Hello and welcome back to your monthly employment law update. To put it lightly, it has been a busy month, the country’s EU status, current prime minister, footballing success and, hopefully, your underwear have all changed since our last newsletter. Furthermore, and despite Britain opting to leave the EU, it has also been a busy month for employment law and we hope to keep you abreast of all the latest changes.
Our first task this month will to be address the elephant in the room that everyone is tired of talking about. Britain, or rather rural England and Wales, has opted to leave the EU. Our previous posts on this topic outlined what may happen in the event of a Brexit but at the time of writing, (27 June 2016) no coherent strategy has been announced.
As things stand Article 50 of the Lisbon Treaty has not been triggered. If Article 50 is exercised that gives the UK two years to negotiate an exit from the EU. From a HR prospective that leaves things pretty up in the air for many companies with either EU employees or EU offices.
In areas such as construction, healthcare and education there may even be a labour shortage and any employer with EU migrant staff may need to draw up a contingency should these staff not be eligible for a visa under a points based system that is being proposed.
Many other businesses are also considering redundancies due to the anticipated loss of revenue but that may be premature depending on the outcome of any trade agreement. Hiring may also be postponed as the full aftermath is assessed.
In any event with no clear outline of how or when we will leave the E.U, it is highly likely the ramifications of the decision will not be truly known for several years.