your rent and it can come in very handy if you’re unemployed and worried about keeping a roof over your head.

Can I apply?

You may be allowed housing benefit if:

You pay rent
You earn a low income or receive no income at all
You have savings of less than £16,000

You probably won’t get housing benefit if:

You live in the home of a relative
You are a full-time student
You’re an asylum seeker
You live with a partner who receives housing benefit
You’re single and under 25 living in anything other than a bedsit or 1 bedroom shared accomodation

How much will I get?

How much housing benefit you’ll get depends on who you rent from.

I’m renting from a private landlord

If you are a private tenant renting you’ll have to claim Local Housing Allowance. The exact amount you’ll be paid will depend on where you live and who lives with you.

The MAXIMUM amount you’ll get for rent is:

£250 a week for a one bedroom property (including shared accommodation)
£290 a week for a two bedroom property
£340 a week for a three bedroom property
£400 a week for a four bedroom property

I live in council accomodation

If you live in council accommodation or other social housing, the most Housing Benefit you can get is the same as your 'eligible' rent. This covers rent for your home and some services like lifts, play areas and shared spaces. It will NOT cover any bills.

Things to think about…

When applying for housing benefit, remember that the council will look at if your home is suitable for your needs. If you live in a house that is too large, you may be refused.

How it's paid

If you are a council tenant, your council will pay any housing benefit straight into your rent account.

If you're not a council tenant, your housing benefit will be paid directly to you or to your landlord – whatever you prefer.

How to apply

You need to contact your local council – you can find out what this is by looking at your council tax bill.

Don't forget your other benefits!

If you able to get housing benefit- or even if you're not - there are lots of other benefits you should look into as well...

Jobseekers allowance - to help pay for day-to-day living.

Council tax benefit - banish the council tax bills!

Child benefit - if you have kids, make sure you're getting child benefit.

Other unemployment benefits - our guide to everything you need to know if you're unemployed.

How to claim for council tax benefit

Thu, 31 Jan 2013 09:38:31 Z

Council tax benefit is usually applied for at the same time as housing benefit and it's used to pay your council tax bill.

How much you will save will depend on your own situation… We take a look in more detail with our easy-to-follow guide.

Can I claim?

You can claim council tax benefit if you pay council tax but you’re on a low income or no income at all and you have savings below £16,000. You may apply whether you rent or own your home, or if you live rent-free.

How much will I get?

To work out your Council Tax Benefit, your council will look at how much money you and your partner have coming in, including earnings, benefits and tax credits. They will also take into account savings. They look at lots of things when judging your case, including your age, family size, disabilities and whether anyone living with you can afford to help you.

The most Council Tax Benefit you can get is 100% of your annual bill.

If you live with a flatmate or similar then you will receive a ‘second adult rebate’…

Rebate for second adults on Income Support, income-based Jobseeker's Allowance or Pension Credit 25%
Second adult's weekly income less than £180 15%
Second adult's gross weekly income between £180 - £234 7.5%

How is it paid?

Council Tax Benefit isn’t paid to you directly, it’s instead automatically removed from your council tax bill.

How do I apply?

Council tax benefit is usually applied for at the same time as your housing benefit and you need to contact your local council to apply. You can find out this information by looking at your council tax bill.

Don't forget your other benefits!

If you able to get council tax benefit- or even if you're not - there are lots of other benefits you should look into as well...

Jobseekers allowance - to help pay for day-to-day living.

Housing benefit - Help with the rent

Child benefit - if you have kids, make sure you're getting child benefit.

Other unemployment benefits - our guide to everything you need to know if you're unemployed.

How to claim child benefit

Thu, 31 Jan 2013 09:38:31 Z

Child support is a tax-free benefit that you can claim if you have children – both employed and unemployed people can claim.

The payment is usually made monthly and it can be claimed by anyone who qualifies, whatever your income or savings. We explain…

Can I get child benefit?

You are eligible for child benefit if…

You're responsible for a child (you do not have to be their parent)
You don’t live with your child but you pay to look after them (if the people looking after them don’t claim benefits for the same child)
Your child is under 16 or under 20 and in an eligible form of education

How can I claim?

The only way to claim child benefit is to fill in a claim form. You can get the form from the Bounty Pack given to new mothers in hospital or you can fill it out online and print it off. Once you’ve filled out the form you need to post it to the Child Benefit Office with your child’s birth or adoption certificate.

When should I claim?

Straight away! You can only back-date child benefit by three months maximum so the sooner you apply after your child is born the better.

How much?

How much child benefit you get depends on how many children you have.

You’ll receive £20.30 a week in child benefit for your oldest child
You’ll receive £13.40 a week in child benefit for each of your other children

How is it paid?

Child benefit is usually paid directly into your bank, building society, or National Savings and Investments account and is usually paid every four weeks.

If you are on other benefits then it can be made weekly.

Don't forget your other benefits!

If you able to get child benefit - or even if you're not - there are lots of other benefits you should look into as well...

Jobseekers allowance - to help pay for day-to-day living.

Housing benefit - Help with the rent

Council tax benefit - Watch your council tax bill disappear!

Other unemployment benefits - our guide to everything you need to know if you're unemployed.

How the 2010 Budget affects workers

Thu, 31 Jan 2013 09:38:31 Z

While first-time buyers had cause to celebrate, cider drinkers found out their tipple of choice would now cost them more. But is the news good or bad for workers? Here’s an overview of the budget as it relates to employment and earnings.

Tax

50% tax rate on earnings over £150,000. The UK will now have the second most expensive tax regime for senior executives among G20 countries. This could drive the business elite abroad and will have an impact on where companies choose to locate their top executives.

Personal allowance (the amount you can earn before tax kicks-in) freeze. Usually the personal allowance increases in line with inflation which the Chancellor predicts will be 3% this year. But this year, the allowance has been frozen.

Personal allowance withdrawal. Another move that targets high earners; potentially the 650,000 people earning more than £100,000 a year could lose out.

Restriction on higher-rate tax relief on pension contributions. Higher-rate pension relief will be lowered to 20% for those earning £180,000 from April 2011. Anyone earning above £130,000 will have employer pension contributions added to their pay to give a total income. And those who earn more than £150,000 will lose 1% of their tax relief for every £1,000 they make.

1% National Insurance increase in 2011. This will affect employees earning £20,000 or more.

Public sector

Confirmation of public sector pay freeze and pension reform. Pensions are looking decidedly less generous and there’s a 1% cap on basic pay increases for 2011-12 and 2012-13. Top earners will have their pay frozen. In addition to this, one third of public sector workers will be relocated out of London. All of which translates to an estimated cost saving of £4 billion.

Unemployment

Jobs guarantee for young people extended to March 2012. This is the scheme entitling 18 - 24-year-olds to training or a job if they’ve been out of work for six months or more.

Retirement

Default retirement age rethink. The Chancellor has confirmed the government may either scrap or raise this in the summer.

Pensions - what's the alternative?

Thu, 31 Jan 2013 09:38:30 Z

The pension crisis in the UK keeps growing - in fact, a whopping 10 million of us aren’t saving enough. Pensions haven’t been increasing in line with our earnings and final-salary schemes are fast becoming a thing of the past.

With this in mind, what alternatives could provide more generously for you during your retirement?

1. Individual savings account (ISA)

ISAs are flexible tax-free schemes that don’t lock your savings away. You can withdraw your money in one or a number of lump sums. And you don’t pay income or capital gains tax on your interest.

You can take out a cash ISA with your bank or building society, or create an investment account to be invested in stocks and shares. And you can choose from mini and maxi ISAs, i.e. split your money between providers or have the maximum permitted amount with one.

But there’s a limit to the amount you can salt away into an ISA. Plus some accounts may have tiered rates of interest or a notice period for withdrawals. You should check these facts with your provider to make sure their ISA is right for you.

2. Property

Although the current economic climate has made some think twice about investing in property, you can still think of your mortgage repayments as a personal pension plan. This means you should plan to pay off your mortgage before you retire. If you have a large family home you could then sell and move to a smaller property, using the difference as your income.

3. Renting or letting

Alternatively you could move to a smaller house or flat when you retire, and rent out your own place for a monthly income. Or you could buy another property at any time purely to let – if you’re sure the rent you’ll collect will cover the new mortgage. If you live in a university town you should be able to rely on the student market – just don’t invest in fancy furniture!

In your calculations you should include your responsibility for all repairs and maintenance, as well as finding tenants and collecting their rent, unless you pay a management company to take care of it.

4. Stocks and shares

Again, recent upheavals have made us more wary of the stock market – which could be a good thing! But if you’ve already got some form of pension and still have some disposable cash, low-risk investments could be a way to top up your retirement income.

If you can’t afford to lose any of your money, don’t invest it. When you buy shares you’re buying a part of a company, so your profits will only grow if their business does. Dividends are usually paid out twice a year by larger companies but there are no guarantees. To make any investment worthwhile you’ll need £1,000 or more, but a good stockbroker can mean a good return on your money.

5. Other alternatives

If you’re the type of person who loves antiques or art you could consider these additional investments. However, it’s a much more risky option – markets can be fickle and there’s no guarantee you’ll even make back your money down the line. But if you know you’ll get enjoyment from your collection today, it doesn’t hurt to keep an eye on its market value over time.

The Equality Act 2010

Thu, 31 Jan 2013 09:38:30 Z

The Equality Act 2010 has been described as a tidying up exercise, one that consolidates various pieces of legislation and case law together under one banner.

However, it has also introduced some important changes that will affect jobseekers and employees.

Pay discrimination

While gender inequality has undoubtedly improved since the days of the female strikers of the 1960s, many people still believe there is a gender pay gap and there are new provisions that should held reduce this gap.

Under previous laws, a person who believed they were being paid less because of their sex had to find someone of the opposite sex employed in the same role in order to pursue a claim. Now, a claimant may be able to make a sex discrimination claim without doing so if they can find some evidence they would have received better remuneration if they were of the opposite sex. For example, if a woman starts in a new position and finds out the previous incumbent, a man, was paid substantially more, she may be able to bring a sex discrimination claim.

The Act also makes it easier for employees to work out if sex discrimination exists in their workplace by banning employers from taking action against staff who break pay secrecy clauses for the purposes of establishing whether there is discrimination. However, this doesn’t mean workers are free to shout their salaries from the rooftops – companies can still require staff to keep pay details confidential from those outside the workplace, for example, competitor organisations.

Ann Bevitt, an employment lawyer at Morrison Foerster, says the changes should simplify things. “I think the motivation behind these changes was that the legislation was very complicated. You can now have a direct sex discrimination pay claim based on hypothetical comparators. I think that if you take that change, together with the change that deals with contractual pay secrecy clauses, that is very helpful for employees who feel that there is some disparity in pay treatment.”

Health matters

One of the most significant changes for jobseekers is a new ban on employers asking applicants for information about their health at job interviews or in medical questionnaires. Prior to the job offer stage, employers can only ask about an applicant’s health under certain circumstances, for example to ask if they are able to perform a task essential to the position, to assist disabled applicants, or for diversity monitoring purposes.

Tanvi Vyas, a 27-year-old project officer for the Muscular Dystrophy Campaign who suffers from a neuromuscular condition, says the changes are definitely good news for disabled jobseekers.

“They are definitely positive and they are a step in the right direction because you can no longer ask such invasive questions like how many days you’ve had off sick,” she says. “I would say from my own experience when I haven’t put down that I’ve got a disability I’ve been offered more interviews.”

Discrimination and harassment

The Act protects workers from discrimination due to nine protected characteristics, which are: age, disability, gender reassignment, marriage and civil partnership, pregnancy and maternity, race, religion or belief, sex, and sexual orientation. The legislation also covers associative and perceptive discrimination.

So if a person was discriminated against at work for taking time off to care for a disabled partner, this would be associative discrimination. If someone was bullied at work because people mistaken believed they were gay, this falls under perceptive discrimination.

It also includes more defined responsibilities for employers in dealing with third-party harassment faced by workers. In practice, this means that where an employee faces harassment from a customer, the employer must be able to show they’ve taken steps to make sure it doesn’t happen again.

On this point, Steve Williams, head of equality at Acas, cautions: “We are talking about harassment here, we are not talking about rudeness, we are not talking about ignorance, we are not talking about being upset. The words that define harassment are very powerful words, such as violation of dignity.”

What to do if someone breaks the rules?

If you are experiencing discrimination at work, follow your employer’s grievance procedures in the first case. You could also seek advice from your trade union if you have one, or Acas. If you cannot resolve the matter informally, you could take your employer to an Employment Tribunal.

If you’ve been asked inappropriate medical questions when applying for a job, you can complain to the Equality and Human Rights Commission.

5 steps to a better salary

Thu, 31 Jan 2013 09:38:30 Z

What can seem like the perfect job can quickly turn into a nightmare if it doesn’t come with the right salary. After all, we all have to pay the rent and keep up with the bills.

Negotiating salaries is a very important skill, but it’s not all about haggling. The bulk of your negotiating strategy should actually be sorted before you’ve even spoken to your interviewer.

1. Research, research, research

Research is key to making sure you get the salary you want and you don’t price yourself out of the market by going too high - or even too low (yes, this can also be a bad idea!). But how can you find this information?

Lucky for you, we recently introduced a salary checker right here on totaljobs that lets you see how much people are paid for any job you choose in any location. This way, you’ll be able to see whether your expectations are realistic. Give it a go and see how you compare.

2. Be realistic

So you’ve found out what other jobs pay within your chosen industry, but if you don’t use this information wisely, you’ll quickly lose any advantage it might have given you. Just as you would never apply for a job that is really out of your reach, you should also never target a salary that doesn't fit your job role. Let's face it, an administrative assistant is never going to pull in a £30K salary just as a managing director shouldn't undersell themselves at less than the going rate.

3. Ask the question

One of the thorniest issues around salary is when you should bring it up. Some people argue that you should never mention money until your interviewer does, while other people think that taking the bull by the horns will make you seem dynamic and assertive. We say that you should play it by ear: never make it your first question at the end of an interview, but if the job ad had no salary details then it won’t do you any harm to start talking figures.

If you're unsure then take a look at our interview advice for more tips. And remember that if you're looking for sales jobs or financial jobs, they may even think it's a bad thing if you're not willing to talk numbers.

4. The whole truth

Unless you’re discussing your first full-time job, it’s highly unlikely that your prospective employer won't ask you about your current salary. We know it’s very tempting to bump up your current wage to boost your chances of getting more money... Stop! 99% of employers will check your salary claims when they take up your references, so if you’ve lied you can expect all sorts of trouble. Unless you want to risk being sacked days into a new job - never a good look - stick to the truth.

5. Negotiating excellence

We’ve purposely avoided going into too much detail regarding the art of negotiation, mainly because this is a huge subject. However, the basic rules to follow are: stick to your guns as much as you can, be assumptive wherever possible and, if all else fails, be prepared to walk away if you don’t get the figure you’re after. And if you’ve followed the first four tips on this page, then you should have a perfect basis for negotiation.

Good luck!

Working in Australia

Thu, 31 Jan 2013 09:38:29 Z

Far flung yet familiar. Oh-so hot. It's no wonder that Australia is often dubbed the 'Land of Opportunity' for working Brits abroad.

If you find yourself daydreaming about escaping life in the UK and making a job move Down Under, check out our advice to turning that dream into a reality...

So, why Oz?

Each year thousands of Brits emigrate to Antipodean shores, with over 13,700 successful applications for the Australian skilled work visa in 2007-8. In certain sectors, the Australian job market is booming, and the Australian government welcomes those working in in-demand occupations with open arms. However, depending on your occupation and the type of visa you need in order to work, relocating can be a lengthy and complicated process.

Visas

To work in Australia you need to meet the country’s immigration requirements. In general, the key factors that increase your eligibility to work are:

You are under 45 years old
You have a tertiary or trade qualification
You have a close family member living in Australia
You have at least two years’ work experience
You have been offered a job
Your have an occupation on the Skills in Demand list

If you meet all or some of the factors above, there are four broad visa types you can apply for that will allow you to work:

Working holiday visa: Available to British passport holders under the age of 30, this enables you to stay in Australia for 12 months and work for up to six months with each employer. No specific skills are required to apply for the WHV.

Family migration: You have a close relative in Australia willing to sponsor you.

Skilled migration: You hold skills or special abilities that will contribute to the economy of Australia and other areas of Australian life.

Job-sponsored migration: An Australian company is willing to sponsor your move.

Skills in demand

Unless you have close family in Australia, the most common route is through skilled migration, where your eligibility to work is assessed on a points system and skills in demand are credited with high points. The Australian government regularly produces a Skills Occupation List (SOL), which lists the skills and occupations in demand in the country.

If your occupation is listed on the SOL, you are well placed to apply for a General Skilled Migrant visa and find work in your current occupation. In general, the areas of work in demand include engineering, IT, teaching and healthcare, plus jobs in trades such as electricians and plumbers. You can find the latest SOL and detailed information on the points system on the Australian government’s Department of Immigration and Citizenship’s website

Immigration agents

If figuring out the best visa and filling in complicated documentation sounds like too much of a headache, overseas immigration agents can advise you on the best visa for you and submit your application. Some will also help you find work and settle once you have the visa stamp in your passport.

Translating qualifications

Whichever visa route suits you best, it’s worth having your qualifications translated into the Australian equivalent so they will be recognised by employers. The Trades Recognition Australia (TRA) can help with trade qualifications, while the Australian Education International-National Office of Overseas Skills Recognition (AEI-NOOSR) can help with post-secondary academic qualifications.

Where to go

Now on to the fun bit: where to go? With a landmass larger than Europe, Australia is vast. Its landscapes are incredibly diverse, ranging from the iconic red desert of the Outback to tropical rainforests, bleach-blonde beaches and cosmopolitan urban cities around its coastline.

Major cities to find work include: Sydney, the financial capital in the east; Canberra, the seat of government in the south east; and Melbourne, a manufacturing hub in the south. There’s also Darwin, Brisbane, Adelaide and Perth to consider, plus lots of opportunities for expatriates in the country regions.

Salaries and quality of life

Aside from the amazing weather, expats who choose to stay in Australia often cite quality of life as their reason for staying. With salaries equal or often higher than in the UK, you can expect a great standard of living. That’s not to say houses are cheap, particularly in the major cities, but the huge amount of space in the country means you generally get more bang for your buck.

If all this sounds tempting, the Australian government's Department of Immigration and Citizenship’s website is the best place to start: http://www.immi.gov.au/

Redundancy employment law

Thu, 31 Jan 2013 09:38:28 Z

The recession has caused redundancy rates to soar, and even the most assiduous and best-qualified employees can face the possibility of being let go.

But if this happens, what exactly can you expect from your employer, and what are your rights?

What is redundancy?

The word redundancy is one of the most doomed words for an employee to hear, and unfortunately it’s being heard all too often right now as employers feel the pinch of the economic downturn.

Legally speaking, a redundancy isn’t a dismissal, but a reason for dismissal and you shouldn’t take it personally.

You can take comfort from two things though. First, you are far from being alone. Second, you have the protection of a robust framework of legal rights and safeguards, which cover every stage of the redundancy process. The over-riding principles throughout are fairness and transparency on the part of the employer.

Your legal rights

To implement redundancies, employers have to follow a sequence of actions, all laid out in legislation and the Employment Rights Act.

But even before they embark on the redundancy process, employers have to be clear that there are genuine grounds for making an employee redundant. Specific conditions have to exist.

Your employer can only seek to make you redundant when they have:

Stopped (or plans to stop) doing what you were hired to do
No need for your skills because it’s “ceased or diminished” or is “expected to cease or diminish”
No option but to move its operations to a location beyond reasonable commuting distance
Ceased trade

Clearly, these criteria can be argued, but it’s always incumbent upon the employer to be able to prove these reasons exist.

How do I find out?

Once the need to seek redundancies has been decided, the employer has to inform all affected staff and open up channels for consultation. This can be a tense time for both staff and management, as rumours can fly and morale plummets. It’s the responsibility of the employer to inform all potentially affected staff of the plans as early as possible, and to explain clearly the reasons why it’s happening.

But employers aren’t alone, HR can now assist managers in the painful task of breaking the bad news. Most large organisations in both private and public sectors have redundancy policies stating how consultations with staff and their representatives should be handled, so make sure you look in your contract.

Consultation is a crucial right for every endangered employee, and it exists whether it’s just you being made redundant or hundreds of staff. Employers have to show they’ve explored every route to avoid job-loss.
They have to clearly explain the criteria they’ve used for selecting those being made redundant, and be open to discussion on it. They also have to discuss ways of helping people find new work (ie by offering to help with re-training).

Statutory consultation periods can vary. If more than 20, but less than 99 people are to go, consultation has to begin at least 30 days before the first dismissal takes effect. Where 100 or more staff are involved, they have to begin at least 90 days before the crunch date.

What happens next?

No-one can be made redundant until they’re individually issued a formal notice of redundancy, and the periods set down for these are the same as any other type of dismissal. This is one week for staff engaged between a month and two years, then one week for each year of employment, up to 12 weeks for someone employed more than 12 years. During your notice period you’re entitled to paid time off to find new work and attend job interviews.

If you’ve been working for the same employer for two years or more you will be entitled to at least the minimum statutory redundancy pay, which is tax free up to £30,000. To find out how much you are entitled to as a minimum, check the calculator on the gov.uk website.

Was it fair?

If you suspect that your redundancy is in any way unfair, you can appeal the decision and ultimately take your employer to an employment tribunal for unfair dismissal.

If you belong to a trade union, they’re usually a good first port of call in such cases. Another is ACAS, the Advisory, Conciliation and Arbitration Service, who can provide information and advice.

Beyond these, there’s a network of legal advice centres around the country. Find your nearest one.

Race discrimination

Thu, 31 Jan 2013 09:38:28 Z

There are many employment laws which prevent employers from unlawfully dismissing you or generally treating you badly.

The Race Relations Act makes it illegal for employers to discriminate against anybody because of their race.

What is the Race Relations Act?

Protecting people from discrimination both in and outside the workplace, the act is in place to prevent anyone from being treated less favourably due to their race, colour, nationality, religion or origin.

Race discrimination covers everything from outright hostility to accidental discrimination and is divided into four categories:

Direct discrimination (where only those of a specific race are considered for a role)
Indirect discrimination (where universal policies disadvantage a particular group, eg. a specific dress code)
Harassment (a hostile atmosphere centred around race, eg. racist jokes in the workplace)
Victimisation (maltreatment of a worker who has raised an issue concerning race discrimination)

Whichever of the four categories certain behaviour falls into, the basis of the Race Relations Act remains the same: that it is unlawful for any racial discrimination to occur.

It works across all aspects of employment, too, from recruitment and terms and conditions right through pay, benefits, employment status, training, promotion and transfer opportunities, to redundancy or dismissal.

There are, though, some exceptions, and these are categorised as ‘occupational requirements’. For example, a specific ethnicity may be required for a specific role in a film – recruiting for this role would fall under an ‘occupational requirement’, so would not be considered race discrimination.

Positive discrimination / Positive action

Two other areas worth knowing about are positive discrimination and positive action.

Positive discrimination is unlawful, as although it promotes the employment or advancement of certain (usually underrepresented) groups, its basis is still in discrimination – essentially giving someone favourable treatment in the workplace because of their difference.

Positive action differs slightly from positive discrimination as it allows limited forms of opportunity for certain, proportionally underrepresented groups (e.g.: computer training for older workers) and it can be legal if the employer can prove the group they are showing ‘positive action’ toward are at a disadvantage in the workplace.

Companies can also engage in positive action if they have evidence to prove a certain group is disproportionally underrepresented in a certain activity.

What do I do if I feel I am discriminated against in my current job?

Your company should have a grievance procedure, but the first thing you should do is speak to your immediate boss, or, if it is your immediate boss who is being discriminatory, their line boss or the HR department.

You can also get advice from your trade union representative or the citizen’s advice bureau. If you don’t feel the matter is being addressed, you might need to make a complaint via your employer’s grievance procedure, or, if necessary, through an Employment Tribunal.

I’m in the ethnic majority, can I still raise a race discrimination concern?

Of course. Race discrimination covers any perceived differences, even if you are in the majority. Issues here might fall under ‘positive discrimination’, which, as explained above, is deemed unlawful.

What if customers or clients prefer to work with certain races?

This is exactly the same as race discrimination from within the organisation. It’s not acceptable for clients to dictate who they work with on the basis of race, and therefore if you are asked to either accept or avoid a certain role because of this, you’re protected by the Race Discrimination Act.

Can I be asked about my race in a job application?

You may be asked about your race when applying for a job, and it is perfectly legal for the employer to do so. Employers usually ask for this information so they can make sure they are receiving a proportional number of applications from across the spectrum, but what they are not allowed to do is to use it as a contributing factor in their choice of who they employ.

Pensions overview

Thu, 31 Jan 2013 09:38:28 Z

Pensions have been in the news a lot recently, with retirement ages changing and plenty of workers not knowing where they stand.

To make sure you know what the deal is and how it affects your retirement, here’s an overview of the pension system.

Basic state pension

As long as you pay your National Insurance contributions, you’ll be entitled to a state pension. How much you’re entitled to is dependent on how much you paid in throughout your working life, with the most (currently) available to a single person, £107.45 per week. You don’t have to start taking your basic state pension when you retire, so if you want to save a little for the pot, you can do.

State pension entitlement ages are increasing (see ‘your questions answered’, below). It’s worth remembering, though, that state pension entitlement age doesn’t mean retirement age – you can retire earlier, you just won’t receive your state pension until it is due. You can also keep on working past your entitlement age and still receive your pension, or defer your state pension, whether you continue to work or not.

Additional state pension

If you are earning over £5,564 from any one job (current cut off), or claiming child benefit, carer’s credit, or illness or disability benefits, you might be contributing to something called the additional state pension, an extra fund that adds money to your basic state pension.

It used to be called the State Earnings-Related Pension Scheme (SERPS) and it isn’t mandatory (you can opt out by ‘contracting out’ extra contributions to a private pension scheme). If you fall under any of the following examples, you don’t contribute towards this fund at all:

People who earn under the cut off salary
Self employed
Unemployed
Those in full-time training

If you are contributing or receiving credits toward the additional state pension, you are entitled to receive it at the same time as you are eligible for your basic state pension, and it will be paid alongside.

If you receive a private pension it’s likely that you will be ‘contracted out’ of the additional state pension scheme but make sure you check with your pension company first.

Pension credit

Pension credits are benefits to pensioners to enable their income to reach a certain level. They are available to anyone who has reached state pension entitlement age and there are two options available.

The first of these, the guarantee credit, promises to ensure your weekly income reaches £142.70 if you are single, and £217.90 if you have a partner (husband, wife, civil partner or co-habitant).

The second is a savings credit, which you might get on its own, or in addition to your pensions credit. These are available to those who have an income higher than the basic state pension (from a second pension, for example), or who have a small amount of savings. This currently comes in at £18.54 a week if you are single, and £23.73 if you have a partner. These amounts could be more if you are disabled, are a carer (or require care), or have certain housing costs.

Personal pensions

Personal pensions in the UK (or private pensions) are extra pensions available to everyone, in which workers pay regular monthly payments to a financial organisation (usually insurance companies, banks or building societies) who then invest the money on behalf of its stakeholders.

You can put in as much as you like into these pension schemes but you will only receive tax relief up to an annual amount of £2510,00. It’s also worth noting that, as of April 2010, the earliest you are now able to take a personal pension is at 55 years of age. You are, though, able to postpone your personal pension until 75. Your personal pension provider will send you yearly forecasts on what your fund is worth and what you can expect to receive at your current investment level.

Company pensions

Company pensions run in conjunction with your place of work, and every time you pay into your company pension, your employer and the government will contribute too. These are beginning to be mandatory, with large companies enrolling staff into these schemes from October 2012, and smaller companies over the next few years (for exact dates, ask your employer).

Your employer will enrol you if you are:

Not already in a pension at work
Aged 22 or over
Under state pension age
Earning more that £8,105 a year
Working in the UK

You are welcome to opt out of your company pension, but you will lose out on payments made by both your company and the government.

FAQ

What happens when I move jobs?

As long as you haven’t been paying into your pension for longer than two years, you should get a full refund on your contributions. If, however, it’s been longer than two years, you may be able to transfer your pension to a new company pension scheme without incurring a penalty fee, but chances are you will be charged a small fee. Moving jobs does not affect your state pension.

When am I entitled to my state pension?

Women’s state pension age will increase to 65 between April 2016 and November 2018.

It will then start to rise to 66 for both men and women from December 2018 to October 2020, then to 67 (between 2034 and 2036) and finally 68 (between 2044 and 2046).

Will this change?

Whilst the recommendations to pension change have been passed by parliament, they are of course open to change. With improved healthcare and lifestyle people are living longer and to ensure people have enough money to last them through life, pension regulations might change in the future.

What are the alternatives?

There are plenty of alternative ways to save for your future, including ISAs, personal investments and property. However, few offer the advantages that pensions do, with tax relief (of £22 in every £100) chief amongst them.

What if I can’t pay National Insurance?

If, for example, you are unemployed or too ill to work, and you can’t pay your National Insurance payments, then in most cases the government will step in and contribute for you, ensuring that you don’t miss out on your complete basic state pension.

Pensions and retirement

Thu, 31 Jan 2013 09:38:28 Z

You’re either reading this because retirement is around the corner – or because you’ve got years of work ahead and you want to plan for the future.

It's never too early or late to start planning for your retirement, as you need to make sure you can live comfortably when you’ve finally left work.

The law on retirement and pensions is going through a period of change at the moment, so we’ve summarized a few key points to bring you up to speed on when you can take it and how to go about organizing it...

What is the state retirement age?

For those of you who aren’t in any hurry to retire, take heart that the default retirement age has been phased out. This means if you didn’t receive notice from your employer before 6 April 2011, you can’t be made to retire using the default retirement age of 65 - unless they can justify it.

However, there are rules about the age when you can claim a state pension:

For men born before 6 December 1953, state pension age is 65
For women born after 5 April 1950 but before 6 December 1953, the state pension age is between 60 and 65

Because we’re now all living longer now, the Government is adjusting the rules to accommodate for an increased and older population. Under the Pensions Act 2011, the state pension age for both men and women will start to increase from December 2018, to reach 66 in October 2020. This applies to:

Women born on or after 6 April 1953
Men born on or after 6 December 1953

Eventually, the state pension age is set to increase to 67 between 2034 and 2036 and 68 between 2044 and 2046 (which affects anyone born after 5 April 1977).

Confused by all the facts and figures? You can pinpoint your personal retirement age using the DirectGov State Pension age calculator.

Be aware: The state pension age is likely to increase to 67 between 2026 and 2028. It’s not yet law, but watch this space.

Want to keep working for as long as possible? No worries, you can still work after state pension age and either claim your state pension while still working, or accrue it until you give up work.

Am I entitled to a pension?

You are entitled to a state pension if you have paid or been credited with enough National Insurance contributions (NICs) through work or voluntary payments:

Men born before 6 April 1945 need 44 qualifying years
Women born before 6 April 1950 need 39 qualifying years
Men born on or after 6 April 1945 need 30 qualifying years
Women born on or after 6 April 1950 need 30 qualifying years

Early retirement and other reasons for retirement

There are several reasons why you might opt for an early retirement. Some of the most common reasons include:

Long-term illness
Voluntary redundancy close to retirement age
Amassing a nice fat nest egg

When taking early retirement through choice or voluntary redundancy, it’s crucial you’ve got enough money to live comfortably. The earliest you can draw on a company or personal pension, for instance, is usually 55 – but this might vary. So, check:

What your personal or company pension is worth, and how and when you can take it
Entitlement to state pension and pension credit
Any savings and investments

If you're retiring because of ill-health you may be able to take your benefits early. If your life expectancy is less than a year, then you can usually take up to 100% of your pension fund as a tax-free lump sum. If you're married or have a civil partner, up to 50% of the pension fund may be held back to provide for a survivor's pension.

The downsides of early retirement

You still can’t claim a state pension until you reach the correct age – and you may find you get less than if you'd carried on working. This is because you won’t have built up enough National Insurance contributions (NIC) or because your pension is being paid over a longer period than anticipated.

However, you can boost your NIC record by:

Paying voluntary contributions
Taking on part-time or casual work to augment them
You will be credited if you have claimed incapacity benefit

If you're a member of a personal pension, final salary scheme, stakeholder pension or occupational money purchase scheme, bear in mind that you've had fewer working years to contribute, so your pension fund will be smaller.

How you retire

Just to be clear, if your employer didn’t tell you before 6 April 2011 they want you to retire, they now can’t make you do so using a default retirement age. Remember, the new age discrimination laws mean you can challenge your employer at a tribunal if you feel they dismissed you unfairly.

Assuming you want to retire, you’ll need to talk to your employer about your options, so try and schedule a meeting with your boss face-to-face. Check your contract for your minimum notice time – this varies, but is usually around six months' or one month's notice.

Follow your meeting up with a formal letter, copied to HR and Payroll, as they'll need to make sure you're given all relevant sick days or other compensation. Include the exact date of your retirement, a forwarding address - and always leave on a high note by adding good wishes to your colleagues, even if you’ve secretly hated them all these years.

What happens when you retire?

So you’ve told the boss, waved your fond farewells and now you’re ready for retirement. Now what?

Four months before you reach state pension age, the Pension Service will write to you about claiming your state pension. If you don’t hear from them, you need to contact the Pension Service yourself on 0800 731 7898.

You’ll need to notify your tax office when you retire or reach state pension age so they can make sure you receive the right tax-free allowances, pay the right amount of tax and stop paying NIC.

You’ll then be sent an Age-related Personal Allowance form (P161) to fill in and return to your tax office. If you don't, you could end up paying too much tax on your pension income, savings and interest. If you don’t receive one, contact your tax office.

Depending on your circumstances, you may be entitled to other benefits when you retire, such as winter fuel benefit, housing benefit and council tax benefit.

Last but not least

If you lose your pension details, don’t worry. Simply contact the Pension Tracing Service on 0845 6002 537.

Health and safety at work

Thu, 31 Jan 2013 09:38:28 Z

There’s a whole bunch of jokes about health and safety and anyone who’s been on a company induction or read the employee handbook will know why.

Although regulations have got more long-winded recently, it’s all done to benefit and protect you. So it’s always worth getting acquainted with a few of the facts as well as your rights and obligations to make sure everyone is kept safe and ticking over.

What’s the point?

First, a few sobering facts to remind us why the Health and Safety Act exists in the first place. More than 5,000 serious injuries are sustained in offices every year, according to the union for office workers, Unite.

In construction, the dangers are much greater and the risk of fatalities is increased. Fumes, eye-strain from goggling screens, dodgy equipment and tripping over wires are typical hazards that may leave workers disabled.

All the more reason, then, for health and safety legislation, despite the quip about 100 safety
managers in your basement turning it into a “whine cellar”.

What your company must do for you

The Health and Safety at Work Act is the primary piece of legislation covering work-related health and safety in the UK. It sets out employers’ responsibilities for health and safety at work.. You can find all the details on Directgov but here’s the gist of it.

Your employer has a 'duty of care' to look after your health, safety and welfare while you’re at work. They should start with a risk assessment to spot possible health and safety hazards.
Companies then have to appoint a 'competent person' with health and safety responsibilities. The Health and Safety Executive is responsible for actually enforcing the health and safety rules at work.
For businesses employing five or more people, there must also be an official record of what the assessment finds and a formal health and safety policy, including arrangements to protect your health and safety.

Want more information? Here’s some more handy links:

Frequently asked questions about health and safety

Safe manual work

The company's duties

Now it’s time for the high-level, legal eagle bit. The TUC summarises these main points.Your employer must tell you:

About risks to your health and safety from current or proposed working practices
About things or changes that may harm or affect your health and safety
How to do your job safely
What is done to protect your health and safety
How to get first-aid treatment
What to do in an emergency

Your employer must also provide, free of charge:

Training to do your job safely
Protection for you at work when necessary (including advice on computer screen and chair height, clothing, shoes or boots, eye and ear protection, gloves, masks)
Health checks if there is a danger of ill health because of your work, including eye checks for VDU users
Regular health checks if you work nights and a check before you start

What you must do for your company

Health and safety is not all one-way traffic though, and you have legal obligations to:

Take care of your own health and safety and that of people who may be affected by what you do (or do not do)
Co-operate with others on health and safety, and not interfere with, or misuse, anything provided for your health, safety or welfare

Read the handbook!

Confused? Luckily many companies set out your obligations and a mandatory code of conduct in a handbook. It may be dry in tone but it should be a must-read as it sets out expectations about conduct and discipline policies: this way you won’t be caught out if what you thought was high jinks at the staff party turns out to be gross misconduct.

The handbook should cover policies including:

Sexual harassment
Alcohol and drug use
Attendance
Grounds for getting fired

As well as rules and procedures concerning:

Email
Use of the telephone
Company equipment
Internet and e-mail
Employee use of motor vehicles for job assignments
On-the-job accidents

A guide to self-assessment

Thu, 31 Jan 2013 09:38:28 Z

Self-assessment gets self-employed people to declare and work out the tax due on their own income.

We’re sorry to tell you this, but it’s not something to be done quickly or even completely ignore, as there are stiff penalties if you fail to declare correctly or pay late. Like other areas of the law – ignorance is no defence. So if you’re self employed or a contractor – check out these simple tips.

Who must complete a tax return?

Anyone whose income is not taxed automatically via the Pay As You Earn system (PAYE) needs to declare their taxable income. In practice, if you work for yourself or in partnership, you need to do a self-assessment.

When do you pay tax?

It’s a three-stage process, so pay close attention.

A first payment on account is made by 31 January for the current tax year, which runs April 6 to April 5 the following year. This is normally half your previous year's tax bill.

A second payment on account - which is the same amount as the first instalment – is then payable by 31 July (after the end of the tax year).

A final balancing payment - or repayment - is made by the next 31 January: this is the bill calculated on the actual income returned for the tax year less the payments you have made on account.

What must you do?

If you need to submit a tax return, you’ll need to register online at www.hmrc.gov.uk before you can file a return.

You will need the following details to hand:

Your Unique Taxpayer Reference (UTR)
National insurance number
Post code

If you do not have these, HMRC can provide these, but it will delay your filing. Make sure your register before 21 January, as this is the latest date for registering to ensure you will be able to meet the 31 January deadline.

What does a tax return consist of?

Everyone on self-assessment is sent the basic eight-page return. But there are also a number of supplementary pages that you will only get if the Revenue knows you need them. This could cover a host of issues including income derived from other sources.

Who works it out?

If you are filing your return on paper and want the Revenue to work out how much tax you owe, you must return your form by 31 October.

If you return your tax form after 31 October, but before 30 December, the taxman will still work out what you owe, but cannot guarantee to tell you before the 31 January payment deadline.

If you choose to fill out your return online, the tax you owe is calculated automatically.

How do you file online?

To complete your return by this method, go to the Revenue and Customs website and click on the Self-Assessment button.

Once you decide to submit your tax return online you will be sent a security code by post that will enable you to go ahead. You should leave yourself at least two weeks before the final deadline for this code to arrive.

What paperwork do you need?

Your circumstances will change what documents you’ll need to fill in your return:

Self-employed people must have invoices or payment slips from clients
If you’ve left your job you’ll need a P45 and a P11D or P9D detailing benefits and expenses
A P2 form giving notice of coding

You will also need details of interest on bank or building society accounts, dividends from shareholdings, unit trusts or investment trusts, and any other income you get.

Self-assessment tips

Before you start, make sure the Revenue has sent you everything you need. The form has several sections and the Revenue will only send those that it thinks apply to you. Check if you need extra pages to give details of other sources of income. These can be downloaded by clicking here. You can also order more pages by calling 0845 9000 404.

Our other suggestions include:

Don't leave it until the last minute: Once you have gathered all the necessary paperwork, put aside a day to go through the forms. The biggest mistake most people make is forgetting to sign the form before sending it off.
Keep accurate records: If you face a Revenue inquiry you will have to produce evidence that your tax return is correct. Around one in 20 returns are liable to be subject to further investigation.
Don't throw your records away: Taxpayers must keep records for at least a year after filing. Self-employed or business owners must keep records for six years.
Do not round-up figures: HMRC have said this can indicate that a person’s affairs have not been properly maintained and could trigger a further enquiry.
Deduct all eligible expenses: HMRC allow individuals to take into account certain costs, such as student loan repayments and personal pension contributions.
Start saving now: Don’t forget that you will have to pay half of this tax year’s bill as a payment on account on 31 January (i.e. the same time as you pay your 2009-10 tax bill).

However, if you know that your circumstances have changed since last April, you should consider notifying HMRC, as it may be possible to decrease any payment on account for the 2010-11 tax year.

With thanks to:

Equality and diversity at work

Thu, 31 Jan 2013 09:38:27 Z

Equality and diversity exist to ensure an inclusive workplace, one where ‘difference’ is never an obstacle to getting a job or progressing in your career.

In the UK, practises and procedures are in place to ensure all workers are treated equally and given the same opportunities regardless of their age, race, sexuality, gender, disability or culture – or indeed anything else that could be discriminated against.

Legal implications

Companies in the UK are legally required to follow a set of practises to ensure discrimination is eradicated and expectations of equality are met in the workplace.

The legislation is wide ranging and comprehensive, essentially making sure companies adhere to the minimum standards set out by a variety of discrimination acts, including the:

Equality Act
Race Relations Act
Sex Discrimination Act
Disability Discrimination Act
Human Rights Act

These laws ensure that the best staff from the widest possible pool of potential employees is chosen.

In addition to treating everyone equally, employers must also provide any reasonable adjustments for workers that require it. Reasonable adjustments are anything you need doing to make sure you’re not disadvantaged at work. This can be anything, from slight tweaks to your contract, changing admin and procedural elements, adding a few new things to your building or changing more physical elements of the job.

Remember, every company is different, so they may have their own set of diversity policies. Some employers will just meet the minimum legal standards, while others will have a comprehensive diversity plan in place.

The effect on companies

Equality and diversity in the workplace can affect relations between staff, so a well-implemented diversity programme can create a workplace that’s centred on fairness, dignity and respect. Good diversity programmes may include:

Inclusive training
Development programmes
Good channels for communication and consultation
Workable measuring and review processes
A clear value system based on respect

How does it affect me?

You may think that a good diversity programme wouldn’t have any effect on you, but you’d be wrong, as they hold plenty of benefits for employees. This includes a simple reassurance that there will be no discrimination in the workplace, so you can be confident in the knowledge that you’ve been employed for your aptitude, just like your fellow colleagues were.

In addition, you’ll benefit from being given the right tools to do your job properly, such as being given flexible working hours, good disabled facilities and good communication between all staff.

But it’s also beneficial to the employer, as having people from all walks of life can be huge for any business, with different perspectives and insights often leading to a dynamic and creative workforce.

And of course, diversity and equality initiatives create respect and understanding throughout the organisation, ensuring a more pleasant working atmosphere for everyone.

Diversity might not always affect you directly but you certainly should notice the benefits – being part of a varied, able workforce where barriers to progression are few should make you feel more positive about your job and be more committed.

What if your boss discriminates?

Sometimes companies don’t always adhere to the rules – either to the minimum standards set out by law, or those they have set themselves.

If you feel disgruntled or discriminated against, there are many routes you can go down and people who can help. These include:

Trade unions
Citizen’s advice centres
Internal grievance procedures
ACAS (the Advisory, Conciliation and Arbitration Service)

Your first port of call should always be your company’s grievance procedure. You can also talk to your boss, someone higher than your boss, or someone in HR about the issue.

If nothing changes, you can take your case to an employment tribunal, especially if it forced you out of a job. If an employer is found to have failed to meet the minimum standards, they could be given a set penalty or a fine.

A guide to maternity leave

Wed, 14 Nov 2012 12:31:10 Z

This is the happiest time of your life, so don’t spend it worrying about whether your job’s safe or if your employer can squeeze you out of it.

Today, most employed mothers are entitled to a year off work – or statutory maternity leave. We’re here to talk you through who can get it, how much you get paid and what happens to your job.

What are your rights?

Relax, if you are fully employed, you have a number of rights. They include:

Not to be dismissed from your job simply because you’re pregnant
Being given alternative work if your existing role is not suitable for a pregnant woman – or else being suspended on full pay
Time off for ante-natal appointments
Maternity leave (see below)
Maternity pay (see below)
Being able to return to the same job with the same terms and conditions as before – or if that’s not appropriate, being offered appropriate alternative role on similar terms.

Statutory Maternity Leave

By law you have to take at least two weeks’ maternity leave after giving birth. Most new working mothers want substantially more than this, however, and fortunately the law allows for that too.

First off though, you need to be employed by a company. If that’s the case, you have the right to 26 weeks of Ordinary Maternity Leave and 26 weeks of Additional Maternity Leave, making one year in total. The combined 52 weeks is known as Statutory Maternity Leave (SML).

You should tell your employer you want to take SML at least 15 weeks before the beginning of the week your baby is due. So long as you have given the correct notice, you are entitled to this no matter:

How long you have been with your employer
How many hours you work
How much you are paid

Tell them:

You are pregnant
When the baby is due
When you want to start your maternity leave (you can change the date later, if you give at least 28 days' notice)

And if necessary provide a copy of your maternity certificate, MAT B1, which you can get from your doctor or midwife.

Your employer should then write to you within 28 days to confirm your SML and give you the date it will end. In short you can start your SML any time from 11 weeks before the beginning of the week when your baby's due. But be aware, if you are off work because of your pregnancy within four weeks of the expected birth date, your employer can make you start your SML then.

If you have a problem taking your SML, talk to your employer first of all. If that fails, you can make a complaint using your employer’s grievance procedure.

Good news: Your employer may have their own maternity leave scheme which will be equivalent or more generous than the statutory scheme. Check your employment contract or ask your boss.

Statutory Maternity Pay

You are entitled to 39 weeks’ Statutory Maternity Pay (SMP), if you have been:

Employed by the same employer continuously for at least 26 weeks into the 15th week before the week of your due date
Earning on average an amount that at least equals the lower earnings limit, which applies on the Saturday at the end of your 15th week. (This is the amount you have to earn before you are treated as paying National Insurance contributions.)

To make a claim, you simply have to tell your employer when you want your SMP to start and provide medical evidence (a MAT B1 form) of the date your baby is due.

Everyone’s SMP varies according to their salary, although the last 13 weeks of SML (if you choose to take it), is unpaid:

For the first six weeks you’ll be paid at 90% of your average gross weekly earnings with no upper limit
For the remaining 33 weeks, you’ll be paid at the lower of either the standard rate of £135.45, or 90% of your average gross weekly earnings. This rate is subject to review every April.

The last 13 weeks of SML, if you choose to take it, is unpaid.

Good news: If you’re a non-British worker with a UK working visa you may be able to get SMP – even if your visa includes the condition that you have “no recourse to public funds”, although this depends on your recent employment and earnings history.

And if you’re a worker (say freelance), rather than an employee your employer may allow you to take unpaid leave. Alternatively, you might be able to take paid holiday, unpaid leave or parental leave.

What happens to my job while I’m on SML?

This depends on your employer, but whatever happens, the company has to keep a job open for you by law. In most cases, they will advertise for maternity cover. In others, they may ask other members of your team to cover for you.

If you’re keen to return, it’s often a good idea to keep in touch with your employer. You can work for them for up to 10 days without losing your entitlement. These are called Keeping in Touch days. However, if you do further work for your company, you will lose SMP for each week in your maternity pay period in which you do that work.

Happily, you are almost more protected from losing your job than at any other time. Your employer can only make you redundant while you are on maternity leave if they can fairly justify their choice, such as closing your department and making your colleagues there redundant, too.

However, if your employer makes staff cuts across the company, they cannot make you redundant because you’re on or about to take maternity leave

If you are made redundant on SML, then you have special rights, including right to be offered any suitable alternative job in the company - even if there are other employees that might be more suitable for the job

If you are offered a new job, you are entitled to the four-week trial period, which should start when you return from SML

Good news: During your maternity leave you are usually entitled to almost all of your normal working benefits such as holidays, pensions, company cars, redundancy pay and mobile phones. You will continue to accrue annual leave and if you decide not to return to work, your boss generally has to reimburse you for any holiday not taken.

Take note: Your employer will assume that you will take all 52 weeks of your SML unless you say otherwise and before you go you they will confirm the date your maternity leave ends.

However, if while you are on SML you decide to return to work earlier than this, you must give your employer eight weeks’ notice in writing of your new date of return to work.

Additional time off

Unpaid parental leave is an option if you want to take more time off. In fact, anyone with a child aged under five, (or under 18 if your child is disabled), has the right to up to 13 weeks’ parental leave so long as they are an employee with at least one year's continuous service with the company.

You must also either be the parent:

Named on the child's birth certificate
Named on the child's adoption certificate
With legal parental responsibility for a child under five (under 18 if the child is disabled)