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Welcome to team holly blue employment law’s blog! Home of updates, news, banter, and most probably the trials and tribulations of a day in the life of the UK business employer.
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Personnel Today posted an article which covered the case of Khan & Anor v Landsker Child Care Ltd. The article was titled “Is it gross misconduct to set up in competition to your employer?” (http://www.personneltoday.com/Articles/24/08/2012/58758/Legal-opinion-Is-it-gross-misconduct-to-set-up-in-competition-to-your.htm) Well if it is not always gross misconduct, it is VERY annoying to say the least!
Reading this article brought a knowing smile to my face, and, dare I say, a small sigh of regret. When you have been on the receiving end of misconduct it can be a painful lesson that you will never forget, nor will you easily forgive the perpetrator.
Before I expand further on the above, it is both relevant and important not to lose site of the necessary actions points from the above case.
If you are an employer you need to know (not think about) what it is that you need to do to limit the damage caused when an employee decides to set up a business in direct competition to you? Note the term limit. I say this since it is impossible to guarantee that an employee will not steal your ideas and/or solicit your client base whether or not they have a water tight expressly written contract of employment or not. Anyone that tells you differently is quite frankly lying.
If you are considering employing the services of an employment law provider choose wisely and ensure any “promise” to keep you out of an employment tribunal or protected from your employee’s can live up to the reality of today’s dynamic and plentiful area of employment law.
The bottom line of what you need is” keep costs fixed and reputation intact” as there is never a guarantee that such a service will mean that you never end up in an employment tribunal. You do off course get a great case in which to defend any such claim but that is the best you are going to get I am afraid.
What is the point then? I hear you say, well, damage limitation is the point, it is always the point. As a business owner you need the foundations in place to deter any budding employee who wishes to assert a claim of unfair dismissal or constructive dismissal against you or who is of the opinion that they can do things better than you, and worse, use your ideas, clients and employee’s to do it.
Looking back at the article, the bottom line in the case (as in all others!) is to consider the why, and the grey area that masks the why!
For me personally, when a former client turned employee/colleague offered to help me “get my business of the ground” I did not think he meant whip it from under me. But we live and learn, albeit at a cost. The irony here of course is that this is what I protect other people from, and I did not see it coming in time to save myself. That’s the down side. The upside is that I will NEVER fall victim to this kind of situation again, and moreover it has given me a personal insight into how I can better protect my clients. It’s an experience you cannot buy, and, trust me; no self respecting business owner ever wants to experience this for themselves. So, everyone reading this may take comfort and have no fear, I have been there, done that, got the T shirt and you can all benefit from my harsh lesson. Every cloud and all that……..
If you need advice on anything employment related, call Holly Blue Employment Law…. HR people you can trust. 0141 212 8424
Team Holly Blue Employment Law Blog