Unit 1 Flashcards
commercial business
provides goods/services with the aim of making a profit
non-commercial business
NFP; puts people and the community ahead of profit
business
organisation that buys and sells goods and services
stakeholders in business
- entrepreneur
- investor
- employer
- employee
- producer
- consumer
- manager
- supplier
- service provider
- government
- local community
interest group
group of people that meet and campaign for a common goal, e.g. through boycotting and lobbying
IBEC
Irish business and employers confederation
ISME
Irish small and medium enterprises association
SIMI
society of the Irish motor industry
Trade union
represents the views and interests of employees in particular industries. aims to protect workers and improve pay and working conditions for members
IFA
Irish farmers association
co-operative relationship
win-win
competitive relationship
win-lose
dependent relationship
need each other for success
dynamic relationship
changes constantly
relationships between stakeholders
- entrepreneur/investor
- consumer/producer
- employer/employee
- producer/producer
- business/government
- business/local community
- business/business
- producer/interest group
contract
a legally binding agreement between two or more parties which is enforceable by law
elements of a valid contract
- agreement
- intention to contract
- capacity to contract
4.consent to contract - consideration
- legality of purpose
- legality of form
agreement
for agreement to exist, there must be a clear, unconditional and complete offer made by one party and accepted by the other party to a contract
invitation to treat
invitation to another person to make an offer
intention to contract
both parties intend to create contract. contract law assumes that all business agreements are intended to be legally binding/ all social agreements are not intended to be legally binding
capacity to contract
everyone has the legal ability to enter into a contract except anyone under 18, and anyone mentally incapacitated
consent to contract
you must enter into a contract voluntarily; invalid if you are under physical pressure or threat, there is a genuine mistake made by either party, either party is dishonest or gives false info
consideration
each party in the contract must give something of value to the other party e.g. money or goods
legality of purpose
legally binding contract must be for legal purpose e.g. cannot have contract to purchase illegal drugs
legality of form
contract must be drawn up in the correct legal format e.g. property contract must be in writing
termination of contract
- performance
- agreement
- frustration
- breach of contract
performance
contract ends if both parties complete their side of the contract exactly as set out in the contract
agreement
both parties mutually agree to end contract even if the purpose is not completed
frustration
contract ends when unforeseen event arises that prevents the completion of the contract e.g. bankruptcy/ extreme weather
breach of contract
ends if one party breaks condition (essential element) of contract
remedies for breach of contract
- compensation
- rescind contract
- specific performance
non-legislative ways of resolving consumer conflict
- negotiation
- letter of complaint
- assistance from 3rd party
negotiation
if consumer is unhappy with a good/service;
1. return to retailer with PoP
2. ask to speak with manager
3. tell retailer how they would like the problem to be solved. retailer can accept or reject or offer alternative
letter of complaint
- outline problem with good/service
- explain how they’d like the problem to be resolved
- include PoP
-retailer can accept, reject or offer alternative
assistance from 3rd party
e.g. CAI, EEC Ireland
CAI
consumer’s association of Ireland; interest group on behalf of consumers. aims to make consumers aware of their rights and receive quality goods at a reasonable price
-operates website
-lobbies the government to improve legislation
ECC Ireland
European consumer centre Ireland; part of EU network of consumer centres
legislative methods of resolving consumer conflict
- sale of goods and supply of services act 1980
- CPA 2007
- CCPC
- ombudsman
- small claims procedure
rights when purchasing a good (SGA)
goods must:
1. be of merchantable quality
2. fit purpose intended
3. be as described
4. match sample shown
rights when purchasing a service (SGA)
right to expect that:
1. supplier is qualified and has skills needed
2. supplier will use proper care and diligence
3. materials used are sound and fit for purpose intended
4. goods provided with service are of merchantable quality
remedies for breaches of the act (SGA)
- refund
- repair
- replacement
retailer’s responsibility (SGA)
- under the act, when a consumer buys goods they have a contract with the seller; seller must resolve issue
- retailer can’t put signs up in their business that gives consumers the impression that they have reduced or limited consumer rights
guarantees (SGA)
states they will repair/replace faulty item within certain time period after purchase. legally binding and enforceable by law. must state goods covered, time frame, claims procedure
second hand goods
should fit purpose intended, but should not be expected to be the same quality as new goods
inertia selling/unsolicited goods
goods sent to someone with a demand for payment, even though the person did not order the goods. this is illegal. person can keep them without payment if the seller has not collected within 6 months
evaluation of SGA
protects consumers, ensures they get valid remedy if good is faulty or does not meet legal standard.
Consumer protection act 2007 (functions)
- misleading descriptions
- aggressive practices
- prohibited practices
- price display regulations
- price controls
misleading descriptions (CPA)
should not advertise goods/services in deceiving way e.g. deliberately misleading/withholding info
aggressive practices (CPA)
cannot harass/coerce consumers into buying a product
prohibited practices
false claims that product can cure illness, promotions/competitions where it costs money to claim prizes, claiming business is closed when it isn’t.
price display regulations (CPA)
gives minister for jobs, enterprise and innovation power to require that price of certain products must be displayed in a particular manner e.g. must include VAT
price controls
can be introduced in emergency situations if approved by government
evaluation of CPA
good for consumers as they receive honest info from retailer, and ensures that they know what they are buying and the price of the item
CCPC
Competition and consumer protection commission: independent body that enforces competition and consumer protection law in Ireland
functions of CCPC
- Informs consumers of rights
- investigates breaches of consumer law
- advises government
- personal finance info and education
- enforces product safety regulations
informs consumers of their rights (CCPC)
-website + telephone helpline
-newspaper/social media campaigns to raise awareness
-info on how to manage money
investigates breaches of consumer law (CCPC)
-can issue on the spot fines for breaches of price display legislation
-prosecute traders who breach consumer laws
advises the government (CCPC)
researches to identify areas where consumers need more protection. informs govt. on impact of new laws and changes to existing laws on consumers
personal finance information (CCPC)
provides financial info and education to consumers; public awareness campaigns + financial education programmes
enforces product safety regulations (CCPC)
ensures producers/retailers obey relevant product safety regs. Shares info about dangerous products across EU
ombudsman
if consumer cannot resolve complaint with org. they can make a complaint to relevant ombudsman (If they have already gone through org’s complaints procedure).
Free of charge.
FSPO
financial services and pensions ombudsman: deals with complaints from individuals against financial institutions and pension providers.
-aims to solve issue through mediation and find mutually acceptable solution
-makes legally binding decision if agreement not reached
-can award compensation if complaint upheld
office of the ombudsman
investigates complaints from people who think they have been treated unfairly by a public body e.g. HSE, govt. departments.
-may request files from public body or demand to meet employees of govt. dept.
-issues recommendation on how they think it should be solved
small claims procedure
if unable to resolve complaint, small claims procedure at district court. claims of up to $2000 can be made for
-faulty goods
-poor quality production
-damage to property
Steps of the SCP
- application
- small claims registrar
3.referral to district court - appealing a decision (to circuit court)
evaluation of the SCP
-cheap, fast method of resolving consumer complaints
-housed in local district court
industrial relations
refers to the relationship between the employer and the employee in an organisation
benefits of positive industrial relations
- recruitment and retention
- employee motivation
- intrapreneurship
- change
- industrial action
causes of industrial relations conflict
- pay
- working conditions
- technology
- redundancy
- unfair dismissal
pay claim
a demand made by employees to their employer for an increase in pay
types of pay claims
- cost of living claim
- comparability claim
- productivity claim
- relativity claim
trade union
organisation that aims to protect and improve the pay and working conditions of its members. members pay yearly subscription
ASTI
association of secondary teachers Ireland
shop steward
elected by trade union members in workplace and acts as union’s representative in that workplace.
-provides feedback to union on views of members
-gives advice and support to members on workplace issues
-helps resolve disputes between employees and management
benefits of trade union membership (employees)
- protects employee rights
- information and support
- better pay and working conditions
- national level (raises awareness through media)
benefits of trade union membership (employers)
- faster negotiations
- introducing change
- improved health and safety
ICTU
Irish congress of trade unions: umbrella body that represents and campaigns on behalf of trade union members in Ireland.
-provides training and info
-resolves disputes
-negotiates on behalf of TUs
bargaining
managers and employees meet to discuss wide range of issues including pay and working conditions
bargaining types
- individual
- collective
- national collective bargaining/ social partnership
social partners
groups that work together with govt. to achieve agreed goal that benefits all involved, e.g. IBEC
types of industrial action (legal)
- official strike
- all out strike
- work to rule
- token stoppage
- overtime ban
official strike
employees refuse to enter the workplace and perform normal duties. requires:
-secret ballot
-7 days notice
-approved by trade union
Members may receive strike pay from TU
all out strike
all employees go on strike, including ones not involved directly in the dispute:
-secret ballot
-week’s notice
-ICTU approval
work to rule
employees carry out duties exactly as stated in contract/job description - no extra duties
token stoppage
employees refuse to work for short period of time e.g. a day. gives employer warning that more serious action may be taken if agreement not reached
overtime ban
employees refuse to work overtime - puts employer under pressure to resolve complaint quickly
types of industrial action (illegal)
- unofficial strike
- wildcat/lightning strike
- political strike
unofficial strike
strike action but does not meet all or some of the requirements for official strike. members do not receive strike pay
wildcat/lightning strike
employees take strike action without any warning to employer
political strike
employees go on strike to protest against the government’s actions
impact of industrial action on stakeholders
- employer
- investors
- employers
- suppliers
- government
- consumers
non-legislative ways of resolving consumer conflict
- meeting and talking
- negotiation
- conciliation
- mediation
- arbitration
meeting and talking
meeting arranged to discuss issue. shop steward may represent employee and HR manager may represent employer
negotiation
both parties meet and bargain; offers and counter offers made until compromise reached
conciliation
dispute referred to independent conciliator who listens to both parties and tries to get them to come to an agreed solution
conciliator
person who brings disputing parties together to try resolve dispute
mediation
independent mediator hears both sides of dispute and outlines how they think the dispute should be solved. encourages both parties to solve the dispute togther
mediator
independent person who tries to get both parties in a dispute to reach an agreement by acting as a go-between
arbitration
independent arbitrator listens to both parties and makes decision on how problem should be resolved -legally binding, can be rejected by one or both parties.
*binding arbitration if both parties agree to accept decision beforehand
arbitrator
independent person that examines issue and makes recommendation on how it should be solved
legislative methods of resolving industrial relations conflict
- industrial relations act 1990
- workplace relations commission
- labour court
- unfair dismissals acts 1977-2015
- employment equality acts 1998-2015
industrial relations act 1990
- trade disputes
- secret ballot
- minimum notice
- picketing
- immunity
trade disputes (IRA)
any dispute between employer/employee regarding employment/non-employment, terms and conditions of employment.
legal: pay/working conditions, discrimination, dismissal.
illegal: running of the firm, discontentment with government, closed shop agreements
secret ballot (IRA)
confidential vote in which employees decide whether to take industrial action. if majority agrees trade union decides most effective type of action
minimum notice (IRA)
minimum of 7 days notice before industrial action
picketing (IRA)
primary: takes place at the employee’s workplace. involves employees walking outside the workplace carrying placards indicating that they’re taking strike action.
secondary: protesting outside the workplace of another employer - legal if they believe the employer is helping to break their strike
immunity (IRA)
employer cannot sue TU or members for losses incurred due to official strike action
WRC
workplace relations commission
functions of the WRC
- information
- advisory service
- conciliation
- mediation
- adjudication services
- codes of practice
information (WRC)
provides info on employment law and industrial relations to employers/employees through website/phone service
advisory service (WRC)
works with businesses to maintain/develop positive industrial relations. can visit firms and provide workshops and training.
conciliation (WRC)
independent conciliator hears disputes and helps parties reach mutually acceptable solution.
mediation (WRC)
mediation officer tries to get parties to reach agreement; if successful, he records it in writing and it becomes legally binding. If failed, adjudication offer
adjudication services
adjudication officer investigates cases of unsuccessful mediation. Hears both sides and makes decision - can be appealed to labour court
codes of practice
written rules that define how people/orgs. must act in particular situations, e.g. bullying/discrimination procedures.
labour court
court of last resort: industrial relations tribunal. aims to resolve and adjudicate on industrial relations disputes quickly, fairly and informally.
functions of the labour court
- investigates disputes
- hears appeals
- establishes JLCs
- registers EROs
- interpretation of codes of practice
investigates disputes (LC)
investigates trade disputes and issues decision on case - can be appealed to the High Court
hears appeals (LC)
decisions made by WRC adjudication officer can be appealed - LC issues binding judgement
Establishes JLCs (LC)
joint labour committees: improves pay and working conditions for staff in certain sectors, e.g. hairdressing.
used in sectors with low TU membership. made up of equal number of employee/employer reps. appointed by LC and chairperson. sets min. pay and working conditions
registers EROs (LC)
employment regulation orders; drawn up by JLC and fixes min. rate of pay and working conditions for certain industries - adopted by LC and becomes legally binding
Interpretation of codes of practice (LC)
gives its opinion on the interpretation of codes of practice made by the WRC. also investigates complaints about breaches of codes.
unfair dismissals acts 1977-2015
prevents employees being dismissed from their jobs for unfair reasons. under the acts, all dismissals are deemed unfair and the burden of proof lies with the employer, i.e. must prove it’s fair. only applies after one year of continuous employment
fair dismissals
- redundancy
- incompetence
- qualifications
- employee misconduct
- legal reasons
procedure for dismissal
- counsel employee
- verbal warning
- first written warning
- final written warning
- suspension
- dismissal
unfair dismissals
- age
- religious/political beliefs
- race
- TU membership
- pregnancy
- gender
redress for unfair dismissals
- reinstatement
- re-engagement
- compensation
reinstatement
-get old job back
-entitled to back pay
-entitled to any improvements in conditions of employment
re-engagement
-may get old job back or alternative approved by WRC
-not entitled to back pay
compensation
-up to two years salary if financial loss suffered
-up to four weeks salary if no financial loss
constructive dismissal
occurs when employee resigns due to employer’s conduct towards them
-burden of proof lies with employee to show resignation is justified
-should have tried every other way before resigning
employment equality acts 1998-2015
prohibits discrimination in the workplace. applies to temporary/part-time employees in all sectors. also applies to:
-equal pay
-training
-promotion
illegal discrimination
-age
-gender
-disability
-sexual orientation
-traveller
-family status
-civil status
-race
-religious beliefs
non-legislative ways of resolving discrimination
- meet with management
legislative ways of resolving discrimination
- mediation (WRC)
- adjudication (WRC)
