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Probe launched on potential menopause discrimination in workplace

A Government inquiry has been launched to determine if workplace discrimination is taking place after nearly one million women have left their jobs because of menopause problems.

Due to the large proportion of women leaving the workforce, the cross-party Women and Equalities Committee launched an inquiry to scrutinise existing legislation and workplace practices around the menopause and the impact it is having on gender equality.

The menopause is a natural stage of life for women, usually in their late forties/early fifties. It can also happen earlier or later. For many women symptoms last about four years, but in some cases can last longer – up to 12 years.

Menopause is not just a female issue, it’s an organisational issue. All managers need to know about it and how they can support their staff. Awareness on this topic is fundamental and reducing the stigma attached to it is vital so that more people will talk openly about it.

According to committee chair, Caroline Nokes MP, three in every five women are negatively affected at work as a result of the menopause, and it is having a knock-on impact on the number of women in senior positions, as well as the gender pay gap.

She explained: “The repercussions of that are not merely individual. Excluding menopausal women from the workplace is detrimental to our economy, our society and our place on the world stage.

“Despite the fact that hundreds of thousands of women in the UK are currently going through the menopause, a process that can be both physically and mentally draining, it is ignored in legislation.”

In its inquiry the committee seeks to uncover the nature of menopause discrimination, review whether existing legislation needs to change, and consider the difficulties of going through menopause faced by those who do not identify as women.

It is currently calling for evidence from organisations and individuals about the way things are currently done.

The Advisory, Conciliation and Arbitration Service (Acas) has provided guidance and says menopause symptoms can include:

  • feeling tired and lacking energy
  • hot flushes
  • feeling anxious and panic attacks
  • struggling to concentrate or focus
  • headaches including migraines

Its guidance includes tips for workers on how to raise any concerns and good practice for employers to help manage menopause at work. Top tips include:

  • create and implement a menopause policy
  • provide awareness training for managers to deal with any concerns in a sensitive way
  • create an open and trusted culture within the team
  • make changes where possible such as altering working hours
  • implement low-cost environmental changes such as providing desk fans
  • be aware of employment laws that can relate to menopause issues at work such as the risks of sex, disability or age discrimination.

Acas is a Government body set up to improve organisations and working life through the promotion and facilitation of strong industrial relations practice.

For help and advice on matters relating to employment law, contact our expert team today.

Take advice when buying residential property through a limited company

Buying residential property through a limited company or transferring a property to that company, can seem like a good way to save on tax, but a number of factors need to be considered.

It used to be the case that only a tiny minority of investors would buy a house through a limited company.

However, with changes to the accessibility of mortgage interest tax relief over the past few years, that number has grown substantially.

Under these changes, the majority of individual investors only receive mortgage interest tax relief at a rate of 20 per cent on buy-to-let mortgages, but limited companies continue to benefit from 100 per cent tax relief.

What’s more If you are a higher rate taxpayer renting out a property as a private individual, you will pay up to 45 per cent of your rental income in tax, so it would seem to make sense to buy through a limited company, which incurs a lower rate of Corporation Tax – currently 19 per cent.

Some property investors buy property and retain it as a long-term investment. In these circumstances, when a residential property is sold, the gain arising will usually be subject to CGT of 28 per cent (2021/22) unless you are a lower rate taxpayer in which case you will pay the lower rate 18 per cent.

However, property disposed of via a limited company could benefit from Asset Disposal Relief (formerly known as Entrepreneur’s Relief), which could lower this amount to just 10 per cent if the right circumstances are met.

The current Stamp Duty Land Tax (SDLT) holiday, which is running from 1 July 2021 to 30 September 2021 at a lowered nil rate band of £250,000, will return to the standard amount of £125,000 on 1 October 2021.

The rate for a second home incurs a further charge, but there is still time to act and make savings by transferring properties into a limited company at a lower cost and benefit from mortgage interest relief.

The benefits seem obvious, but make sure you contact your accountant before making any move as they can guide you through the pros and cons.

A big advantage is that if you run your buy-to-let business as a limited company, it will be legally separate from your personal affairs, meaning that you aren’t personally liable for any losses.

Also, by making family members shareholders in your limited company you could also minimise the amount of inheritance tax they would face paying.

On the downside of buying through a limited company, you will incur costs associated with running that firm and have to deal with the Companies House rules and requirements.

Things to consider

Capital Gains Tax

Unless you set up your company before purchasing your buy-to-let property, you will need to sell your second home for repurchase by your limited company. Doing this can trigger CGT if the value of the property has risen since its original purchase.

Stamp Duty Land Tax

Stamp duty is also payable on the repurchase of the property. In addition, anyone buying a second home is subject to a three per cent surcharge on the rate of stamp duty owed, while overseas investors could face an additional two per cent surcharge on top of this, if they are classed as a non-resident landlord.

Higher mortgage fees

Changing the ownership of the property could also mean changing your mortgage if you have one. This could trigger early repayment fees as well as additional legal and valuation fees.

Costs of running a limited company

Once your company is registered you will need to prepare accounts and submit company tax and corporation tax calculations to HMRC. You may need the services of an accountant to complete these tasks.

For help and advice with residential property matters, please get in touch with our expert team today.

Future Fund: Breakthrough scheme opens for applications

A new corporate finance scheme will help technology scale-ups bring new and innovative products to market, it has been revealed.

The report comes after the Future Fund: Breakthrough scheme opened for applications this week.

According to HM Treasury, the £375 million initiative will support research & development (R&D) intensive firms grow in the wake of the coronavirus pandemic by combining Government and private investment.

To be eligible for finance, businesses must have commitments of 70 per cent of an investment round from private investors – such as venture capitalists – with a “track record of financing innovative companies”. The Government will then finance the remaining 30 per cent.

The firm must be working in a breakthrough industry, such as the life sciences or clean technology sector, and be seeking at least £30 million in investment to apply.

Companies must also have raised at least £5 million in previous funding rounds and be based in the UK with “significant UK operations”.

Commenting on the scheme, Business Secretary Kwasi Kwarteng said: “The original Future Fund was a tremendous success in helping cutting-edge firms to get the fuel in the engine they need to really motor forwards, and we are building on that with the fresh Future Fund: Breakthrough scheme.”

The Chancellor of the Exchequer Rishi Sunak added: “Our Future Fund: Breakthrough scheme will enable innovative businesses in every corner of the UK to access the finance they need to scale up and bring their transformational technologies to market – all while creating high-skilled jobs and boosting the economy as part of our Plan for Jobs.”

For more information about the Future Fund: Breakthrough scheme, please click here.

For help and advice with related matters, please get in touch with our expert corporate finance team today.

Employers urged to carefully manage phased return to work

Employers are being encouraged to take a sympathetic view to employees returning to the workplace, now that virtually all restrictions in England have been lifted.

With no social distancing and no more mandatory mask wearing, firms are having to consider how to bring employees back to the workplace safely.

The UK Government said the high uptake of the COVID-19 vaccination has meant the risk of catching and transmitting the virus has decreased, and the return to offices has been encouraged.

Prime minister Boris Johnson said: “We don’t expect that the whole country will return to their desk as one, but we anticipate a gradual return to the workplace over the rest of the summer.”

Ben Willmott, head of public policy at the Chartered Institute of Personnel and Development (CIPD), a professional association for human resource management professionals, said employers should follow Government recommendations for a gradual return to workplaces for those who have been working from home or furloughed.

He said: “Employers’ duty of care to all staff should be at the heart of their plans if they are making changes following the end of restrictions.

“This means organisations continuing to risk assess and take measures to protect their workers from COVID-19 such as steps to minimise contact between staff or with customers to manage COVID-19 risk in the workplace.”

Mr Willmott advised employers to use lessons learned from the pandemic, applying flexibility to support and manage the workforce during this transition phase and beyond.

For example, he said: “Provide flexi-time where possible so people can commute at different times and continue the shift to more home and hybrid ways of working.

“It’s important to recognise that many people might be anxious or worried about returning to their workplace and employers should support their mental wellbeing by ensuring line managers provide flexibility, support and understanding where people have concerns.”

Usdaw, the union for retail workers, has advised that 85 per cent of shop workers have experienced verbal abuse and nine per cent were assaulted during the pandemic.

Many public-facing businesses will have to assess whether wearing facemasks is mandatory, discretionary, or prohibited based on the health and safety risk assessment of their workforce.

They will also need to take account of the views of their workforce and the impact such decisions will have on their business and clientele.

Tony Prevost, director at e-learning and support provider Skillsoft, said that if employers want to ensure their entire staff is vaccinated and wants to include a vaccination clause in an employment contract, that could create a minefield of problems for HR teams.    

He said: “As employers turn their attention to getting employees back into the office, mandatory COVID-19 vaccinations present a minefield of compliance and discrimination issues.

“Employers are now in uncharted territory and contracting with employees based on their medical history may have far reaching consequences. This issue is much more complex than ‘no jab, no job’.”  

HR teams’ number one priority is to make sure the working environment is safe for everyone, Mr Prevost added.

For help and advice on matters relating to employment law, contact our expert team today.

Employers more generous with parental leave

Employers are three times more likely to offer generous and extended parental leave than three years ago, according to new research by job site Indeed.

While employers are legally obliged to give new parents paid leave, the number of job descriptions mentioning staff benefits over and above the statutory minimum has continued to rise.

The number of vacancies advertising an enhanced parental leave package has increased by 201 per cent on Indeed since 2018.

Sej Khetani, the job site’s senior business partner, said there are several reasons why more and more companies have improved their support.

He said: “Balanced policies lead to happier families, which is better in the long-term for both workers and companies.

“Progressive programmes give families the support they need to be there for the crucial first months of a baby’s life and reassures them that their employers value and support their lives outside the office.”

Mr Khetani said generous schemes send a clear message that employers care about the health, wellbeing, and quality of life of the people and families that power their company.

“From a business perspective it has also become a valuable differentiator when attracting talent.

“It isn’t just the right thing to do, it’s good for business and paid leave programmes increase worker retention and reduce turnover,” he explained.

Looking ahead, Mr Khetani said that the post-pandemic UK will likely see an increasing number of employers offering more generous parental leave policies to retain existing staff and to be seen as an attractive employer of choice.

“The pandemic has altered the ‘norm’ of working nine to five and we will see more agility and flexibility of working hours.

“This increased level of flexibility, including more roles being eligible for remote/part-time and the potential for a shorter working week, will be a huge support to parents.”

Mr Khetani said these types of shifts can help support women progress up through the career ladder.

“It can help them to take up more senior positions, which would then hopefully show progression in gender pay gap reporting,” he added.

To get parental leave for your child, you must:

·  be legally classed as an employee

·   have worked for your employer for a year or more

Each parent can take up to 18 weeks for each child. If you take it, it should be:

·   in blocks of a week at a time

·  a maximum of 4 weeks a year for each child

You must ask your employer 21 days before the date you want to start parental leave.

For help and advice on matters relating to employment law, contact our expert team today.