Keenan and Riches’BUSINESS LAW

Chapter 16Employing labour

(a)The members of the board are concerned as to

whether they are taking appropriate steps to

communicate with the employees as to how the

company is fulfilling its obligations under Health

and Safety legislation. You are asked to write an

explanatory memorandum for the next board

meeting as to the legal requirements and

indicate the steps which the company should

be taking.

(b)It appears that Foundry Ltd employs 100 women

and 50 men in an area where there is a large

number of immigrant families. The managing

director appears to have paid little or no

attention to sex, race and equal pay legislation.

The board, which is concerned about this, asks

for an explanatory memorandum, again, for the

next board meeting, summarising the main

provisions of the relevant legislation and setting

out procedures which the company should

adopt to ensure that the law is complied with.

6 John is one of the employees of a firm in which you

are a partner. He suffers badly from arthritis. He has

been employed for ten years. However, he has had a

number of absences of two to three weeks’ duration

over the past three years.

John is employed as a shop assistant and the

manager of the shop has just informed you that John

has now been off work for eight weeks with arthritis

and is still not fit to come back to work. The

manager wants to write to John telling him that

he is dismissed.

Prepare a note for your next partnership meeting

as to the legal position if John is dismissed.

7 Alan worked for ten years for Pleasant Ltd. It

was taken over 18 months ago by Aggressive Ltd

and Alan continued in his job. He has found the

management of Aggressive Ltd to be very difficult

and domineering. Amongst other things, the

management has asked him to work in the stores

issuing and accounting for equipment issued to

Aggressive’s employees. Alan feels that he has

not been trained to do this and has given in

his notice.

Advise him as to his rights.

8 The company of which you are secretary makes

components for cars. Business has fallen off lately

and the board has decided that it will have to

dismiss 120 employees during the next five weeks.

Write an explanatory memorandum to the board

regarding any legal requirements there may be in

terms of:

(a)notification of the redundancies;

(b)selection of employees for redundancy;

(c)amounts of compensation that may be involved;

(d)the consultation requirements.

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1 (a)Explain by reference to case law how the

courts make the distinction between a

Definition and nature of a partnership

services. What is the importance of this

distinction?

(b)Fred is employed by Dan’s Garage. John,

a customer, fills up with petrol and goes to

pay. Because of a mechanical fault there is a

difference between the value of the sale shown

by the pump and that shown by the terminal

which Fred is using. Fred insists that the pump

is wrong and that the value of the sale is £5

more than the pump is showing. There is an

argument and suddenly Fred gives John a

punch which breaks his nose.

John is now claiming against Dan on the basis that

he is liable for the damage resulting from the assault.

Explain the legal position to Dan.

2 Jane has recently taken up employment as an

accounts clerk at Bodge Builders’ warehouse. She is

the only female employee at the premises. Jane has

complained to Joe the foreman that she is constantly

being subjected to remarks by some of the male

employees comparing her physique and sexual

attractiveness unfavourably with a large number

of female pin-ups which the men have posted

conspicuously in various parts of the warehouse

that can be seen from Jane’s office.

Advise the management in terms of liability.

Specimen examination questions