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23rd September 2024
 
THE HOT STORY
Scores more Al-Fayed accusers come forward
One of the barristers representing dozens of Mohamed Al-Fayed’s accusers has said that over 100 more women have come forward since a BBC documentary on the former Harrods owner was aired. Bruce Drummond said the cases were “rapidly evolving and expanding every day” while another barrister for the victims, Dean Armstrong KC, told a news conference that the case “combines some of the most horrific elements of the cases involving Jimmy Savile, Jeffrey Epstein and Harvey Weinstein.” Gloria Allred, a high-profile women’s rights lawyer, said Harrods was a "toxic, unsafe and abusive environment" under Al-Fayed’s stewardship and that this “is a teaching moment for Harrods” and for corporations all over the world. Harrods is accused of not only failing to intervene but also helping to cover up allegations against Al-Fayed. Fulham Football Club and The Ritz Paris, which were also owned by the tycoon, are now being investigated. Michael Ward, the current managing director of Harrods, is under pressure to prove the company has changed and to compensate Al-Fayed’s victims. Meanwhile, journalist Chris Atkins has revealed how Britain’s libel laws prevented the airing of undercover footage he took of PR expert Max Clifford in 2008 describing Al-Fayad’s crimes. The clips were handed to police a couple of years later and used as evidence in a criminal case against Clifford.
WORKFORCE
Amazon gets £1bn government contracts despite 'union busting' legal challenge
The GMB union is urging the Labour Party to favour companies that recognise unions when awarding government contracts. The call comes after Amazon received over £1bn in taxpayer-funded contracts despite facing allegations of union-busting tactics. GMB General Secretary Gary Smith said: “The government needs to be absolutely clear with Amazon – if they want to keep trousering hundreds of millions of taxpayer cash, they need to treat workers with respect.” The union's motion, to be presented at the Labour Party conference, demands that public bodies consider union recognition when deciding on contract awards. Amazon has defended its practices, asserting that it values direct engagement with employees and that attendance at meetings was voluntary. A government spokesperson reiterated a commitment to economic growth and better workers' rights, with plans to publish a new National Procurement Policy Statement in February.
TAX
Tax crackdown looms for freelancers
Self-employed workers are facing increased scrutiny from HMRC following a recent Supreme Court ruling that dismissed an appeal by Professional Game Match Officials Limited (PGMOL) regarding a £584,000 employment tax liability. The case, which revolves around the employment status of 60 referees, has raised concerns about a potential crackdown on freelancers. Waqar Shah from Kingsley Napley warned that the ruling could lead to "ramp up inquiries" into self-employed individuals. Elsewhere, David Klass from Hill Dickinson said that even without a final resolution, the court's decision about the contract could make it harder for self-employed people to get work. "There is a possibility that it will influence companies to err on the side of caution, and they may be more reluctant to engage with people on a self-employed basis," he said.
HEALTH & WELLBEING
Staff back move to limit out of hours contact
Most people support the government’s plans to restrict employers from contacting staff outside working hours, according to a survey commissioned by the Autonomy Institute think-tank. The poll saw just 17% of respondents say they oppose the move. Autonomy has urged ministers to copy legislation from France and Portugal which includes financial penalties for employers who choose to ignore the policy. Will Stronge, director of research at the think-tank, said: “Giving too much power to employers to dictate the terms of new ‘Right to Switch Off’ legislation could risk seeing the policy fall by the wayside.”
Workers face epidemic of long hours
The Institution of Occupational Safety and Health (IOSH) says that many workers are clocking in an average of two extra unpaid hours weekly. A survey of 1,000 workers found that over half reported working while feeling unwell, with one in four exceeding the legal 48-hour work week limit. Ruth Wilkinson, head of policy at IOSH, said: “This cannot continue. Our survey results show there is an epidemic of people working long hours – often without pay – and with people working while ill or on holiday.” The majority of respondents supported a proposed initiative by the Labour government to ensure employees have the right to “switch off” after hours, agreeing with the need for a better work-life balance.
LEGAL
Former EHRC chair laments increase in 'institutional censorship'
Writing in the Times, Trevor Phillips, former chair of the Equality and Human Rights Commission, contends that efforts to protect minorities in law are being overtaken by a “Stalinist charter for conformity” as the boardrooms of campaigning charities, management consultancies and human resources departments effectively write new rules on behaviour and speech that are “neither debated in parliament nor written into statute" but are “becoming the kind of custom and practice before which even courts will bend.” 
NHS uses VR to tackle discrimination
NHS staff will be given training designed to create a better understanding of the experiences of colleagues from ethnic minority backgrounds. The initiative, called “Walking in the shoes of …” involves participants wearing a virtual reality (VR) headset and watching videos depicting instances of racism and discrimination within an NHS setting. The clips are based on the transcripts of 133 interviews with NHS employees describing their own experiences of racism while working.
TECHNOLOGY
AI could save professionals hours
According to the Future of Professionals Report by Thomson Reuters, two thirds of professionals believe artificial intelligence (AI) could save them hundreds of hours annually, allowing for more leisure time. The report surveyed 2,205 individuals in the legal, tax, accounting, and anti-fraud sectors, revealing that AI could potentially save up to four hours weekly, equating to 200 hours yearly. Stever Hasker, president and CEO of Thomson Reuters, said: "For US lawyers alone, that is a combined 266 million hours of increased productivity." While 24% of employees plan to use this time for personal wellbeing, the desire for business development is stronger among legal professionals. Overall, 77% of respondents anticipate AI will significantly change their work within five years, up from 67% last year.
WORKPLACE
City firms ditch lavish water features
Law firms Slaughter & May and Hogan Lovells are removing their iconic water features as part of a trend towards more environmentally friendly and cost-effective office designs. Slaughter & May has decided against keeping its reception pool during renovations at its 1 Bunhill Row headquarters. Planning documents confirm the absence of an atrium water feature. A spokesperson stated: “Following the renewal of our lease, we took a focused look at our space to ensure One Bunhill Row remains a great place to work.” The decision aligns with the firms' commitments to net zero targets. Slaughter & May aims to reduce greenhouse gas emissions by 90% by 2040.
REMUNERATION
EY chief warns of pay cuts ahead
Partner pay at EY is set to decrease for the second consecutive year, with senior staff also missing out on expected salary increases. Benoit Laclau, managing partner for consulting in the UK and Ireland, informed senior managers that average partner pay would decline this year. Last year's average partner pay at EY was approximately £761,000, down from £803,000. The firm is grappling with a downturn in demand for services, particularly consulting, as clients reduce spending on corporate advice. Stuart Gregory, head of finance and transformation, had previously warned of a potential profit slide. EY stated: "Pay rises and bonuses vary based on individual and business unit performance," highlighting the variability in pay across different divisions. This year's pay review will be the last conducted by Hywel Ball, the firm's outgoing managing partner.
CORPORATE
ISG’s collapse raises questions of governance in the sector
ISG, once a prominent player in the construction industry, has filed for administration, resulting in the immediate redundancy of 2,200 employees. The company's downfall has raised concerns about the construction sector's stability, echoing the Carillion scandal of 2018. ISG, which had previously boasted £2.2bn in annual revenue, struggled with fixed-price contracts and financial mismanagement. The collapse has left numerous public sector projects in limbo, prompting questions about corporate governance and the future of the industry. The Sunday Times notes that the probe into ISG's demise is likely to beg questions of management and the board. The paper points out that the Carillion scandal resulted in a full-blown investigation by the Financial Reporting Council into the actions of directors.
INTERNATIONAL
Malaysia Airlines boss pledges work culture overhaul after 12 engineers join Singapore carrier
Malaysia Airlines has lost 12 engineers to SIA Engineering Company Limited (SIAEC) after the unit of Singapore Airlines opened its facility at Subang Airport last year. Malaysia Aviation Group (MAG) chief group managing director Izham Ismail revealed the number in an interview with local media. MAG is the parent company of Malaysia Airlines. “Malaysia Airlines loses engineers to SIAEC? Yes, we do but not in great numbers as per the heavy chatters were chattering about,” Izham told Malaysia's Business Times. Online discussions over alleged poaching of employees by SIAEC began after Malaysia's Transport Minister Anthony Loke on August 28 shared that 63 qualified engineers from Malaysia Airlines' engineering unit, MAB Engineering Services, had departed the firm out of a total of 411 since January this year. Izham went on to say that MAG's engineering division is hindered by a 40-year culture that is hard to change. “My number one priority that I'm doing is resetting [the engineering division],” Izham said, adding that he wants to give it a fresh start by incentivising productivity.
OTHER
Robotic security guards threaten thieves in angry Northern Irish accent
Tesco has introduced robotic security guards, known as PID360 devices, to combat rising thefts in stores across Manchester, Bristol, and Newcastle. The devices, which emit a loud warning siren and a menacing message in a Northern Irish accent, are designed to deter intruders effectively. According to a Tesco spokesman, the units are used outside of opening hours to prevent burglaries. Emmeline Taylor, a criminology professor, noted that “retailers are investing in a range of technologies to not only deter criminals but also increase the chances of them being identified after the offence.”
 


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