Legislation Flashcards

All 10 cards in this deck

What is the purpose of the national minimum wage and national living wage?

To increase the incomes of the low paid by setting a minimum hourly rate that must be paid. Rates are set annually by the government.

What does the Equality Act (2010) require of employers?

To treat people fairly and not discriminate because of a protected characteristic, in recruitment, pay and at work.
e.g. age, disability, race, sex, religion, pregnancy and maternity

What is the purpose of the Health and Safety at Work Act (1974)?

To keep the working environment safe by setting out the responsibilities of both employers and employees.

What does consumer law, including trade descriptions, require of the goods a business sells?

Goods must be described accurately (not misleading), fit for purpose and of satisfactory quality.

Give two costs to a business of complying with the Health and Safety at Work Act (1974).

Providing staff training, and buying safety equipment (plus facilities such as first aid and drinking water).

Give two costs to a business of complying with employment law on pay and pensions.

Paying higher wages under the National Minimum Wage Act (1998), and making pension contributions under the Pensions Act (2008).

Give three consequences for a business of failing to follow legislation.

Fines, compensation payments and a damaged reputation (also court cases or employment tribunals, legal fees and lost sales).

Give two benefits to a business of providing a safe working environment.

Staff feel safe and work harder, increasing efficiency; staff stay longer, reducing recruitment costs and improving reputation.

When evaluating the overall impact of a piece of legislation on a business, what two sides must be weighed against each other?

e.g. the National Minimum Wage Act (1998) for a small café

The costs of complying against the benefits of complying.

e.g. a higher wage bill against better motivated staff, a good reputation and avoiding fines.

True or false? The same piece of legislation has the same impact on every business.

False. The impact depends on the business — e.g. a rise in the minimum wage affects a business with many low-paid staff far more than one with few, highly paid staff.