Is it allowable for an employer to contravene their published employee handbook on policies and procedures?
On two occasions now, my employer has stated that company policy regarding a specific subject is not as published in their employee handbook (and naturally in this case, is favouring the company instead of employees).
Can companies simply say that a policy is different from what is actually written, and am I simply stuck with whatever they say, regardless?
This is a rather straightforward query, in that employers cannot “just change the rules as they go on”, according to independent HR consultant and workplace investigator, Michelle Halloran, of Halloran HR Resolutions.
Your work questions answered: I was humiliated and verbally abused by my manager, what rights do I have?
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My company is clamping down on working from home. Can I reject this change?
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“If you’re going to update or alter a policy, you need to communicate that, and if it’s a significant update, meaning if it’s something that changes your essential terms and conditions of employment that are set out in your contract of employment, you have to get agreement,” she says.
The seriousness of a manager overriding the stated policy depends on the policy in question, she says.
A change in policy whereby the company decides to replace a “fancy coffee machine” with standard instant coffee in a workplace canteen, for example, would only require notification under best practice.
However, a significant change in policy, such as one that affects annual leave entitlement or sick leave policy, or anything that contravenes the written contract of employment, would require consent from employees.
“You certainly can’t just make it up as you go along,” she says.
A change in policy may be necessary from time to time, particularly if such a policy simply does not “make sense” any more, though this requires clear communication, explaining why the change is being made.
Best practice would see employees sign off on any changes made to an employee handbook, she says.
Fundamental changes to policies tied to an employee’s contract without consultation or agreement is a serious misstep, something that constitutes a breach of contract, Halloran says.
The reader could contact their HR department concerning any contravening of the employee handbook, while those experiencing more serious breaches could have an avenue through the Workplace Relations Commission (WRC).
“In terms of going to the WRC, it depends on the seriousness of the breach,” she says, adding that financial compensation could arise from certain changes, such as a reduction in annual leave entitlements, without consultation or agreement.
The reader’s scenario in this case seems to be a “ridiculous” argument on behalf of the employer, according to Damien McCarthy, founder and chief executive of consultancy firm, HR Buddy.
“It is clear that no policy changes have been produced to employees in writing and therefore it could not be legally correct to say that any new policy is actually in effect or even exists at all,” he says.
I would argue that the only policy in place at the that current time is the one that actually exists, and [that] employees can see, have access to, and are in receipt of – in other words, ‘documented’
— Damien McCarthy, HR Buddy
The non-receipt of any updated policy in writing simply means the manager’s claim “doesn’t wash”, he says.
Although employers have the right to change, update or tweak company policies within the staff handbook, once within the boundaries of employment legislation, any such changes must be communicated in writing, he says.
“I would argue that the only policy in place at the current time is the one that actually exists, and [that] employees can see, have access to, and are in receipt of – in other words, ‘documented’,” he adds.
McCarthy advises the reader to check whether any of the referenced changes may be tied with the terms and conditions within the employment contract. If so, these changes would require written consent in order for them to take effect.
At the very least, with changes that do not require consent, an employer should notify staff by sending an email directing the employees to the updated handbook, he says.
Although employers are legally required to provide employees with details of company policies and procedures, employee handbooks are not specifically required under Irish law.
The handbooks can, however, prove to be “invaluable tools” in managing the employee and employer relationship, he says.
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