The roundtable discussion, organised by learndirect business, was in response to the introduction of new legislation which came into effect in October. Held at Three Albion Place in Leeds and chaired by Kirstie Donnelly, Director of Products and Marketing, from learndirect business, the group debated whether small and medium sized businesses in Yorkshire are equipped to take on the challenges that the new legislation will bring. The group included senior representatives from businesses across the region covering sectors such as construction, accountancy, law, market research, leisure and business services.
Recent research shows that 82% of business leaders don’t believe their company faces any legal risk from non compliance with the new Age Discrimination Legislation*, however the findings of the session confirmed that if business fail to address key issues and put into effect the new legislation it could prove very costly. For instance, if a company is taken to court by a disgruntled employee, from whatever end of the age spectrum, the effects are likely to be far reaching; they could even mean closure for the company depending on the financial settlement. As well as being aware of the legislation, businesses need to understand the far reaching implications of not complying which could see them losing everything they’ve worked hard to establish.
Another recent study by the Chartered Institute of Personnel and Development (CIPD) found that age discrimination was widespread in UK organisations. Nearly a quarter of those surveyed (22%) admitted that age has an impact on their own recruitment decisions and six in ten respondents (59%) reported that they have been personally disadvantaged at work because of their age. Such findings clearly demonstrate the need for SMEs to think long and hard about implementing a policy that works for them and their employees. The group agreed that this shouldn’t force companies to employ people from all age groups, if they were not suited to the organisation or, indeed, the job role. Instead, the most suitable person has to be found for the job and any policy has to protect both sides of the fence and offer a degree of flexibility to all.
Many companies are already changing the way they operate by introducing more flexible working patterns, such as four day weeks for certain employees or homeworkers. However flexible approaches need to be balanced out with what works for the company. Many ‘new’ industries such as media typically have a younger work force and this is countered by the fact that market forces tend to ‘select’ the age of the workforce in a company or industry sector. Staff recruitment is going to be one of the most important aspects that employers have to get right, as Ryan Air found to its cost when the company was fined 8,000 euros when it advertised for a ‘young and dynamic’ professional. The Equality Officer found that the words amounted to overt age discrimination and the case is now cited time and time again as an example for employers to consider when wording job adverts.
The group all agreed that Age Discrimination is going to affect the way that companies are run and the make up of employees and that this will add to the already large burden on SMEs. However, it was further agreed that prevention is better than the cure and companies should take time out to implement policy, be it large or small, to ensure the safe keeping of the business and to make the most of the diverse workforce available at its fingertips. Any potential minefields can be easily addressed in the right way through the various guidelines already available.
As a leading provider of online training to SMEs, learndirect business is well placed to identify and address topical issues such as that of Age Discrimination and has responded in a practical way by launching a one hour online ‘Age Awareness’ eCourse.
Michelle Lofthouse, Director of Business Development at Ufi, the company behind learndirect business, and one of the attendees at the roundtable, comments: “This course is an example of e-learning at its very best. It’s designed to be engaging and informative for the user by fusing interactive questioning with real life scenarios. As an organisation we want to switch employers on to the benefits of e-learning as a more flexible way of training, giving businesses a quicker and more economical route to compliance”
Angela Gorton, Head of Employment Law at Fox Hayes, a leading Leeds based solicitors, said: ‘It was very beneficial to attend this event, debate the issues and share views with SMEs. It is clear that there is still a great deal of uncertainty amongst SMEs as to what the new legislation means for them and concern as to the effect the legislation will have on their business. With 8,000 cases predicted to be brought in the next year and discrimination claims having no limit on the award of compensation that can be made, it is essential that firms act now to audit their policies and procedures and educate their staff to prevent against costly claims arising.”
Information about the learndirect business Age Awareness course can be found at www.learndirect-business.co.uk/agediscrimination/ [0]
*Research conducted by law firm Browne Jacobson, 26/09/2006