How should employers avoid landing in HR deep water from the floods?

FOOTAGE of rescue boats in the centre of York, and of waters raging along Kirkstall Road in Leeds, are some of the images that have haunted the recent Christmas break.  But when the upset of flooded homes, ruined Christmas presents and temporary soup kitchens have subsided, where does this leave employers?

Flooding, snow and other adverse weather conditions cause headaches for employers.  What happens when employees cannot get into work as a result of flooded roads or train lines?  Where employees have no guaranteed hours of work, they aren’t entitled to be paid if they don’t turn up to work.  However, the position is less clear when employees are salaried or have guaranteed hours.  

One view is that employees who can’t get to work aren’t ready and available for work and so shouldn’t be paid, but some cases suggest that wages should be paid where absence is unavoidable.  Some contracts of employment or Staff Handbooks will clarify the position, but if not it is important to look at how the employer has responded in previous situations.

It’s bad for staff morale to refuse to pay those who can’t get to work through no fault of their own – but on the other hand, those who’ve made a superhuman effort to get in may resent those who’ve been paid when perhaps, with a little more determination, they could have made it.

Where employees have to stay off work to look after their children in an emergency, for example when flooding closes the local school, the situation is clear – they’re entitled to take unpaid time off work until alternative child care arrangements are made. 

Finally, what about the York pub and the factory on Kirkstall Road that had to close due to flooding?  Salaried employees, or those with guaranteed hours, are entitled to be paid if they’re ready and willing to work.

However, employers who had the foresight to include a lay-off clause in their employment contracts can tell their employees to stay at home.  All that they’re required to pay is a daily Statutory Guarantee Payment of £26 for up to five days in any three month period.

If the lay-off lasts for four consecutive weeks, employees are entitled to terminate their employment and claim a statutory redundancy payment.

Employers should consider putting in place policies or contract amendments that clarify the approach that they will take in the face of such disasters.