Legislation 2.5.2 Flashcards
what is legislation
laws made by a high-power body, such as a parliament, to control behaviour, establish standards, and address societal issues
what are the 4 main roles of legislation in business
- ensures fairness by regulating the rights and duties of people carrying out business/trades
- protects consumers from unfair harm
- ensures a level playing field for all competitors
- protects employees and the enviroment
what is the aim of consumer protection acts
to ensure that customers are treated fairly
what is a drawback for a business complying with the Consumer Protection Act
increases costs for businesses because they have to put measures in place to make sure goods are of a satisfactory quality, as described, and fit for purpose
what is a strength for a business complying with the Consumer Protection Act
these laws will keep customers happy and, therefore, help strengthen the business’ reputation
give 3 examples of consumer protection laws (and brief descriptions)
- sale of goods act - goods must be of satisfactory quality, and consumers must pay the agreed price
- trade descriptions act - making false claims about a product is illegal (must remove misleading advertisement)
- online and distance selling - businesses must give an accurate description of their products before selling them, and if incorrect, consumers have 14 days to return
what is the aim of the employee protection act
ensure that employees receive at least the minimum standards of treatment from their employer
what is a drawback for a business complying with the Employee Protection Act
will cause an increase in the cost of wages for businesses who hire low skilled employees
what is a strength for a business complying with the Employee Protection Act
employees may be more motivated so their productivity may increase
give 3 examples of employee protection acts and give a brief description for each
- minimum wage - the lowest level of wages that a business can pay their employees (helps to reduce poverty)
- sick, maternity, paternity pay - businesses must provide a form of financial support to employees who are unable to work
- anti-discrimination - policies to prevent unfair treatment based on specific characteristics. these create an inclusive and respectful workplace
what is the aim of the enviromental protection act
to protect the natural environment
what is a drawback for a business complying with the Enviromental Protection Act
costly, especially for highly polluting industries
what is a strength for a business complying with the Enviromental Protection Act
creates a healthier environment for all
give 3 examples of environmental protection laws and briefly explain them
Clean Air Act - aims to tackle smog and air pollution as a result of burning coal
Landfill tax - businesses will be charged for any waste disposed of in a landfill (to promote recycling)
Clean Water Act - regulates the disposal of pollutants into waters
what is the aim of the competition policy
investigating:
- price fixing
- mergers
- anti-competitive practises
drawbacks of the competition policy for businesses
may restrict businesses that are trying to grow inorganically, or restrict monopolies that are growing organically
strengths of the competition policy for customers
- prices will be low
- more choice
- more innovation
give 3 examples of laws within the competition policy and briefly explain them
- merger laws - protects shareholders and restricts certain businesses from merging
- anti-competitive practices aim to prevent businesses from harming competitors and customers by creating a fair and friendly market
- price fixing laws prohibit businesses from pricing too high or low to keep market conditions fair
what are health and safety laws
laws that are put in place to protect employers and customers in the workplace
when was the health and safety at work act published
1974
give 1 benefit and 1 drawback of the health and safety at work act
benefit - fewer employees off ill/injured
drawback - may be costly
