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Ben Jones
Ben Jones, UK Lawyer
Category: Employment Law
Satisfied Customers: 49859
Experience:  Qualified Employment Solicitor - Please start your question with 'For Ben Jones'
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I purchased a beauty salon business earlier this year. The

Customer Question

Hi I purchased a beauty salon business earlier this year. The previous owner wishes to stay on a self employed basis alongside another therapist who is also self employed and been with the company for about 7 years. Both work on a purely commission basis. Having got to grips with the business I am now not happy that their arrangement truly constitutes self employed and I am asking them to revise their working arrangements to one where they make own bookings take own money etc and provide the majority of products. There is and has never been any formal agreement in place with the therapists.
How much notice should I give the therapists of any change and if they are not happy with the suggested changes and I feel it is better for the business would I need to give notice to them and how much? I would like the changes made asap but one therapist (the previous owner) is dragging her heels because she does not want to change.
Submitted: 1 year ago.
Category: Employment Law
Expert:  Ben Jones replied 1 year ago.

Hello, my name is***** am a qualified lawyer and I will be assisting you with your question today.

Customer: replied 1 year ago.
Hi BenLook forward to hearing from youDebbie
Expert:  Ben Jones replied 1 year ago.

How long has it been since you took over the business?

Customer: replied 1 year ago.
I took over End of March 2016
Expert:  Ben Jones replied 1 year ago.

OK, thank you for your response. I will review the relevant information and laws and will get back to you at the earliest opportunity. There is no need to wait here as you will receive an email when I have responded. Also, please do not responded to this message as it will just push your question to the back of the queue and you may experience unnecessary delays. Thank you.

Expert:  Ben Jones replied 1 year ago.

Many thanks for your patience. Under law, only employees are entitled to receive a minimum notice period in the event that their employment is terminated by their employer. The self-employed do not have the legal right to minimum notice periods on termination.

Whether a self employed worker is entitled to a notice period will depend on their contract. If there is a termination clause that specifies a notice period on termination, the employer would be expected to give that notice if they wish to end the employment relationship.

However, it is often the case that no written contract exists, or there is no notice clause in it. In such situations, the worker can still expect a 'reasonable' notice period to have their employment terminated. This is because even in the absence of a written contract they will be working under an implied common law contract and to terminate such a contract a reasonable notice period is required. The only exception is if the contract was terminated because of gross misconduct, that is any misconduct serious enough to justify the employment relationship terminating immediately.

What is a reasonable notice period will vary greatly and will depend on the individual circumstances, industry practices, length of employment, frequency of payment, etc. There are far too many variables to consider, which means it is usually impossible to give a precise indication as to what would be reasonable in each case. It is therefore down to the courts to make that decision.

I would say that to be reasonable you should be looking at an equivalent of what an employee may get in these circumstances and for someone with 7 full years of service t would be 7 weeks notice. At the least I would say they should expect a month but that may be ushing it slightly so do try and be reasonable about it.

I hope this has answered your query. I would be grateful if you could please take a second to leave a positive rating by selecting 3, 4 or 5 stars - this is an important part of our process and recognises the time I have spent assisting you. If you still need me to clarify anything else, please get back to me on here and I will assist further as best as I can. Thank you

Customer: replied 1 year ago.
Hi BenThanks for that. One of the self employed is the woman who previously owned the business. As she sold the business to me do I consider her 'employment' from the date I purchased? Rather than when she started the business 20 years ago? The purchase contracted stated I had just one employee being the receptionist (who is paye) to be considered for TUPE. Also I assume I can give 'garden leave' rather than notice if I am have concerns over these therapists 'taking' clients. If this is the case what would be the way to work out the payment given they are on a commission only basis?Debbie
Expert:  Ben Jones replied 1 year ago.

Thanks for your patience. TUPE only applies to employees so her service would not have been continuous following the transfer. As such you can consider her employed from when you took over the business. Garden leave should ideally only be applied if there is a clause allowing that, otherwise it could be a breach of contract if they incur losses as a result. So if you are to do this you must ensure they are compensated farly for that time, so you need to perhaps look at the average pay they would have received over a period of time, say 3 months and use that to calculate what to pay them now if you were to place them on garden leave.

If your original question has been answered I would be grateful if you could please quickly rate my answer by selecting 3, 4 or 5 starts at the top of the page - it only takes a second to do and is an important part of our process. I can still answer follow up questions afterwards if needed. Thank you

Expert:  Ben Jones replied 1 year ago.

My full response should be visible on this page. Could you please let me know if it has answered your original question or whether you need me to clarify anything else in relation to this? If your query has been answered I would be grateful if you could please take a second to leave a positive rating, selecting 3, 4 or 5 starts at the top of the page. Thank you

Expert:  Ben Jones replied 1 year ago.

Hello, do you need any further assistance or are you happy with the above response? Look forward to hearing from you.