Contracts of Employment...
Does your organisation have and use current and accurate Contracts of Employment? What happens if the employment relationship ends… is the Company satisfied that there is no potential [legislative] claim awaiting them?
Contracts of Employment, the issuing of the contract and the accuracy of the terms and conditions is a fundamental issue in employment, however not all organisations issue contracts, or if they do, in many cases, they are either inaccurate or they don’t contain appropriate clauses!
It is necessary for Companies to acknowledge the importance of contracts as these become the first step in identifying the ‘legal foundation’ of the employment relationship.
Usually business finds out their contracts (terms and conditions] are not correct when a former employee contests them in the ‘Commission.’ Sadly the results aren’t always good for the Company!
As it is sometimes the case, when the employment relationship ends, the employee enlists the services of an Industrial Relations Specialist (i.e. lawyer). At this time the contract is read and re-read with the view to finding [any] inaccuracies that could lead to a payment, in addition to that already provided (i.e. notice, leave entitlements) or in some cases, employment is reinstated.
Therefore employers who don’t carefully manage and/or maintain employment contracts are often exposed to such claims.
To assist organisations with avoiding claims, they must ensure employment contracts are updated regularly and routinely, having clearly defined terms and conditions. Additionally, whenever there is a significant change in employment (i.e. promotion or position change) a new and complete contract ought to be prepared and signed, thus becoming the current ‘legal’ document.
In occasions where there are variations to the contract, for example salary increases; these should be documented in a separate memorandum or letter. This letter therefore will not change the employment conditions, hence the original contract remains.
Once a contract of employment comes into existence it attracts the operation of a whole range of rules and laws. For example, an industrial award may apply to the employer – employee relationship as well as the laws dealing with workers’ compensation, annual holidays, long service leave, occupational health and safety etc…
A contract, therefore, is the result of an agreement [finally] reached between both the employer and the employee…and the law accepts that an agreement is reached when an offer is made and subsequently accepted…and this offer and acceptance is communicated and the terms of the agreement must be certain.
Having an appropriately prepared and administered contract of employment will ensure the above occurs… it will also ensure that there is no likelihood of any doubt or misinterpretation of the employment terms and conditions. Suffice to say management would be well advised to ensure of current and future employees have written and up-to-date, contracts of employment
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Employee Absenteeism...
Despite the so-called ‘Global Financial Crisis’ (GFC), or maybe because of it, sick leave is on the rise [in Australia] as workers partake in that age-old tradition of having a ‘sickie.’
The average number of days lost to sick leave [2008/2009] was 9.3 days… which is up from 8.6 days in the previous year.
It appears that work has become harder [recently] for Australians ostensibly due to slashed budgets, fewer staff doing more work and the difficulties of meeting performance targets in this tough economy.
Because the jobs market tightened, the available jobs are just not there, hence staff are forced to stay in a role they may not be happy with.
Industries worst hit by absenteeism include, Tourism – 10.4 days; Banking Finance & Insurance 9.2 days and Telecommunications & Utilities with 9.9 days.
However, above all, Government employees absenteeism rates remained higher [than other sectors] with 10.8 sick days per person per year.
When questioned 90% of employers believed these sick days were ‘non-genuine’ and that there was a higher incidence of absenteeism on Mondays and Fridays as well as around School Holidays and/or special events.
Although ‘unexpected illness’ was highlighted as one reason for the absence, other non health reasons were contributors, such as home & family responsibilities, poor management of absences, rostering inflexibility and low morale.
Reports suggest the best ways to address rising absenteeism include a catch up meeting with the employee upon the day they return…or actively review absenteeism to identify appropriate treatment methods.
It is apparent that today’s economic climate has placed more pressure on the remaining workforce and it is this pressure that leads to stress which leads to sickness!
Employees may be genuinely ill, but the reasons may be more problematic that may require something akin to an ‘Employee Assistance Program.’ A good employer should be able to identify such matters and seek to address them immediately.
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Do we need Emotional Intelligence? Given that business is still affected by the economic climate, is it prudent that organisations invest in Training, and what, you may ask, has this got to do with Emotional Intelligence?
Thankfully not all business Executives have stuck their heads in the sand, rather they have been proactive in promoting education programs. Progressive organisations are those ‘true believers’ still investing in their people.
This investment in Learning and Development includes Emotional Intelligence!!! and it seems that there is a greater need now (more than ever) for managers to be educated on the concepts and tools of applying Emotional Intelligence at work.
It seems that much of the work environment has become ‘emotionalised’ because of perceived difficulties brought on due to the Global Financial Crisis. People are more likely to be on edge and/or apprehensive as a result.
For example, there is potential for workplace conflict arising from:-
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Personal Stress,
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Additional Work Pressures,
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Increased Responsibilities,
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Heavier Workloads, and
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Increased Sales Targets.
Despite it being the responsibility of the individual to control their emotions at work, it is however up to the manager to recognise such negative emotions, then establish programs to address them…this includes acting as a coach and/or mentor.
Therefore having the ability to recognise these emotions and the underlying causes is a skill – one which a good manager should possess! This leads to the ability to empathise with the team in order to avoid unnecessary confrontation!
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