Business Backbone
Key Assets - Contractors / Employees (Human Resources)
Recent changes (June 2006) to the Workplace Relations Act (which sets minimum employment
conditions, documentation and procedures to be followed by employers) have highlighted the
importance of written employment agreements.
You must also be able to evidence each of your employees leave & pay entitlements
(including superannuation entitlements), the hours they have worked and leave they have
taken. You must ensure that you have put systems in place to keep track of all of these
issues.
This site can help you manage your "key assets" in two main ways; the provision of legal
agreements and other documents to regulate the employment relationship and workplace; and by
providing an easier way of keeping records in relation to your employees through the Minder
system.
Applications of Employment
This document is the first step in the employment process. Make sure the application is
completed, references checked, the job is fully described (together with any required
qualifications), and the details that have been requested by the prospective employee have
been completed.
Employment Agreements
The employee needs to know what their job specification is, what is expected of them
during the working hours (what those hours are, what overtime (if any) that may be required),
what qualifications they are to have, what policies they need to read/understand and adhere
to, what training is to be given to them during their employment, how many days holiday and
sick leave each year. They need certainty in their lives. Your business does also.
We have compiled in excess of 15,000 job descriptions in our HR Database. Give the job
description in the employment agreement your best shot, and our solicitors will do the rest.
Employee Reviews and Feedback
Your business needs to ensure that employees are happy and content with their lot in the
workplace, the employee needs to be regularly advised on their prospects of advancement and
their needs to be open communication between management and staff on matters that staff
members need addressing. This is essential from an OHS perspective - if an employee believes
that a machine is dangerous and advises management, action needs to be taken. We have
numerous documents designed to help you get accurate, useful feedback from your staff.
Other documents relevant to employees include:
- Employee Discipline Policy (what employees can and cannot do, warnings, dismissal);
- Employee Feedback Forms (how well is the employee doing in their job versus performance
goals/targets, internal mentoring rolls, scheduled meetings to review performance,
identifying training and career pathing needs);
- Employee Feedback on management boss supervisor (reviewing interaction and communication
between an employee and their immediate boss and management, management's understanding of
the employee and their roll in the business. All answers are ticks in boxes);
- Employee Feedback Form on opportunities and training (provides management with an incite
into how the employee feels about on the job training, induction training, refresher training,
whether training and production levels could both increase, how training can benefit the
business, awareness of OHS requirements and training needs/demands);
- Employee Management Communications Form (this form specifically addresses communication
by management to the employees about the business, where the business is going, success or
otherwise of the communication levels within the business);
- Employee Self Assessment Form (how does the employee think they are doing, what could be
done to improve the employee's performance, is the employee using their time properly during
business hours, can the employee suggest what might be done to improve their productivity).
Contractor Agreements
Like an employment agreement, if a business needs to employ a contractor, they need to have a
standard agreement that they can provide the contractor. The agreement needs to set out standard
terms (including the policies that have to be adhered to during the term of the agreement), what
the contractor is to do and what the business is to pay. It also needs to address who owns the
intellectual property generated as a result of the services performed under the agreement.
Policies and Procedures
There are numerous state and federal laws that impact on what can and cannot be done in the
workplace, procedures to be followed, records to be kept and retained for specific periods of
time.
Good businesses ensure they have appropriate systems in place to manage these requirements.
Policies and procedures should set out clearly how the business will deal with an issue and
the rights and obligations of staff and employees. These will help your employees to recognise
that management treats certain issues seriously and that a breach of a policy will result in
disciplinary action and possibly termination of employment. Policies and procedures will also
help you prevent small problems developing into larger ones.
The workplace is regulated by numerous items of State/Territory/Federal Legislation, Codes
of Practice as well as by the policies and procedures implemented by management. Your policies
and procedures need to cover a range of topics (to mirror the legislation) including such
matters as:
- bullying;
- who can sign contracts;
- Computer/IT issues (software, hardware, email, internet, backups);
- discrimination;
- employee discipline policy;
- equal opportunities;
- occupational health and safety;
- privacy; and
- sexual harassment.
Let us expand with a few of these issues here.
Asset Management Policy
This policy concerns the purchase and sale of business assets over a certain value, how
the business is to document those assets and audit them on a regular basis.
Contracts Policy
This policy:
- Establishes the framework within which your Business will enter (legally binding)
agreements with other parties.
- This policy includes all types of agreement, whether written, electronic or verbal,
that contain the fundamental requirements of a contract which are an offer to buy/sell
or do something, acceptance of that offer, and consideration (being payment either in
kind or money).
- Sets out details of the responsibilities of staff entering into legal agreements.
- Manages the risk associated with legal agreements by providing clear direction to
their establishment.
Employee Discipline Policy
This Policy lists these common issues and states quite clearly to the employee that they
are unacceptable. If an employee breaches this Policy they may find themselves subject to
disciplinary actions ranging from verbal reprimand, written warning and finally dismissal.
Every business needs to not only have written policies and procedures concerning what can
and cannot be done in the workplace, but also written employment agreements so that if a
situation arises where an employee needs to be let go, the documentation firmly backs up
management.
IT Resources Policy
This policy, which is dealt with in greater detail in the previous section titled Computers,
concerns all matters relating to computers, email, the Internet and the backing up on data.
OHS Policy
Occupational Health and Safety - (commonly referred to OHS) is not just about being clean.
It's about ensuring a safe and healthy working environment. Employers are legally required
(under the various State/Territory OHS Acts) to identify OHS hazards and talk to (and train)
employees about OHS issues. This includes:
- providing safe machinery, equipment and protective clothing where necessary;
- applying safe working procedures;
- providing information to employees about safety and hazards;
- providing proper training;
- providing supervision;
- keeping the workplace free from OHS issues such as harassment and bullying;
- making sure the workplace is clean and comfortable; and
- undertaking safety checks.
OHS is a two edged sword. Employers are vicariously liable for the acts of their
employees, but the employees are also personally responsible for their own acts (or failing
to act). Given the harsh penalties involved and the potential for further civil and criminal
action against those involved, this matter is to be taken very seriously.
OHS includes bullying as well as smoking in the workplace. It also includes sexual
harassment.
Sexual Harassment Policy
Sexual harassment is unwelcome sexual conduct which makes a person
feel offended, humiliated and/or intimidated where that reaction is reasonable in the
circumstances. It is also against the law to sexually harass someone or dismiss them from
employment because of family responsibilities.
Sexual harassment can take various forms. It can involve:
- unwelcome touching, hugging or kissing;
- staring or leering;
- suggestive comments or jokes;
- sexually explicit pictures, screen savers or posters;
- unwanted invitations to go out on dates or requests for sex;
- intrusive questions about an employee's private life or body;
- unnecessary familiarity;
- insults or taunts based on your sex;
- sexually explicit emails or SMS messages;
- accessing sexually explicit internet sites;
This behaviour may also be an offence under the criminal law - physical assault, indecent
exposure, sexual assault, stalking or obscene communications.
Sexual harassment is not sexual interaction, flirtation, attraction or friendship which is
invited, mutual, consensual or reciprocated.
The Sex Discrimination Act states that an employer (or principal, including a union) is
liable for acts of sexual harassment committed by employees or agents in connection with their
duties unless "all reasonable steps" were taken by the employer or principal to prevent sexual
harassment occurring. This is called "vicarious liability".
Reasonable steps must be active, preventative measures. The obligation to prove that all
reasonable steps were taken rests with the employer or principal. Lack of awareness that the
harassment was occurring is not in itself a defence for employers or principals.
Even when an employer or principal is found to be vicariously liable for sexual harassment
committed by individual employees or agents, the individual remains personally liable for
their acts. However, in practice, employers who are vicariously liable for sexual harassment
are generally more likely to end up paying compensation to a complainant, because of their
greater capacity to pay than the individual harasser.
Discrimination Act/Equal Opportunity - the objectives of the various State/Territory
Discrimination Act/Equal Opportunity Acts (which for those of who wish to read them are -
Discrimination Act 1991 (ACT), Anti-Discrimination Act 1977 (NSW), Anti-Discrimination Act
1992 (NT), Anti-Discrimination Act 1991 (Qld), Anti-Discrimination Act 1998 (Tas), Equal
Opportunity Act 1984 (SA), Equal Opportunity Act 1995 (Vic) and Equal Opportunity Act 1984
(WA)) are clear:
- To eliminate discrimination on the grounds of sex, marital status or pregnancy,
family responsibility or family status, race, religious or political conviction,
impairment, age or gender history in the areas of work, accommodation, education, the
provision of goods, facilities and services, access to places and vehicles, land and
the membership of clubs; and
- To eliminate sexual and racial harassment in the workplace, educational institutions
and accommodation.
Policies can help establish that an employer has taken reasonable preventative steps to
avoid sexual harassment, discrimination or taken positive steps to implement a safe working
environment. To be of assistance it must be shown that the policies are not only in place,
but that staff are aware of the policies, they are reviewed and updated regularly and
importantly, that they are enforced. This is where the second prong of our tools in managing
your "key assets" comes into play.
Anti Workplace Bullying Policy
Another essential policy for every business. It works in tandem with the OHS Policy and
provides all employees with a means to report 'unusual practices'.