Whistleblowing Updates
Whistleblowing legislation has been in place in Ireland since 2014 as a result of the Protected Disclosures Act 2014 (the "PD Act"), a major development at the time, which introduced significant legal protection for employee whistleblowers and consequently new and serious obligations for employers. As a result of the EU Whistleblowing Directive, the 2014 Act has been significantly updated and enhanced through amending legislation which became effective on 1 January 2023.
What impact did the updated whistleblowing legislation have in Ireland?
While many of the elements required by the Directive were already covered under Irish law, the Irish Government introduced the Protected Disclosures (Amendment) Act 2022, which amends the existing 2014 PD Act.
The updated legislation includes a number of key enhancements to existing whistleblowing protections and measures, such as:
• Widening the scope of individuals who are afforded protection beyond employees to include volunteers, interns, job applicants, suppliers, shareholders and non-executive directors
• Expanding the ambit of "relevant wrongdoings" for the purposes of whistleblowing by encompassing breaches of EU law in various prescribed areas including public procurement, financial services, product safety, transport safety, food safety, animal welfare, public health, consumer protection, privacy and protection of personal data. – it excludes interpersonal conflicts which concerns the worker exclusively
• Considerably extending the definition of "penalisation" to include acts such as failing to convert fixed-term contracts, negative performance assessments and psychiatric or medical referrals
• Extending the existing injunction style interim relief potentially available in dismissal cases to make it potentially available in other penalisation situations
• Reversing the traditional burden of proof. Where a worker alleges penalisation, the new legislation shifts the burden to the employer to prove that the employer' actions were based on justified grounds and not because the worker made a protected disclosure
• Requiring that certain private sector employers must have whistleblowing procedures and internal channels on the following basis:
o Private entities with more than 250 employees – from 1 January 2023
o Private entities with between 50 - 249 employees – from 17 December 2023.
o All public sector organisations are already required to have a formal whistleblowing policy in place under the existing legislation
• Imposing strict timeframes on employers for acknowledging, following up and providing feedback to whistleblowers
• Establishing a Protected Disclosures Commissioner
Are employers required to process anonymous disclosures?
Employers are not obliged to accept or follow-up on anonymous reports. However, an anonymous whistleblower is still entitled to protections if their identity subsequently emerges.
What other things should employers in Ireland be thinking about?
The new legislation signals a significant change in approach to whistleblowing in Ireland.
Many employers should have reviewed existing policies or prepared new procedures. Training and awareness, especially for management, is also key.
By ensuring that effective internal whistleblowing channels and procedures are in place, organisations will have an opportunity to become aware of concerns at the earliest stages, helping to avoid or limit financial and reputational risks.
Pregnancy in the workplace: What employers need to know
The Maternity Protection Act 1994 to 2004 states that employees qualify for maternity leave including casual workers. Employees do not need to have completed a specific length of service to qualify. Contractors do not qualify for maternity leave.
The current entitlement under the statutory scheme is that an employee can avail of 26 weeks of ordinary maternity leave and 16 weeks of unpaid additional maternity leave. During the 26 weeks of maternity leave, 2 of these must be taken before the baby’s expected birth date and 4 weeks must be taken after the baby’s birth.
Pregnancy in the workplace
Once the pregnancy is confirmed in writing including details of anticipated due date and any relevant medical details, employers must allow employees to take reasonable time off to attend medical visits related to that pregnancy. Employees are required to give 2 weeks written notice in advance of each appointment and an employer can request to see the appointment card. There is no cap on the number of appointments that may be available or the extent to which an employee can take paid time off in relation to these appointments. Employees can take paid time off to attend one set of antenatal classes.
Fixed term employees are entitled to avail of the full statutory entitlement of maternity leave. If the contract of employment date of termination falls within the 26-week window, it is extended until the end of the 26 weeks.
Maternity benefit is not a break of service so employees accrue public holidays, annual leave etc. as well as being entitled to their full suite of rights as they would be if they were working normally.
Maternity leave can start automatically either if the employee is absent from work wholly or partly because of their pregnancy at any time from the beginning of the four weeks before the start of their expected week of childbirth or when the employee has given birth naturally at that before maternity leave kicks in.
The maternity rate benefit as it stands is €262 per week for 26 weeks. It is the duty of the employer to inform the employee when their maternity leave will come to an end. If the employer receives notice that the employee seeks to avail of the additional 16 weeks of unpaid maternity leave, they would need to furnish the employee with the new end date and this notice is to be sent to the employee in writing within 28 days of receiving the initial notification. Employers are required to sign the MB 2 certificate as this is essential for the employee to avail of maternity benefits and return it to the employee.
A health and safety risk analysis must be conducted in relation to the employee intending on taking maternity leave and their workplace. Employers are required to identify any risk and either remove the risk or create an arrangement for the employee in which they are not exposed to this risk. Employees are covered by the protections of the Maternity Protection Act. If there are no options to accommodate an employee by removing the risk or creating new arrangements in the workplace, then the employer must give the employee health and safety leave from work which can continue until the beginning of maternity leave. The first three weeks of wages as part of health and safety leave must be paid by the employer. After this, the health and safety benefit is paid and depends on PRSI payments amongst other things.
Employees on maternity leave or additional maternity leave cannot be made redundant while they're on leave and if this happens the employee can bring an unfair dismissal claim to the WRC.
After the employee has given birth
After the employee has given birth and they seek to return to the workplace, the employee is entitled to return to the same position they held before maternity leave on the same terms and conditions. If circumstances in the workplace have changed and it's no longer possible to accommodate this, an employee has the right to a suitable alternative position. The work being done must be of the same kind that the employee did before availing of maternity leave.
Employees who are working and are breastfeeding are entitled to take one paid hour off work each day for the 104 weeks following the birth of a child. It can be taken in the examples below:
• One hour break
• Two 30 mins breaks
• Three 20 mins breaks
A private space if at all possible, should be provided for employees to avail of these breaks over the course of the entitlement.
The 5 Day Statement
Within the first 5 days of starting a job, employers must give employees part of their ‘written statement of terms of employment’. This written statement must include the core terms of employment and is also referred to as the 5 Day Statement.
Within 1 month of starting the job, employers must give employees the remaining terms of employment in writing (such as entitlement to annual leave).
The 5 Day Statement
The 5 Day Statement includes:
- The full names of the employer and employee
- The address of the employer
- The place of work, or where there is no fixed or main place of work, a statement stating that there are various places or employees are free to set their own place of work or to work at various places
- The date the employment started
- The job title, grade or nature of the work (such as a brief job description)
- The expected duration of the contract (if the contract is temporary or fixed-term)
- The rate or method of calculating pay, and the ‘pay reference period’ (for example, whether you are paid weekly, fortnightly or monthly)
- What the employer reasonably expects the normal length of the working day and week to be (for example, 8 hours a day, 5 days a week)
- The duration and conditions relating to the probation period (if there is one)
- Any terms or conditions relating to hours of work, including overtime
The right to get the core terms of employment (in writing) is set out in the Employment (Miscellaneous Provisions) Act 2018 and updated by the European Union (Transparent and Predictable Working Conditions) Regulations 2022. Employers can face serious penalties if they do not comply.
Employers must sign and date the ‘written statement of terms of employment’, but there is no legal requirement for employees to sign it. Employer must keep a copy of the written statement throughout employees employment, and for at least a year after it ends.
Managing Annual Leave Requests
With summer coming along soon, annual leave requests may be more frequent however when does an employee’s time-off become an issue? How should managers handle the discussion? Here’s what you need to know and do.
Firstly there are 3 things to consider.
- Communication: Establish well-defined policies about annual leave and make sure everyone in your organisation knows them. Clear policies lead to easier decisions when unusual requests arise.
- Respect: If annual leave policies don’t cover a particular issue, respect your employees by striving to be fair and compassionate in making a decision and presenting it to them.
- Clarity: Do your employees take it for granted that their annual leave requests will be approved? Make sure their expectations are based on actual policies, not informal beliefs based on past behaviour. Again, communication is essential.
There are also some times when you may need to speak with your employees regarding their requests. Consider talking directly with them under any of these circumstances:
- When the request contradicts company policy: You may need to make occasional exceptions to your annual leave policies, but strive to be consistent in how you enforce the rules. Document the reasons behind your decision when exceptions do arise so you can easily resolve similar situations in the future.
- When you believe the employee’s absence will have a negative impact: What if a worker wants to go on holiday during a crucial time for your organisation? Instead of simply denying the request, explain the difficulties their absence might cause. Together, you may be able to find a better time for their request.
- When an employee wants to much time off at once: How long is too long? That depends on your needs and the nature of the employee’s request. It’s one thing if they want to sail around the world, and another if they’re requesting time to care for a sick relative. As you discuss their request, remember that a lengthy absence can burden co-workers who have to pick up the work.
- When an annual leave request comes with too little notice: Sick days and emergencies can happen to anyone, but an employee who takes frequent last-minute personal days and trips can cripple productivity and impact team morale. A discussion about the effects their behaviour is having on the team can help the employee understand why they need to plan further in advance.
- When annual leave requests aren’t happening enough: Problematic annual leave requests are easy to spot, but there’s an annual leave issue that’s often over looked - many employees don’t take as much time off as they should. Overworking can take a toll on an employees health and happiness, as well as their job performance. Make a habit of looking at annual leave allowances, and talk to your team about the benefits of taking leave to help foster a culture where time off is encouraged and over-working and burnout is discouraged.
You should ask yourself some questions as well to establish annual leave rules that meet both your business needs and the needs of your employees.
- How far in advance must employees request time off?
- Do you have a formal system for requesting time off?
- Are there times when employees can’t take time off?
- How do you handle overlapping requests from different employees?
- How do you keep track of who has taken time off and how much?
You can find more information on annual leave requests here.
Improving Employees Wellbeing at Work
Employee wellbeing is essential to ensure employees are happy in their job. It is the way employees’ duties, expectations, stress levels and working environments affect their overall health and happiness.
Employee wellbeing involves several categories of wellness, such as:
- Physical Health
- Emotional Health
- Psychological Well Being
- Social Relationships
- Financial Stability
To check how your employees feel with the wellbeing in the workplace, employers should send out a survey to find out information on how employees currently feel as well as what they think can be done to improve wellbeing.
Some ways in with employers can improve wellbeing is by:
- Social club: companies can set up socials clubs where money is deducted from employees pay check and this goes towards activities that the club run on a regular basis such as a bowling night, crazy golf etc.
- Walking meetings: if there are meetings ran, allow employees to pop in the headphones and walk and by the time the meeting is over there have got their steps in and some fresh air.
- Have an intranet: an intranet is a great place to have free resources or information for employees that can improve their wellbeing. On the intranet you can include information on services your company provides such as EAP, healthcare etc. You can include link to risk assessments on Type 2 Diabetes, lung cancer etc as well as apps for mindfulness such as Headspace or Moodlight.
- Giving back to employees: it is important for employees to be recognised for the wonderful work they do. Employees should consider some benefits for this work such as allowing employees to finish early one day.
Employees wellbeing initiatives are something that need to be done all year round in order to keep your employees wellbeing at a high.
For more information on wellbeing check the blog below:
The Work Life Balance and Miscellaneous Provisions Bill
The Work Life Balance and Miscellaneous Provisions Bill 2022 (“the Bill”) aims to increase the participation of women in the workplace and the take-up of family-related leave and flexible working arrangements by all. The Directive aims to encourage a more equal sharing of family related leave between men and women.
Right to request flexible working
The General Scheme proposes the introduction of a right for employees with children up to the age of 12 (or 16 if the child has a disability or long-term illness), and employees with caring responsibilities, to request flexible working arrangements for a set period of time for caring purposes. The General Scheme goes further than the EU Work-life Balance Directive (the Directive) and will apply to children up to 12 years old (or 16 as outlined above). The EU Directive provides this right for parents with children up to 8 years old.
Under the current draft, the employee requesting flexible working arrangements needs to have six months’ service with the employer before they can make a request and must make the request at least six weeks before the arrangement is intended to start. Employers must consider the request and will have four weeks to respond. They can either grant, postpone or refuse the flexible working arrangement and will be required to provide reasons for any refusal or postponement. In certain cases, the time period to respond can be extended by a further eight weeks.
Requests can be postponed for six months where an employer is satisfied that the commencement of the arrangement would have a substantial adverse effect on the operation of the business because of:
- seasonal variations in the volume of work
- the unavailability of someone to carry out the employee’s duties
- the nature of their duties
- the number of other employees availing of flexible working arrangements
- any other relevant matter
Flexible working arrangements will need to be documented in an agreement.
At the end of the flexible working arrangement, the employee is entitled to return to their original working arrangements, hours or patterns (employees are also entitled to request an early return to their original working arrangements).
Leave for medical care purposes
The General Scheme proposes the introduction of five days’ unpaid leave, per year, per employee, where, for serious medical reasons, the employee is required to provide personal care or support to family members or loved ones such as a child, spouse, cohabitant, parent and sibling. This leave cannot be taken in periods of less than one day and the employer may request evidence of the employee’s relationship with the person needing medical care, the nature of the medical care required and medical certification of the serious medical issue. This right is in addition to existing entitlements under the Carer’s Leave Act 2001 and force majeure leave.
Extension of the period during which time can be taken out from work to breastfeed
The General Scheme proposes an extension of the period from 26 weeks to 104 weeks following the birth of a child during which employees have an entitlement to paid time off from work or a reduction of working hours for breastfeeding purposes.
The Work Life Balance and Miscellaneous Provisions Bill was signed into law on the 4th April 2023. More information on the Bill can be found here.
Lay offs: What you need to know
As unpredictability in the global economy continues, company layoffs remain in the news. While layoffs may be necessary and appropriate, in many cases they cause more damage than benefit. Some leaders taken actions to reduce risks to company performance, reputation and long-term viability. What can we learn from these actions?
1. Be clear in the reason for layoffs
When it comes to lay-offs, some are strategic and forward-looking with higher valuations and others are focused solely on cost cutting. Examples of strategic reasons for lay-off include exiting less profitable sectors, products or markets due to changing customer habits. Businesses who are transparent regarding the reasons for layoffs see an increase in investor, customer and employee trust and engagement.
2. Use layoffs as a last resort
Most organisations that conduct layoffs do not see improved profitability, especially those that are highly reliant on innovation and growth. Leaders often underestimate the negative impact of layoffs on productivity, employee engagement, retention and brand reputation.
Effective leaders know that they should pursue all possible alternatives before embarking on layoffs, including temporary furloughs, redesigning jobs and work models, moving some workers to contractor status and offering more flexible benefits to create cost and operational flexibility.
3. Act fairly
Layoffs historically have had a negative impact on women and underrepresented employees. Recent news stories show the effect of layoffs among employees on maternity and health leave, as well as those in vulnerable positions with visas.
Reasons cited as acceptable for determining who is laid off include factors such as employee performance, tenure, experience and skill set. Effective leaders know that evaluating performance, skills and other factors is difficult and time-consuming, and that maintaining ongoing performance evaluation and review processes can position companies well for both ongoing and unanticipated events.
4. Know the people being laid off
Great leaders spend the time and thought required to understand not only who they are laying off but also why and the potential impact. They conduct workforce planning exercises using data science to understand employee performance, skills, networks and collaboration patterns to safeguard against losing key talent and creating unintended consequences.
5. Take responsibility and show appreciation
Leaders must ensure they take responsibility for layoffs and show appreciation for those impacted. They demonstrate their empathy and compassion through all communications. They understand their audience, allow opportunity for employees to process the information and share their feelings, and provide support and resources.
While layoffs are difficult for all involved, effective leaders handle them with care to avoid unravelling company purpose, culture and performance.
New Legislation Enacted and Proposed Bills or Initiatives
Quarter 4 of 2022 brought many proposed bills, initiative and legislations into place. These are outlined below.
The Payment of Wages (Amendment) (Tips and Gratuities) Act 2022
New Legislation Enacted
On December 1, 2022, the Payment of Wages (Amendment) (Tips and Gratuities) Act 2022 (the Act) came into effect. The Act introduced new requirements for employers regarding the distribution of electronic tips and gratuities, including the requirement to provide relevant employees with a policy on electronic tips and gratuities within five days of commencing employment. The Act applies to a number of sectors including tourism, hospitality, beauty and hair services, gaming, bookmakers, and transport services such as those provided by taxi or minibus.
Government Publishes Revised Work Life Balance and Miscellaneous Provisions Bill 2022
Proposed Bill or Initiative
In November 2022, the Government announced the integration of the Right to Request Remote Working into the Work Life Balance and Miscellaneous Provisions Bill 2022. The Bill is expected to be passed into law in the coming months.
As part of key changes proposed in the Bill, employees who have six months’ continuous service with their employer will have a legal right to request to work remotely. Employers will be required to either approve or deny the request within four weeks of receipt or eight weeks in certain circumstances. Employers are required to consider both parties’ needs and the guidance that will be set out in a Code of Practice.
Where an application is refused, an employer must inform the employee of the grounds for refusal in writing. Further, those with certain caring responsibilities will have a legal right to request flexible working arrangements. Additionally, the bill provides for paid domestic violence leave of up to five days’ paid leave in any period of 12 consecutive months.
Government Publishes Employment Permits Bill 2022
Proposed Bill or Initiative
In October 2022, the Government published the Employment Permits Bill 2022, which among other provisions proposes:
(i) The introduction of a new seasonal employment permit to cater for short term and recurrent employment situations in appropriate sectors;
(ii) Modernization of the labour market needs test requirement;
(iii) Additional conditions for the grant of an employment permit - such as training or accommodation support for migrant workers in some circumstances or making innovation or upskilling a condition of grant - where this may decrease future reliance on economic migration.
Gender Pay Gap Reporting – December Deadline
Upcoming Deadline for Legal Compliance
Employers with 250 or more employees on the June 2022 snapshot date were required to publish their gender pay gap reports over the course of December 2022, based on the June "snapshot" date they selected. In compiling their first report in-scope employers were required to publish information about the following:
• The mean and median gap in hourly pay between male and female employees
• The mean and median gap in hourly pay of part-time male and female employees
• The mean and median gap in hourly pay between male and female employees on temporary contracts
• The mean and median gap in bonus pay between male and female employees
• The percentage of male and female employees who received bonus pay;
• The percentage of male and female employees who received benefits in kind
• The percentage of male and female employees in each quartile pay band
Critically, such employers were also required to publish reasons for any differences and measures being taken (or proposed to be taken) to eliminate or reduce those differences.
While the reporting obligation initially only applied to organizations with 250 or more employees, this will reduce to 150 or more employees after two years, and 50 or more employee after three years.
Relevant Articles
Performance Improvement Plans: 3 top tips
Performance Improvement Plans (PIPs) are an increasingly common tool utilised by employers to manage cases of poor work performance. A PIP is not a legal requirement and there is no legal definition of same. A PIP can be understood to be a documented plan which outlines the improvements in performance required from an individual employee and the timeline for achieving these improvements.
Below are three top tips for employers when placing employees on a PIP.
1. Clarity on objectives
The objective of a PIP process is to make the employee aware of the concerns you have regarding their performance and give them a set timeframe in which to improve. It is important that employees are fully aware of the process involved and clear on what they are expected to achieve according to the PIP. When implementing any type of PIP, the goals and targets set should be SMART (Specific, Measurable, Achievable, Realistic and Time Bound).
2. Time to improve
A PIP of reasonable duration should ensure that the employer meets this requirement. This time may also allow the parties the opportunity to explore alternatives to formal disciplinary action such as transfer or demotion where it is apparent that the employee’s skillset is not appropriate to the role.
In deciding on the appropriate timeframe between performance reviews the business should consider the complexity of the role and if the employee will have had ample opportunity to meet the goals as per the PIP. It would also be advised that this timeframe should be agreed with the employee from the outset and that they consider it fair and reasonable based on their role.
3. Support and training
It is important to remember that PIPs only work where the appropriate surrounding structures are in place. These include a proper induction and *ongoing* training, clear role descriptions and clear documented targets/goals, managers who are willing to tackle underperformance and a means of objectively measuring performance. All supports provided should be documented by the employer.
Following the above steps will greatly assist an employer in showing that the performance management process conducted by the employer was procedurally fair and that any subsequent terminations on the basis of competency were justified in the circumstances. It is important to note PIPs are not a replacement for formal disciplinary action. Not all employees will show the necessary improvements following the PIP process, if this is the case, employers will need to initiate the Company disciplinary procedure. Employers must manage this process in line with the Company’s disciplinary policy, whilst adhering with S.I. No. 146/2000 - Code of Practice on Grievance and Disciplinary Procedures.
The Importance of Social Media Policies in the Workplace
A recent headline in the UK news linked to social media polices, revolved around Gary Lineker where his politicised tweet criticised the UK Government's new immigration policy. The tweet saw the BBC Match of the Day presenter removed from his presenting duties pending an investigation as to whether he had broken the BBC's *'Guidelines on Impartiality'* and *'Guidance on Individual Use of Social Media'*. The BBC subsequently reinstated Mr Lineker following the investigation. The difficult position the BBC found itself in is a timely reminder that employers should have effective social media policies in place to deal with such incidents.
What can we learn from BBC’s approach?
Reputational risk & disproportionate response
The BBC could not ignore the public backlash which followed Mr Lineker's removal and its impact on the organisation's wider reputation. It was widely felt that the decision to remove him was disproportionate to the purported breach of the BBC's policies.
Social media provides a place where public backlash can gain momentum and damage an organisation's reputation. This reputational damage could come from the employee or contractor's comments or, as we have seen in this instance, from the organisation's handling of subsequent disciplinary action.
Employers must have comprehensive policies to mitigate the risk that public remarks could adversely affect their reputation. Objective and fair investigation and disciplinary procedures must be in place where an employer feels an employee or contractor has breached these policies, and should a sanction be applied, it must be proportionate to the breach committed.
Solidarity boycott
Mr Lineker's colleagues announced a boycott of their duties in solidarity with Mr Lineker. This boycott forced the BBC to rethink its decision as it heavily impacted scheduled programming.
The BBC has since announced an independent review of its guidelines.
Key takeaways
The Gary Lineker story focuses on the difficulties that can arise for organisations in the social media age and shows us that the line between professional and private life is not always clear. It is a wake-up call for individuals to be wary of what they post online and for organisations to have clear social media policies in place so appropriate action can be taken where an individual does cross that line.
In summary, a social media policy should:
- Establish clear guidelines and standards on the accepted use of social media in the workplace.
- Contain clear information about disciplinary procedures for breaches and the potential consequences for such breaches.
- Warn individuals that employers may take disciplinary action with posts on their personal social media accounts where a connection can be drawn to their workplace.
