#CCIHeartsHR #CCIHeartsHR Are Employee Relations Issues Keeping You Up at Night? Presented by: Jessica Price & Kendall Scott Employee Relations Managers Employee Relations Consulting Employee Relations Advice Centre
Jul 16, 2015
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Are Employee Relations Issues Keeping You Up at Night?
Presented by: Jessica Price & Kendall Scott
Employee Relations Managers
Employee Relations Consulting
Employee Relations Advice Centre
#CCIHeartsHR
House Rules
• The chat box is available if you have any questions
• Please “raise your hand” if you have any technical issues.
• There will be time for questions during the webinar.
• We will be recording the webinar for future viewing.
• Our slides will be available after this session.
• Join the conversation on Twitter with #CCIHeartsHR
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Meet your HR experts
Kendall Scott
Manager
Employee Relations
Advice Centre
Jessica Price
Manager
Employee Relations
Consulting
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You’re not alone
• 33,000 ER queries received each in 2014
• Redundancy calls currently at GFC levels!
• 1 in 3 calls received on performance management matters
• Bullying calls double in 12 months YTD
• You’re not alone, and help is at hand!
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The Risk
UnfairDismissal
Adverse Action
Personal Fines
Professional Reputation
Litigation
Time & Resources
Bullying Complaints
Underpayment claims
ShamContracting
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It’s real…
• Will your workplace be the subject of formal claims over workplace relations issues this year?
• Claims are on the rise – in 2013/14 FY FWC received…
14,266 unfair dismissal claims* 701 workplace bullying complaints* 4,141 adverse action claims*
These numbers are increasing significantly each year!
*Fair Work Commission Quarterly Statistical Reports
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The nightmare…
• FWC regularly criticises HR practitioners for substandard HR practises
• HR Professionals are not safe o Personal fineso Professional reputation
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Keeping you awake at night?
• FWO is actively targeting industry sectors through compliance campaigns
• Directors, business owners and managers can also be held personally liable
• Companies go out of business
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No one is safe!
FWO headlines in 2014/15
• Advertising Co. fined $100k for underpayments
• $190k penalties for exploitation of trolley collectors by major retailer
• Co. director fined $50k for ignoring unfair dismissal compensation Order
• Childcare centre “on notice” after $170k underpayment
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THE COST OF UNFAIR DISMISSAL CLAIMS?
Up to:
$66,500 compensation
$51,000 in fines
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ADVERSE ACTION CLAIM COSTS
Up to:
$51,000 in fines
Uncapped compensation
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PERSONAL LIABILITY
UP TO $10,200
PER BREACH
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Redundancy
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Legal fees
Corporate Reputation
Management Time
Damages
Fines
Back Payment
Costs
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Redundancy
Before implementing redundancies, ask yourself:
• Genuine redundancy?• Reasons for implementing change?• Strategies to mitigate impact?• Selecting employees on objective criteria?• Evidencing the need to introduce change? • Documenting employee selection?• High risk situation?
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Strategies
Look • industrial instruments• contract• policies, procedures & custom • the law
Listen• to management (redundancy or something else?)• seek professional advice
Learn• from case law and other’s mistakes
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Performance Management
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Risks
Unfair dismissal
Unlawful termination
Discrimination
Adverse Action
Constructive dismissal
Bullying complaints
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Performance Management
Before engaging in performance management, have you...
• investigated & gathered sufficient evidence?• got specific examples?• reasonably allowed support person?• given reasonable opportunity to respond?• genuinely considered responses?• issued punishment fit for the crime?
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Strategies
Preparation is key:
• Be well prepared & timely
• Have a valid reason that is well evidenced
• Identify any risk areas & alert Company to risks
• Create plan to minimise risk
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Strategies
A fair process:
• Be specific, clear and consistent on goals, expectations and outcomes
• Stick to facts
• Keep it impersonal
• Give genuine consideration to responses
• Be clear and to the point
• Confirm understanding
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Workplace Bullying
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Workplace Bullying Claims
Contravention of an order may result in civil penalties:
Individual $10,200
Company $51,000
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Workplace Bullying
A worker is bullied at work if:
a) while the worker is at work in a constitutionally-covered business, an individual (or a group of individuals) repeatedly behaves unreasonably towards the worker (or a group of workers); and
b) that behaviour creates a risk to health and safety.
Does not apply to reasonable management action carried out in a reasonable manner.
Fair Work Amendment Act 2013
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It isn’t bullying because:
–“They are oversensitive”
–“They are just a whiner”
–“They contribute to it”
–“It’s a personality clash”
Dispelling the Myth
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Reasonable Management or Bullying?
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Not Workplace Bullying…
Reasonable Management Action
• Appropriate performance management
• Constructive feedback
• Directing work and assigning tasks
• Directing an employee to do their duties
• Appropriate disciplinary procedures
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Educate staff on policies & procedures
Be proactive where issues are identified
Monitor all resolved
issues closely
Be present, aware and in
control
Remind staff of Co.
expectations
Act on all complaints promptly
Strategies to consider…
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Rest easy, help is at hand…
Employee Relations Advice Centre
(08) 9365 7660 or [email protected]
Employee Relations Consulting
(08) 9365 7730 or [email protected]
www.cciwa.com
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