Employer/Employer Relationships Flashcards
Contract of employement
Lays out the roles and responsibilities of both employer and employee
Employment law
Make specific rules that each side are expected to abide by
Minimum wage
The minimum amount that an employer can pay their employee per hour
Advantages of minimum wage to employers
•more motivated workforce- they are receiving more money
•more use of zero-hours contract- employees are only paid for the hours they work
•an increase in the minimum wage may lead to more disposable income for employees- this could increase business
•reduces the need to negotiate with unions about pay which could have lead to disputes
Disadvantages of the minimum wage to employers
•wage costs would increase with any rise in minimum wage which impacts profits- business may be forced to reduce the number of employees to cut wage bill
•increase in the minimum wage could lead to cost-push inflation- the costs of raw materials could rise
•may be tempted to employ cheaper, younger workers rather than older workers, or use legal workers to make the wage bills cheaper
Advantages of minimum wage to employees
•more disposable income
•benefits industries that were traditionally lowly paid
•more supply of labour as working becomes more attractive
•younger people may find it easier to get jobs as its cheaper to employ younger workers
Disadvantages of minimum wage to employees
•older workers are at a disadvantage- employer favours employing cheaper, younger workers
•loss of job security- business may dispose of employees if the wage bills increase
•increase in minimum wage may not be substantial, therefore have very little benefit
•businesses may move production abroad in favour of cheaper labour elsewhere in the world
Equality Act 2010 and protected characteristics
Legally protects people from discrimination in the workplace and in wider society
•e.g. age, transgender, marriage, pregnancy, disability, race, religion, sex, sexual orientation
Direct discrimination
Treating someone with a protected characteristic less favourable than others
Indirect discrimination
Putting rules or arrangements in place that apply to everyone, but that put someone with a protected characteristic at an unfair disadvantage
Harassment
Unwanted behaviour linked to a protected characteristic that violates someone’s dignity or creates an offensive environment for them
Victimisation
Treating someone unfairly because they have complained about discrimination or harassment
In the workplace, what does the law protect people against discrimination in relation to?
•dismissal and redundancy
•imposition of unfair employment terms and conditions
•pay and benefits
•promotion and transfer opportunities
•recruitment and opportunities for training
trade union
An organisation that represents employees in a particular trade, industry or occupation- its purpose is to protect and improve its members’ terms and conditions of employment
Activities that trade unions are involved in
•collective bargaining- to obtain the best possible terms and conditions of employment for employees
•protecting employees’ employment rights- protect legal rights at work, offer info and advice, represent members and offer legal assistance
•offering info and legal advice- for those who have been unfairly treated
•health and safety- investigate the causes of work-place accidents and work-induced ill health