AN AMENDMENT to the Employment Termination and Redundancy Payments Act, that mandates employers to inform the minister of labour 21 days in advance about any intention to make workers redundant, has created disquiet among some employers.
The amendment to the act was piloted though the House of Representatives by Labour Minister Pearnel Charles. It was passed by the Senate on June 13.
The act requires employers to inform the minister about the effective date of decision to dismiss, the name and address of employee, the amount payable to employee, the name, description and type of employee's post, and a statement as to whether the employee is a member of a union.
Hefty burden
However, Angela Robertson, partner in the law firm Livingston, Alexander and Levy, told The Gleaner yesterday that the new regulation places a hefty burden on the employer.
Robertson pointed to a provision in the act which mandates employers proposing to dismiss an employee to submit the information to the minister within 21 days of the date of the decision to dismiss.
She said there was a great deal of ambiguity as to what date is to be regarded as the date of the decision to dismiss.
"It is a hefty obligation you are imposing and there is no certainty as to what is meant by the date to dismiss," Robertson said.
People who breach this provision may be fined up to $250,000 and could face a maximum prison term of three months if convicted in the court.
Increase in penalties
Among the changes will be an increase in the penalties employers are charged for breaching the act, which was last amended in 1986.
Last night The Gleaner was unable to reach Charles for a response.