Iceland volcano - the impact on business

• Make sure you know how to get in touch with your employer if you are stranded abroad and that you have a means of communicating with them if you are going to be delayed
• Consider how your employer can deal with your workload in your absence. Can you let your manager know where everything is with a phone call? Do you need to let your employer know if any deadlines are at risk?
• If you are affected, is there some way you can work around this or keep the difficulty to a minimum? Think about if you have the option to do some work from abroad or if there is anything else you could discuss with your employer to help the situation
• Do you have any equipment or access to equipment which will allow you to do some work from your current location?

What is a layoff?

A lay-off is where employees are not provided with work by their employer and the situation is expected to be temporary - an employer would require an explicit contractual clause to make deductions from pay in this circumstance.

When can I be laid off?

When there is an express contractual right agreed between you and your employer, an agreement covering the issue between the company and the union, or a national agreement for the industry that your employer follows. Such agreements only have contractual force if they are incorporated into your employment contract. Your employer might also have an implied right if they can show by clear evidence that this right has been established over a long period by custom or practice.

Do I have any right to payment whilst laid off?

Not if there is a specific term in your contract allowing your employer to lay you off without pay. When you are laid off, you might be entitled to a statutory guarantee payment from your employer, limited to a maximum of five days in any period of three months. The daily amount is subject to an upper limit which is reviewed annually. On days when a guarantee payment isn't payable, you might be able to claim Jobseekers Allowance and should contact your local Jobcentre office about eligibility.

How long can a layoff last?

This will depend on the terms specified in the contract. However, you may in certain circumstances give your employer written notice of your intention to claim a redundancy payment.

When can I be put on short-time working?

Your employer must have an express or implied power to lawfully reduce your pay. Normally you and your colleagues, or your union representative should have agreed to short-time working as an alternative to redundancies. If you're placed on short-time working you might be able to claim Jobseekers Allowance for the balance of the hours you don't work – you can get advice on this from your local Jobcentre.

Can I claim redundancy payments because of layoff or short-time working?

If you're either laid off (receive no wages) or put on short-time working (receive less than half a week's pay) for four consecutive weeks (or for six non-consecutive weeks within a 13-week period) because of a shortage of work, you can give your employer written notice that you intend to claim a redundancy payment.

There are a number of ways that may make your staffing situation easier:

• Remind yourself and your staff of any procedures to help you communicate in emergency situations and ensure staff contact details are up to date. If you don't have a procedure to deal with emergency situations, consider if there is a benefit in setting one up
• Consider your staffing levels - can you cope with some extra staff absences or do you need to check if a few staff can make themselves available at short notice?
• Establish a form of contact with employees who are stranded abroad if possible, ask them for an update on their workload and check if any deadlines are at risk
• Consider ways to keep the difficulty to a minimum Do they have any equipment or access to equipment which will allow them to do some work from their current location? Is there anything else you could discuss with your employee to help the situation?
• If your organisation is affected, consider your hours of operation - when is it most important to keep the business open and when is an answerphone or email enquiry service acceptable? Are your customers arriving in the usual numbers and at the usual times?

What is a layoff?

A lay-off is where employees are not provided with work by their employer and the situation is expected to be temporary - an employer would require an explicit contractual clause to make deductions from pay in this circumstance".

When can I lay employees off?

When there is an express contractual right agreed between you and your employee, an agreement covering the issue between the company and the union, or a national agreement for the industry that you follow. Such agreements only have contractual force if they are incorporated into each affected employee's employment contract. You might also have an implied right if you can show by clear evidence that this right has been established over a long period by custom or practice.

Do employees have any right to payment whilst laid off?

Not if there is a specific term in their contract allowing you to lay them off without pay. When they are laid off, they might be entitled to a statutory guarantee payment from you, limited to a maximum of five days in any period of three months. The daily amount is subject to an upper limit which is reviewed annually. On days when a guarantee payment isn't payable, employees might be able to claim Jobseekers Allowance and should contact their local Jobcentre office about eligibility.

How long can a layoff last?

This will depend on the terms specified in the contract. However, your employee may in certain circumstances give you written notice of their intention to claim a redundancy payment.

When can I put employees on short time working?

You must have an express or implied power to lawfully reduce the amount of pay. Normal practice would be for the workforce or their union to agree to short-time working as an alternative to redundancies. Employees placed on short-time working might be able to claim Jobseekers Allowance for the balance of the hours they don't work. Advice on eligibility can be obtained through a local Jobcentre.