Features

Business Development: Know where you stand

Management
Problems to do with litigious staff are bound to affect every business, even those that pride themselves on loyal and motivated teams. Ensuring you get the best employment law advice can save money and much heartache, says Sarah Steel, manager of the Old Station nursery chain

When I first started my company, a friend in business asked what I was going to do and when I explained, he said, 'That's all very well, but you really should do something that doesn't involve people'. At the time I laughed and decided that he was just a cynic; after all, staff are at the very heart of what we do in daycare.

Nine years on, I am sadly becoming more cynical, as the employment law in this country is stacked totally against the employer and has allowed things to get out of hand.

During the last two years the number of employment tribunals has increased at a staggering rate and there is no cost to the employee at all, whereas an employer is expected to be represented by an advocate and therefore automatically racks up a bill of several thousand pounds - even if they have done absolutely nothing wrong.

Don't misunderstand, I am an employee too, and want my rights protected. But I do also expect to go to work, do my job, behave and, in turn, get paid for my work. These days that sometimes feels like it is an unreasonable expectation, and the increasingly litigious attitude of some staff (and their 'no win, no fee' advisors) can be very frustrating.

At the Old Station Nursery, as with all nurseries, our staff are our most important asset. Without them we have no business, and good staff make the difference between an ordinary nursery and an excellent nursery. We have just finished our third Investors In People review successfully, so I know we are demonstrating best practice in how we manage and motivate our teams. And yet the run of problems that crop up can sometimes seem endless.

For any business owner, it is essential to have good advice when it comes to employment law. There are many options out there, from the larger companies such as Peninsula, which offers a fairly generic package, to smaller HR companies which can be excellent, to a reliable employment solicitor. Many offer packages now which include an advice line, documentation updates and general support.

Do shop around and make sure you compare the costs of these various systems. Sadly, none come cheaply, but this can save you a great deal of cost in the long term, not to mention heartache.

It is really important to have a good set of policies and contracts. The National Day Nurseries Association (NDNA) and the Pre-School Learning Alliance offer draft templates for these, and many organisations also offer an employment law advice line, including the NDNA and the Federation of Small Businesses.

So, after all that, do I wish I'd got involved in a business which was widgets and microchips rather than children and staff? Well, ask me on a good day ...!