BriefingsMishcon de Reya Recruitment Watch - February 2008
WelcomeWelcome to the February 2008 edition of Mishcon de Reya's Recruitment Watch, prepared by the Firm's Recruitment Services Group. Its aim is to provide those involved in the recruitment sector with a snapshot of what has been happening in the world of recruitment in the last month. NewsPolicyRecruiters are concerned about the new money laundering regulations that will catch companies who do executive search or act as a payroll agency and require them to register with HM Revenue & Customs, otherwise they could face up to two years in jail. The trade union Unite has launched a public campaign to press supermarkets to improve working conditions for migrant agency workers in the meat packing industry and has particularly criticised Marks and Spencer paying temporary staff less and giving them worse employment terms than their permanent counterparts. Trends/PracticeThe Annual Reward Management survey by CIPD has shown that almost half of organisations no longer award across the board annual pay rises or cost of living adjustments for employees. CompaniesThe Takeover Panel has turned the competitive bidding for Imprint by OPD and Hydrogen into an auction after the situation failed to reach a resolution. Angela Campbell-Noe, chief executive, and Paul Billett, finance director, of executive recruitment agency Hat Pin have announced their resignations after accounting irregularities were found that led to the suspension of the company's shares. The Recruitment and Employment Confederation has appointed Harrison Winterburn to find its new chief executive. Recruiter, 30 January 2008 Robert Smith, the former managing director of Hays Construction & Property, has launched a new executive search firm for the construction sector called The Management Recruitment Group. Eden Brown has set aside £218,000 over the last two years to pay for fines after voluntarily admitting a breach of regulations to the Office for Fair Trading. Trinity Mirror plc has acquired the online job board The Career Engineer Limited, which specialises in the engineering sector, for an initial consideration of £1.9m and a deferred consideration of up to £400,000 dependant on achieving specific operating targets. Gap Personnel has acquired a controlling stake in HML Personnel, in a deal worth over £500,000. Legal DevelopmentsLegislationChanges to the immigration rules come into effect on 29 February 2008, which include changes to the statutory defence from conviction for employers if they can prove they check and record documentation, such as passports, requiring them to undertake repeated checks at least once a year for those employees who have the right to remain or enter for a limited period of time. CasesMerana James v Greenwich London Borough Council Servoca has agreed an undisclosed out of court settlement with three former senior managers after taking legal action against them for alleged breaches of their employment contracts, alleged breaches of their duties of confidence and alleged infringement of Windsor Training and Recruitment's database rights. Mishcon de Reya WorkshopsJennifer Lambe will discuss thetimings, implementation and impact of the Points Based System, focusing particularly on Tiers 1, 2 and 5; the duties and responsibilities that the new system will impose upon Employers; and how this overhaul in respect ofImmigrationpolicy and practicewill affect businesses within the recruitment sector and the employment of overseas nationals in the UK. Mishcon de Reya Mishcon de Reya's Recruitment Watch is published by the Recruitment Services Group of Mishcon de Reya Solicitors who were established to meet the demands of their clients within the recruitment sector. The Group is made up of cross departmental specialist lawyers who are able to meet the diverse legal needs of the recruitment industry, with wide and varied experience within the sector and who have a proven track record in being able to meet the growing demand for a one-stop service amongst their recruitment clients. |
IMPORTANT: This briefing note is only intended as a general statement of the law and no action should be taken in reliance on it without specific legal advice. |