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News and Insights

Recently, the government has introduced some changes to the skilled worker visa and the family visas. These changes have been introduced after the UK has experienced unprecedented levels of immigration.

 

Mahfuz namecard

 

Due to humanitarian reasons and duties, the UK has accepted a lot of people coming from countries like Ukraine, Hong Kong and Afghanistan. It has also experienced a growth in health and care worker visa, student and dependent applications. Net migration for the year up to June 2023 was 672,000, a huge increase on pre-pandemic levels.

 

The government has claimed that they may not be able to sustain public services and housing if the level of migration does not come down. As a result, they have taken actions to remedy this.

 

Skilled worker visa

 

businessman on phone in front of laptop

 

On 4 April 2024, the salary threshold for the skilled worker visa will increase from £26,200 to £38,700 for those arriving on the skilled worker visa route. This means visa holders who are already on the skilled worker visa route on or before 3 April will not be subject to such changes.

 

This will only affect visa applicants who are applying to work in the UK for the first time or visa applicants who are switching to the skilled worker visa route. It is important to note that people coming on the Health and Care worker visa will be exempt from this threshold. This is because the government wants more healthcare workers to come to the UK in order to provide the staff that our care sector and NHS needs.

 

We recommend visa applicants to submit their applications latest by 3 April so that they will not be affected by such changes.

 

Family visas

 

For family visas,  the government is increasing the minimum annual income requirement from £18600 to £38700. However, these changes will be incremental. The government will raise the income to £29000 on 11 April. The income threshold will be raised again to £34500 (no set date from the government) and finally to £38700 in early 2025.

 

To avoid such a raise, we suggest that applicants make an application on or before 11 April.

 

The government has also prevented students from bringing their dependants to the UK unless they are studying a multi-year postgraduate research degree to help bring down the migration level. Furthermore, they will also remove the right for care workers to bring dependants to the UK starting from 11 March 2024. This means that although they are not affected by the salary threshold, this change might affect the care workers who intend to come to the UK to work.

 

However, the government states that they want to ensure the applicants who come to the UK would genuinely support the social care system instead of how in their view people have often abused the route. Therefore, we suggest health and care worker applicants to apply for their dependants to come to the UK latest by 11 March.

 

If you have any questions regarding any of the above, please feel free to contact us and we would be happy to help.

 

Have questions? Get in touch today!

 

Call us on 020 7928 0276, phone calls are operating as usual and will be taking calls from 9:30am to 6:00pm.

 

Email us on info@lisaslaw.co.uk.

 

Use the Ask Lisa function on our website. Simply enter your details and leave a message, we will get right back to you: https://lisaslaw.co.uk/ask-question/

 

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James Cook

When you move to the UK, or spend part of your time in the UK, tax might not be at the forefront of your mind. Despite this, it probably should be. Thinking about tax now can save you from a costly tax bill later. Whether you have to and/or what you will need to pay tax on in the UK depends on a few key factors. Among these factors is your UK tax residency status.

 

At its core, tax residency in the UK is a relatively simple concept. In its simplest terms, if you reside in the UK for 183 days or more in a tax year then you are automatically a tax resident. Nevertheless, there are other factors which may or may not affect this that can complicate matters. In today’s article, we will seek to explain this and help you to establish whether you are a tax resident.

 

Being a tax resident means that you are generally liable for all income on UK-based employment, as well as non-UK employment and other possible sources of worldwide income and gains.

 

Being a non-resident means that you generally only pay tax on specific UK-source income and that UK tax is not paid on foreign income.

 

What determines your tax residency status?

 

The Statutory Residence Test (introduced in 2013) is the primary means of determining whether someone is resident in the UK for tax purposes. It contains a number of components which are used to determine whether you are a resident for UK tax purposes.

 

As well as being a resident if you spent 183 or more days in UK in the tax year, you may also be resident if:

 

  • your only home was in the UK for 91 days or more in a row – and you visited or stayed in it for at least 30 days of the tax year
  • you worked full-time in the UK for any period of 365 days and at least one day of that period was in the tax year you’re checking
  • You meet the sufficient ties test, including family, accommodation, work etc, spent 90 days or more in either of the previous two tax years, or spent more days in the UK than any other country

 

The number of ties you have with the UK and the length of time you have spent in the UK will determine whether you are a tax resident. This means that the more ties, the fewer number of days you will need to be in the UK to qualify as a tax resident. However, if you spend fewer than 46 days in the UK and were not a resident in the previous three tax years, then you will normally be non-resident. This means that even if a foreign citizen has immigration permission to reside in the UK, they may not in fact spend enough time in the UK to be a tax resident.

 

So, we have now established some of the general rules that determine whether you will be taxed in the UK as a resident. Now, let’s take a look at what income will be taxed and how it will be taxed.

 

How will my income be taxed?

 

Young caucasian couple hugging each other doing family accounting using laptop at home

 

Being resident in the UK means being liable to pay income tax and capital gains tax. While the former is fairly self-explanatory, capital gains tax refers to tax on the profit of an asset you sell or dispose which has increased in value. You could pay it on personal possessions worth £6000 or more other than your car, as well as a second home, business assets etc.

 

Being a resident in the UK means that you will generally be required to declare and pay income tax on all income from outside the UK. Furthermore, UK land and buildings may also be subject to capital gains tax and is not something which is affected by residence status.

 

The exceptions to the above are those who are remittance basis users, which prevents non-UK income and assets being subject to UK tax as long as they are not brought into the UK directly or indirectly. This is only available to those who are not domiciled in the UK, but are resident here. Click here for more information about remittance basis.

 

Income tax

 

Being employed means that you will be subject to income tax, which for the vast majority of people in the UK is paid at source via the PAYE (pay as you earn) system. This is quite simple as it will be done for you by your employer, however it is still worth checking that your tax code is correct. For others, including those who are self-employed, you will not be taxed at source, and may have to complete a self-assessment tax return with HMRC on an annual basis. The deadline for the 2022/2023 tax year is 31st January 2024.

 

Capital gains tax

 

Capital gains will also be taxed in the event that you are tax resident in the UK and sell foreign assets subject to the capital gains tax, such as property or investments. This will be paid on the value of any gain which exceeds £6,000 until April 2024. Those who are remittance basis users will only pay capital gains tax on any foreign gain which is remitted to the UK but they will lose the annual exemption amount.

 

Our thoughts

 

It is always worth speaking to a tax expert when moving from another country to the UK beforehand. The tax laws here can seem confusing to a newcomer, and by speaking to someone this ensures that any nasty surprises are avoided later on! Lisa’s Tax specialises in providing tax consultancy to individuals, us today to learn more.

 

Have questions? Get in touch today!

 

Call us on 020 7928 0276, phone calls are operating as usual and will be taking calls from 9:30am to 6:00pm.

 

Email us on info@lisaslaw.co.uk.

 

Use the Ask Lisa function on our website. Simply enter your details and leave a message, we will get right back to you: https://lisaslaw.co.uk/ask-question/

 

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James Cook

Landlords or agents engaging in illegal renting—renting a property to a person in the UK illegally—are liable for a fine. This measure was introduced as part of the UK’s hostile environment approach, making it difficult for those in the UK illegally to live and work there.

 

Section 22 of the Immigration Act prohibits any landlord or agent from renting a property to a person without a visa. This includes renting to individuals who may have had a valid visa initially but, at some point during the tenancy, no longer possess one.

 

It’s important to note that the above section of the act applies to those who have issued a residential tenancy agreement.

 

Previously, the fines for landlords or agents in breach of the act were a maximum of £3,000 per occupier. However, amendments have now been made to the Immigration Act 2014, increasing the maximum fine to £20,000 per occupier.

 

This change will come into force on 13th February 2024. However, it will not apply to any contravention that occurred solely before this date.

 

The UK Home Office has stated: “You could be sent to prison for 5 years or get a fine for renting property in England to someone who you knew or had ‘reasonable cause to believe’ did not have the right to rent in the UK.”

 

This includes if you had any reason to believe that:

  • they did not have leave (permission) to enter or stay in the UK
  • their leave had expired
  • their papers were incorrect or false

 

You can also be fined if both of the following apply:

  • you rent your property to someone who is not allowed to stay in the UK
  • you cannot show that you checked their right to rent

 

The government is cracking down on landlords and agents that do not conduct checks when letting a property to tenants. The change shows the importance of ensuring that clear records are held of your tenant’s immigration status and continuing to keep up to date records throughout the tenant’s occupation.

 

Have questions? Get in touch today!

 

Call us on 020 7928 0276, phone calls are operating as usual and will be taking calls from 9:30am to 6:00pm.

 

Email us on info@lisaslaw.co.uk.

 

Use the Ask Lisa function on our website. Simply enter your details and leave a message, we will get right back to you: https://lisaslaw.co.uk/ask-question/

 

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lisaslaw@web

We are delighted to share the news that our colleague, Fiona Huang, has begun her training contract as a Solicitor!

 

Fiona has worked incredibly hard since joining Lisa’s Law just under a year ago and fully deserves the opportunity. We are excited for Fiona to complete her training contract and look forward to watching her progress.

 

Fiona originally did her bachelor’s degree in Shenyang, China, at Northeastern University between 2014 and 2018. She then completed her MA Law degree at University of Bristol. Following this, she achieved a distinction in her Legal Practise Course in November 2022.

 

Prior to joining Lisa’s Law, Fiona worked for a law firm in Bangkok as a project manager for the litigation team, as well for a Chinese start-up company as an in-house legal advisor.

 

Fiona is fluent in both Chinese and English. In her spare time, she likes to go for walks with her dogs. She also enjoys cooking and reading.

 

Have questions about this article? Get in touch today!

 

Call us on 020 7928 0276, our phone lines are open and we will be taking calls from 9:30am to 6:00pm.

 

Email us on info@lisaslaw.co.uk.

 

Use the Ask Lisa function on our website. Simply enter your details and leave a message, we will get right back to you: https://lisaslaw.co.uk/ask-question/

 

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James Cook

A sponsor licence allows businesses and organisations to hire employees in the UK from abroad. A sponsor licence is presently valid for 4 years, and the business or organisation would have to make an application to extend thereafter.

 

The Home Office has confirmed that the requirement to extend a sponsor licence will be removed. To prepare for this, all sponsor licence holders with a licence expiring on or after 6th April 2024, will be automatically extended by 10 years. No action will be needed to be taken by the business/organisation.

 

Sponsor Licence Holders: No More Extension Applications - Lisa's Law Blogs

 

If you have received a notification from the Home Office to renew your licence, you can ignore it. If you have already made an application to extend your sponsor licence, which is expiring on or after 6th April 2024, then the Home Office will contact you to arrange a refund of your renewal fee.

 

Please note that if your sponsor licence expires between 25th January 2024, and 6th April 2024, then to remain as an approved licence holder, you will need to renew your licence and pay the renewal fee.

 

This is a much-welcomed change, allowing businesses and organisations to remove the uncertainty of applying for a renewal every 4 years.

 

Should you have any queries, then please do not hesitate to contact us.

 

Have questions? Get in touch today!

 

Call us on 020 7928 0276, phone calls are operating as usual and will be taking calls from 9:30am to 6:00pm.

 

Email us on info@lisaslaw.co.uk.

 

Use the Ask Lisa function on our website. Simply enter your details and leave a message, we will get right back to you: https://lisaslaw.co.uk/ask-question/

 

For more updates, follow us on our social media platforms! You can find them all on our Linktree right here.

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lisaslaw@web

In today’s article, we’re going to cover the legal knowledge you need to know when it comes to the rules around eviction notices in the UK.

 

This includes how landlords can evict tenants when they have the right to do so, how tenants can protect themselves, and finally, the legal procedures that landlords must conform to when evicting tenants.

 

Are you a tenant with a landlord trying to evict you, even though you don’t think they are entitled to? Or, are you a landlord with a problem tenant that you want to evict? Keep reading to find out more about the eviction rules.

 

In the UK, landlords generally need to evict a tenant by using either a Section 21, Section 8 notice, or both.

 

If a tenant has breached the terms of a tenancy, their landlord can use a Section 8 notice. Otherwise, the Section 21 notice (also known as no-fault eviction) is generally required to evict without fault.

 

Eviction notice posted through door

What are the two main types of eviction notices?

 

Section 8 notice

 

Section 8 is usually fairly simple and straightforward. In order to give your tenants a Section 8 notice, you must fill in what is called a “notice seeking possession of a property let on an assured tenancy or an assured agricultural occupancy”. You must be specific when filling out this form about which terms of the tenancy your tenants have broken.

 

Depending on which terms the tenants have broken, you can give them between 2 weeks’ and 2 months’ notice. You will not be able to evict a tenant immediately.

 

Sometimes it can be better to try and resolve any disputes with your tenant instead. If they have rent arrears, this can involve trying to set up a rent repayment plan or having an open dialogue with your tenant about managing rent arrears.

 

Section 21 notice

 

Now let’s talk about the Section 21 notice, colloquially known as a no-fault eviction.

 

Situations where a landlord can use Section 21 notice to evict a tenant include:

 

1. At the end of the fixed term of the rental contract, if you have a written contract.

2. In the absence of a fixed end date for the duration of the lease, this is known as a periodic tenancy.

 

Before issuing a Section 21 notice, the landlord must provide the following information to the tenant:

 

1. An energy Performance Certificate (EPC) in relation to the property.

2. A guide on ‘how to rent’ from the UK government.

3. If the property has natural gas installed, an up-to-date natural gas safety certificate is required.

 

Tenants might worry about the risk of being evicted from their homes, however it should be remembered that tenants have certain protection from Section 21 notices.

 

What protections do tenants have when it comes to a Section 21 notice?

 

Your landlord can’t legally use a Section 21 notice to evict if:

 

1. The lease contract started less than 4 months ago, or the fixed term has not expired, unless the contract contains a clause that allows for early termination of the lease.

2. The property is classified as a house in multiple occupation (HMO) but does not have an HMO license issued by the local government.

3. The lease commenced after April 2007, but the landlord did not put the tenant’s deposit into the security deposit protection scheme.

4. For leases commencing after October 2015, the landlord did not use a 6a Form or a letter containing the same information.

5. The local council has issued an improvement notice to the property in the past 6 months.

6. The local council has issued a notice in the last 6 months stating that emergency repairs are to be made to the property.

7. The landlord has not returned the illegal fees or deposits.

 

As long as one of the situations we just described happens, the landlord cannot use the Section 21 notice to evict the tenant.

 

What happens once the landlord issues a Section 21 notice?

 

But what happens once the landlord issues a Section 21 notice? Furthermore, how much notice is required, and what if the tenant insists on not leaving?

 

First of all, the length of the notice period depends on the nature of the breach of the terms of the lease. Generally, the notice period is at least two months, but if you have a fixed-term rental contract, the notice period must be the same as the lease period. For example, if the fixed period is a year, the notice period must also be a year.

 

If the tenant refuses to leave, the landlord can apply to the court for a compulsory possession order.

 

In deciding whether to grant mandatory grounds for possession, the court will take into account different circumstances. For example, if the landlord needs to take possession of the house because it was once used as a primary residence, or now plans to use it as a primary residence, then this reason is usually accepted.

 

There are other reasons which may be accepted by the court. These include: if the property is subject to a mortgage, or if the lease is less than 8 months and was previously a holiday let, etc. Keep in mind, however, that the court will also consider circumstances at its discretion, such as rental arrears or destruction of the property. These may also be grounds for granting possession.

 

For eviction enquiries, contact our property law team today.

 

Have questions? Get in touch today!

 

Call us on 020 7928 0276, phone calls are operating as usual and will be taking calls from 9:30am to 6:00pm.

 

Email us on info@lisaslaw.co.uk.

 

Use the Ask Lisa function on our website. Simply enter your details and leave a message, we will get right back to you: https://lisaslaw.co.uk/ask-question/

 

For more updates, follow us on our social media platforms! You can find them all on our Linktree right here.

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James Cook

The High Court has held that the Home Office operated a secret policy denying victims of trafficking and modern slavery leave to remain.

 

Home Office Secret Policy Exposed by High Court - written by Mahfuz from Lisa's Law

 

In October 2021, the Hugh Court held in the case of KTT v SSHD that the Home Office was required to grant leave to remain to all those who have claimed asylum, and have been recognised as victims of modern slavery, whilst their asylum claim is being considered.

 

Despite this clear judgement, it appears that many have not been granted leave to remain as per the judgement.

 

A claim was brought challenging the Home Office on behalf of an Albania national who was recognised as a victim of modern slavery. Despite his pending asylum claim, he was refused leave to remain on two occasions. On both occasions, the Home Office hid those refusal decisions, leaving the claimant unable to challenge the decision.

 

On 23rd January 2024, the High Court held that the Home Office ran a secret policy until April 2023 to prevent people from obtaining leave to remain. It is estimated that at least 15,000 people were not granted leave to remain to which they were entitled.

 

Understandably, this will no doubt have caused anxiety and stress for many who are left without leave and, therefore, hesitant to obtain the support they require.

 

Should you believe that you were unfairly refused leave to remain, contact us to discuss your options today.

 

Have questions? Get in touch today!

 

Call us on 020 7928 0276, phone calls are operating as usual and will be taking calls from 9:30am to 6:00pm.

 

Email us on info@lisaslaw.co.uk.

 

Use the Ask Lisa function on our website. Simply enter your details and leave a message, we will get right back to you: https://lisaslaw.co.uk/ask-question/

 

For more updates, follow us on our social media platforms! You can find them all on our Linktree right here.

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lisaslaw@web

Yitong namecard

 

Recently, we successfully assisted an individual leaseholder client in claiming damages, including loss of income, for her newly built flat in a prestigious area of London.

 

Background

 

Prior to the Covid pandemic, the client complained about occasional leaking in the bathroom of the flat. The problem became more serious after the client let the property out on residential tenancy, resulting in a loss of enjoyment and financial setbacks such as a reduction in rent.

 

The representative for the landlord/developer had been slow in responding and had withheld the building survey from releasing to our client. The landlord/developer finally proceeded to work on remedying the defect, however the process had been slow and had an adverse impact on our client’s use and financial return on the property.

 

We identified that the landlord/developer had breached the contract and had acted negligently. We claimed damages including loss of use/enjoyment, special loss, and loss of rental income for the time that the flat was unavailable due to the repair.

 

After admitting their wrongdoings, the landlord/developer agreed to compensate for the claimed loss and the matter proceeded to a speedy settlement without the need for court proceedings, saving lots of time as well as costs.

 

Points to Consider

 

For leaseholders facing similar situations with defects in the building, there are some general points to consider:

 

1. Start by documenting all the leaks and defects in the building. This includes taking photographs, videos, and writing down detailed descriptions of each problem. Keep a record of dates when you noticed the issues and any communication you have had with the representative or relevant person regarding the problems.

 

2. Review your contract and Lease: Carefully review the contract you signed with the developer. Look for clauses that relate to warranties, guarantees, and responsibilities of the developer for any defects in the building. This will provide you with a basis to understand the developer’s obligations and your rights.

 

3. Know the warranties: Familiarise yourself with the warranties for new homes or buildings, which developers must adhere to. These warranties generally cover a specified period and protect against major defects.

 

4. Contact the relevant person for the developer or the landlord: In the case of leaks and defects, it is important to notify the developer, landlord, or management company as soon as possible. Submit a formal written complaint outlining the issues, backed by the evidence you have collected. Request a meeting or discussion to resolve the matter. Maintain copies of all correspondence for future reference.

 

5. Engage an expert: For very serious issues, consider seeking advice from a qualified professional such as a building surveyor. They can assess the severity of the issues, determine the cause, and provide you with an expert opinion. This report can be valuable evidence to support your claim against the developer.

 

6. Seek proper legal advice: If the developer does not respond or fails to resolve the issue satisfactorily, consider consulting a solicitor with expertise in this area, who can review your case, advise you on your legal rights and options, and guide you through the process of claiming compensation.

 

7. Explore alternative dispute resolution: Solicitor negotiation, mediation or arbitration may be options to resolve the dispute outside of court. These methods involve third party assisting in negotiations and reaching a settlement. They can be more efficient and cost-effective compared to litigation. Such as in our case, the settlement was a result of solicitor negotiation.

 

8. Consider litigation: If all other methods fail, you may need to proceed with a claim against the developer. In this case, your solicitor will guide you through the legal process and present your case in court. But we will always advise that litigation can be time-consuming, expensive, and uncertain, so it should be the last resort.

 

Heads of Damages

 

If you are considering claiming, please note the specific types of damages that can be pursued will vary depending on the circumstances of the case. However, here are some common heads of damages that may be available:

 

1. Cost of repairs: You can claim the cost of rectifying the defects or carrying out necessary repairs to the property. This would include the cost of materials, labour, and any professional fees associated with the repairs.

 

2. Diminution in value: If the defects or disrepair are serious and have reduced the value of the property, you may be entitled to claim the diminution in value. This would be the difference between the value of the property before and after the defects became apparent.

 

3. Loss of use/enjoyment: If the defects or disrepair have caused inconvenience, discomfort, or loss of use of certain parts of the property, you may be able to claim for loss of use/enjoyment. This compensation is aimed at compensating for the loss of enjoyment or disruption caused by the defects.

 

4. Special damages: In some cases, you may be able to claim for any specific monetary losses that are directly linked to the defects. In our case, the defects caused water damage to client’s personal belongings, resulting in financial loss, we sought special damages to cover those specific costs.

 

5. Consequential damages: If the defects or disrepair have led to additional financial losses, such as increased utility bills or relocation costs, you may be able to claim consequential damages. These damages are intended to compensate for the financial consequences that arise as a result of the defects. In our case, we had claimed loss of rent which should have been a source of income for our client given the location and high demand of the flat on the market.

 

6. Fees and legal costs: You may be able to claim the professional fees incurred in assessing the defects, preparing reports, or obtaining legal advice. This includes fees paid to architects, engineers, surveyors, or any other professionals whose expertise was required to evaluate the defects and recommend remedies. In some cases, you may be able to claim your legal costs associated with pursuing the compensation claim against the developer. This would include fees paid to solicitors or barristers representing you. In our case, the client had been compensated their legal cost too.

 

If you have proceeded to or are considering proceeding with such claim, please note that sometimes the damages claimed might be challenged and disputed. It is advisable to seek proper legal advice to assess the circumstances of your case and determine the appropriate route and heads of damages and to better navigate the process of your claim.

 

Have questions? Get in touch today!

 

Call us on 020 7928 0276, phone calls are operating as usual and will be taking calls from 9:30am to 6:00pm.

 

Email us on info@lisaslaw.co.uk.

 

Use the Ask Lisa function on our website. Simply enter your details and leave a message, we will get right back to you: https://lisaslaw.co.uk/ask-question/

 

For more updates, follow us on our social media platforms! You can find them all on our Linktree right here.

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lisaslaw@web

The Immigration Health Surcharge’s anticipated increase, initially set for 16th January 2024 as first stated, will not be taking place on that date. It has been confirmed that the increase will occur no earlier than 31 January 2024 at the earliest, as we informed you in our recent article.

 

We can now confirm that the Immigration (Health Charge) (Amendment) Order 2024 has been passed and will come into effect on 6th February 2024.

 

This means that the new increased rate will apply to all those submitting applications on or after 6th February 2024.

 

The main rate per person will increase from £624 per year to £1,035 per year. The discounted rates for children per child will increase from £470 per year to £776. This means a typical family of 4 (two adults and two children) applying for a 2.5-year visa extension will be paying an IHS (Immigration Health Surcharge) fee of £9,055.00 rather than £5,470.00.

 

The increase is substantial and therefore many are submitting applications as soon as possible. Please note that under the immigration rules, you are permitted to submit your extension application 28 days before the expiry of your leave. Therefore, those whose visas expire on 4th March 2024 can submit an application before the change.

 

Contact us today if you would like to enquire whether you can submit your application before the change.

 

Have questions? Get in touch today!

 

Call us on 020 7928 0276, phone calls are operating as usual and we will be taking calls from 9:30am to 6:00pm.

 

Email us on info@lisaslaw.co.uk.

 

Use the Ask Lisa function on our website. Simply enter your details and leave a message, we will get right back to you: https://lisaslaw.co.uk/ask-question/

 

For more updates, follow us on our social media platforms! You can find them all on our Linktree right here.

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lisaslaw@web

How can an employer dismiss an employee fairly? First, let’s demystify what ‘fair dismissal’ actually means. Fair dismissal should otherwise be simply referred to as a ‘dismissal’, which happens when an employer chooses to end an employee’s contract. In common parlance, it usually refers to someone being either sacked or fired.

 

So, how can a dismissal occur? There are three main ways in which an employee can be dismissed:

 

  • An employer terminating the contract, with or without notice
  • A fixed term contract has expired
  • An employee has left with or without giving notice. The employee will be entitled to do so due to the employer’s behaviour (constructive dismissal)

 

But what are the valid reasons for a dismissal? The next section will discuss the reasons employers can use to dismiss an employee fairly.

 

Reason for dismissal

 

Whether a dismissal is fair depends on the reason for the dismissal. Fair dismissal grounds are generally based on the following in accordance with the Employment Rights Act 1996:

 

  • Conduct – a conduct by the employee that’s inappropriate or unacceptable by the company (e.g. fraud, physical violence, gross negligence, serious insubordination e.g. refusing to take lawful and reasonable orders from a supervisor

 

  • Capability – an employee who failed to carry out the job or does not have the appropriate qualifications

 

  • Redundancy – the job is no longer needed because the organisation is closing/has closed, they are changing location, or changing the type or number of roles needed to do certain work

 

  • A legal reason – For example, a solicitor who has lost their practising certificate or a doctor who has their licence to practice withdrawn

 

  • ‘Some other substantial reason’ – this is a catch-all provision which allows an employer to dismiss an employee fairly when none of the other fair dismissal terms apply.

 

What is a fair procedure when it comes to dismissal?

 

When an employer decides to dismiss an employee, they must show that they acted reasonably and that they followed a full and fair procedure. This will save them a later headache if an employee decides to claim for unfair dismissal and takes their case to an employment tribunal. Employers should follow the Acas Code of Practise on Disciplinary and Grievance Procedures, found here.

 

If an employer fails to do this, then a dismissal could become an automatic unfair dismissal. This can be true even if the dismissal comes under the five grounds for dismissal as defined under the Employment Rights Act 1996. A tribunal may also be able to increase an unfair dismissal award by up to 25%! In deciding whether an dismissal is fair or not, the tribunal will consider:

 

  • Whether a proper full and fair procedure was followed
  • That the employer has a valid reason to dismissal their employee fairly

 

Full and fair procedure

 

Employees should be kept well-informed about the details regarding their dismissal. This should involve informing them of:

 

  • The reason why they have been dismissed
  • When their employment contract ends
  • Whether they have a right to appeal the decision
  • And their notice period if they have one

 

While it is advisable that an employer puts the reasons for the dismissal in writing, it is not always a requirement. Employee have the right to ask for a written statement for their dismissal if:

 

  • Their employment status is an ‘employee’
  • They have been employed for at least 2 years

 

The reason in writing must be provided within 14 days if the employee requests it. It should also be noted that if an employee is pregnant or on maternity leave, the employer must put the reason for their dismissal in writing. This should be done regardless of how long they have been employed.

 

Our thoughts

 

Employers should ensure that they are well aware of the law when it comes to dismissing an employee. To summarise, a dismissal is usually classed as fair if one of the five fair reasons for dismissal is cited, the reason is sufficient for the dismissal of the employee, and fair procedure is followed when dismissing the employee. Making a mistake could result in a costly employment tribunal which may result in the employee either being reinstated or having damages paid out to them.

 

Need advice on any of the topics raised in this article? We are specialists in employment law as well as other aspects of business and commercial law and will be able to provide you with advice on these issues. Contact us today!

 

Have questions? Get in touch today!

 

Call us on 020 7928 0276, phone calls are operating as usual and we will be taking calls from 9:30am to 6:00pm.

 

Email us on info@lisaslaw.co.uk.

 

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author avatar
James Cook

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