What type of agreements are we talking about?
To respond to the crisis businesses might need to exchange information to a greater extent than they would usually. They might need to discuss capacity and to coordinate supply chains (both upstream and downstream). They might need to purchase or sell jointly to ensure vital supplies are maintained. In general agreements or collaboration which:
- Avoid a shortage, or ensure security, of supply
- Ensure a fair distribution of scarce products
- Continue essential services
- Provide new services such as food delivery to vulnerable consumers
Related FAQs
Office holders who provide services under an intermediary (such as a service company consultancy agreement) and whose services relate to the office held, would fall under the IR35 regime and must be assessed accordingly.
Under their obligations arising from Regulation 36 of the Gas Safety (Installation and Use) Regulations 1998, landlords must service domestic gas appliances on an annual basis and provide tenants with a record of the service within 28 days of that service. Failure to comply can result in prosecution by the Health and Safety Executive (HSE) or downgrading by the Regulator.
We know how important this is. But how can you comply with your obligations during the Covid-19 epidemic?
The latest restrictions on leaving the home, currently allow registered gas engineers to undertake essential work, whilst taking the appropriate precautions advised to avoid spreading or contracting the virus in a new setting.
Again, the primary point must be that an open dialogue is held with that individual to understand their concerns and to properly consider the impact that not wearing PPE will have on their abilities to undertake their duties. Consideration must be given as to whether there are any parts of their duties that they can undertake and whether they can remain in their role. Engage with the individual to ensure that you understand their point of view. What other duties can they do if they cannot do fulfil all the duties of their role?
Although an employer is obliged to conduct consultation “with a view to reaching an agreement”, it is not required to actually agree to any counter proposals made by the employee representatives. Merely to consider them in good faith.
An obvious cost cutting measure is to reduce salaries, either temporarily or permanently. If you are to seek a reduction in salaries, this should be done fairly – either across the board or by selecting teams/individuals based on objective business reasons.
Note that this cannot be imposed without significant risk. Without agreement, this would need fair selection and consultation.