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It is important for business start-ups to understand the ramifications of employment law in regard to their firm, the Federation of Small Businesses (FSB) said.
While larger firms may have such areas covered by multiple departments, it is important that smaller companies have the procedures put in place to deal with occurrences where employment law is necessitated, FSB spokesperson Belinda Webb commented.
She added: "Its not just important; its absolutely vital that the law is adhered to, because it saves further problems down the line. And the only way they can do that, a lot of the time, is by joining an organisation and having access to a legal helpline.
"If they dont
[many] small businesses dont have the money or the resources to check with their solicitor every time they need clarity on a situation."
Figures from the Employment Tribunal Service published for the period April 1st 2006 to March 31st 2007 found that legal claims had risen by 15 per cent in the 12-month period to 132,577.
It is important that business start-ups do not neglect this fact, the FSB believes.
Ms Webb explained: "With a bigger company, they have their set procedures in place. They may have a legal department, whereas many small companies dont."
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