HomeSector ReportsNorth East VisionSpring 2008

Law firm launches innovative employment protection scheme

THE ever-changing requirements of employment law can create a burden for many SMEs in the region, but with its new Mi Shield employment package, commercial law firm Muckle LLP has created a solution to lighten the load.

Most business people are convinced they have enough to worry about.

But legislators, both in the UK and Europe, keep providing them with new headaches, especially when it comes to employment legislation.

European directives on equality law and age discrimination have been translated into English law, and the creation of a new Equality and Human Rights Commission have all led to – or are likely to lead to – new demands on employers.

Not only has this made the management of HR more complicated, it has also raised the stakes for getting it wrong. This is particularly so for the smaller and medium-sized businesses which are less likely to have the time and resources to devote to an increasingly important area.

For unfair dismissal, an employer can face a maximum compensatory award of £63,000, plus a maximum basic award of £9,900. A breach of contract/wrongful dismissal could bring a maximum award of £25,000. Those claiming for injury to feelings can claim up to £25,000, while discrimination claims – on the grounds of sex, race, disability, sexual orientation, religion or age – can entail potentially unlimited compensation.

All this is in addition to the potential losses of management time, staff morale and of course corporate reputation.

But Muckle LLP with its strong SME client base, has been increasingly aware of the HR concerns of business people in the SME sector.

The firm recently recruited Mike O’Beirne, an expert in employment law insurance, as new business manager for employment services.

Mike and the firm’s employment services group have conducted extensive research and consultation and have created a unique HR solution for the SME sector – Mi Shield.

Tailor-made for the employer, Mi Shield provides, for a fixed annual cost, a comprehensive package of employment advice and cover against costs and awards.

"The product deals with all day-to-day employment law needs, starting with recruitment and going all the way through to the ending of an employment relationship," says Mike.

"We start by giving the client a full audit and review of their employment documentation and will recommend amendments to policies, procedures and contracts as necessary."

The clients also get unlimited access to Muckle LLP’s expert employment law team for advice on a wide variety of personnel matters such as how to handle disciplinary and grievance hearings and how to manage sickness absence and performance issues.

In addition, they get cover for tribunal costs and awards up to £100,000 (to an aggregate annual total of £1m) and access to Muckle LLP’s HR Smart Room, a web-based product designed to give 24-hour guidance and support.

Muckle LLP also provides employment law updates, training seminars and e-newsletters covering recent employment law developments.

"Mi Shield gives the client complete peace of mind," says Mike. "In the event of a claim they are fully covered, one of our lawyers will deal with the claim from start to finish, all the advice is provided, all negotiations are handled and all costs and expenses and any awards are
covered.

"It also helps to prevent matters ever going to tribunal by helping the client keep up-to-date with legislation and best practice."

The level of premium is calculated according to the number of employees, annual payroll costs and claims history.

"Mi Shield gives the client effective management of their employment risks at a fixed fee with no hidden costs," says Mike. "It makes budgeting straightforward and, as payments can be fixed at a monthly, quarterly or annual basis, it can accommodate cash flow requirements.

"Muckle LLP has an enviable regional reputation as a leading provider of legal services to the SME/owner-managed sector and we have specifically tailored this product to meet the requirements of those businesses. Mi Shield meets a growing need, particularly if the economic climate becomes less favourable and company restructuring becomes an issue.

"Through Mi Shield we can relieve much of the burden on businesses and we are excited to be able to offer it to our clients."

:: For further information on Mi Shield, contact Mike O’Beirne, new business manager employment services, on (0191) 244 2955 or 07515 062 888 or email mobeirne@muckle-llp.com