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Ben Jones
Ben Jones, UK Lawyer
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My son has been suspended on full pay, having been accused

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My son has been suspended on full pay, having been accused of engaging in competitive activities. He awaits an investigation but has been given no indication as to what the accusation is or when he will be called on to hear further. The business is a small lifestyle business and there are many behaviours of recent months which have caused my son to believe that they have been seeking to replace him. The suspension was invoked by what we assume is stage one of a disciplinary process which was conducted by the HR Director and her husband the MD, so any appeal already seems somewhat flawed as there is nobody else o whom he ca n appeal. He has full notes of events of recent weeks and can think of nothing he has done which might be construed as competitive. What does 'competitive activities' mean and what should he do next to prepare and maintain his professional integrity and reputation?
Ben Jones :

Hello, my name is ***** ***** it is my pleasure to assist you with your question today. How long has he worked there for?

Customer: 2.5 years
Ben Jones :

Competitive practices could mean a number of things. Obviously it could be a clear-cut act of competing with the employer’s business, such as engaging in activities that directly compete with them, either alone or through another business. It could also be trying to poach clients or make arrangements for them to leave in the future by contacting them and stating this is a possibility. It could be contacting suppliers and enticing them away from the business or doing something which could affect how they deal with the employer. It could be all sorts of examples so it is best to approach the employer and ask them to provide more details on what exactly he is being accused of. The issue is that before the investigation he will only get limited information and the law only requires the employer to provide full details of the allegations and any evidence against him before a formal disciplinary, which is not on the cards yet.

If they were looking at dismissing him, then they would need to use of the potentially fair reasons for dismissal. Misconduct is a common reason for taking disciplinary action and it is also a potentially fair reason for dismissal under the Employment Rights Act 1996. It could be a single act of serious misconduct or a series of less serious acts over a period of time.

In order to justify that dismissal on grounds of misconduct was fair, the law requires that the employer:

  • Conducts a reasonable investigation;

  • Follows a fair disciplinary procedure;

  • Has reasonable grounds for believing the employee was guilty; and

  • Show that dismissal was a decision that a reasonable employer would have taken in the circumstances.

In addition, the employer is expected to follow the ACAS Code of Practice on disciplinary and grievance procedures. Altogether, it means that a disciplinary procedure should be conducted as follows:

1. Investigation - a reasonable investigation is needed. What is reasonable depends entirely on the circumstances and especially the nature and seriousness of the allegations. The more serious these are, the more detailed the investigation needs to be.

2. Disciplinary hearing - if the investigation provides sufficient evidence of misconduct, the employee may be invited to attend a formal disciplinary hearing. They must be given prior notice of the hearing, including details of the allegations, allowing them time to prepare. They have the legal right to be accompanied at the hearing but only by a trade union representative or a colleague.

3. Decision and penalty - following the disciplinary, if the employer holds a genuine belief that the employee was guilty, then they can go ahead and dismiss. When deciding on whether dismissal is appropriate, the employer should consider the nature and seriousness of the offence and the employee's length of service and disciplinary record. They also need to act with a degree of consistency if other employees have previously been disciplined over similar issues. Unless the offence was one of gross misconduct, ACAS recommends that the employee should be issued with a written warning.

In summary, an employer is not expected to prove that the alleged misconduct had definitely occurred. Disciplinary action will be fair if the employer can show that it had conducted a reasonable investigation, followed a fair procedure and held a genuine belief that the employee was guilty. Finally, it must show that the penalty was a reasonable action to take in the circumstances and one that a reasonable employer would have taken.

If there are any doubts or evidence that the above requirements have not been satisfied, an appeal can be submitted to the employer straight after the disciplinary outcome is communicated. If the appeal is rejected a claim for unfair dismissal can be made in the employment tribunal. The time limit to claim is 3 months from the date of dismissal and the claimant needs to have at least 2 years' continuous service with that employer.

Ben Jones :

I hope this clarifies your position? If you could please quickly let me know that would be great, as it is important for us to keep track of customer satisfaction. Thank you

Customer: Position clarified and advice understood thank you.
Ben Jones :

you are welcome, all the best

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