Course Work

Course Work Organisations are required to operate within a regulatory framework set by government. 10/21/2009 Londonsam college Parita Patel Student I.D.number: ST0005614 Course:GADAFM

Definition of Law:-* A set of rules that become known to the society that they govern through a number of originating sources.

Laws in the study of business:Law is an essential part of the environment of business. Law is not just for lawyers but the non-lawyers in business needs to have a reasonable grasp of relevant areas of laws for the purpose mainly of ensuring that the business stays within the law because to stray outside of it can result in a costly claim being made successfully against the business. The rules of Law:Rules are commands aimed at regulatory behavior. Rules tells what can be done and what cannot be done; sometimes they may permit behavior subject to fulfilling a condition. For e.g. an extension of business premises is illegal unless planning permission is obtained. A shop cannot sell alcohol without a licence.

The Sources of Law:As it is mentioned under the rule of law, decision makers, such as judiciary, cannot reach conclusions in legal matters that come before them merely on the basis of what they think is right. They must offer legal reasons for their decisions are supported by legal reasons that can be found by applying certain sources of law to the problem. We are not concerned with the material sources of law i.e. where the lawyer looks in order to find out what the laws is. Our concern here is with justification.

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*law for business students-Alix Adams

A system of Laws may be needed for the following reasons:➢ To provide a governmental structure and legislative procedures: Constitutional law. ➢ To provide public services and to raise taxes to pay for them: Administrative and Revenue law ➢ To regulate and to promote the economy: Administrative, Civil and Criminal law ➢ To promote public order and to preserve national security: Criminal law ➢ To give individual members personal rights and duties in relation to others and to enable personal enforcement to these rights: Civil law ➢ To give legal validity to approved relationships and transactions between members of the society: This includes the law of contract, the law of property, company and partnership law.

Changing the Law:It is important to realize that the law is subject to frequent changes. Very few principles actually remain constant. These changes reflect social, political, economic and technological developments taking place within the society.

Social Change:Changes in moral values have influenced a number of legal developments in the last few year, including reform of the divorce law, limited decriminalization of homosexuality and abortion, as well as the introduction of legislation to prevent sex and race discrimination.

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Political Change:No government can initiate new policies unless it has legal authority to do so. This means that the law may require constant, and often radical change. The privatization of the water, gas, and electicity industries was achieved by repeal of previous legislation which had introduced a policy of nationalization.

Economic and Technological change:Much of the law governing commerce and industry, including the regulation of health and safety at work is subject to such influence. As industrial practice changes, old hazards disappear and new ones develop.

Government’s Role in Influencing Business 1. Prescribes the rules of the game for business. 2. Purchases business’ products and services. 3. Uses it contracting power to get business to do things it wants. 4. Is a major promoter and subsidizer of business. 5. Is the owner of vast quantities of productive equipment and wealth. 6. Is an architect of economic growth. 7. Is a financier. 8. Is the protector of various interests in society against business exploitation. 9. Directly manages large areas of private business. 10.Is the repository of the social conscience and redistributes resources to meet social objectives

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Government’s Regulatory Influence on Business

Federal Regulatory Agency 1. Has decision-making authority 2. Establishes standards or guidelines conferring benefits and imposing restrictions on business conduct 3. Operates principally in the sphere of domestic business activity 4. Has its head and/or members appointed by the president (generally subject to Senate confirmation) 5. Has its legal procedures generally governed by the Administrative Procedures Act Government’s Regulatory Influence on Business

Types of Regulation • Economic regulation – Interstate Commerce Commission (ICC) – Civil Aeronautics Board (CAB) – Federal Communications Commission (FCC) • Social regulation – Environmental Protection Agency (EPA) – Occupational Safety and Health Administration (OSHA) – Equal Employment Opportunity Commission (EEOC)

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Comparison of Economic and Social Regulation Economic Regulations

Social Regulations

Focus

Market conditions; economic variables

People in roles as employees, consumers and citizens

Affected Industries

Selected (railroads, aeronautics, communications)

Virtually all industries

Examples

CAB; FCC

EEOC, OSHA, CPSC, EPA

Current Trend

From regulation to deregulation

Stable

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Business organizations are operated under the regulations and legislations set by the government

➢ ➢ ➢ ➢ ➢ ➢ ➢ ➢ ➢

Health and Safety law Employment law Environmental law Tax law Consumer law Copy write law The data protection law Labour law Criminal law

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Employment Law:Employment law is a complex area that is full of pitfalls. Getting it right means keeping in touch with developments thinking out your policies & implementing them with care. Getting it wrong is easier but could be extremely expensive. Employment law covers the issues such as➢ Contract of employee ➢ Health and safety ➢ Holiday Entitlements In this briefing we identify the main elements of current employment law likely to affected.Following are the laws affected:Contracts of Employment:"A contract of employment" is an agreement between an employer & an employee which sets out thir employment rights, responsibilities & duties. These are called the terms of the contract. All employees have an employment contract with their employer, although it might not be in writing. If employee don't have a written contract, the contract would have automatically been created when employee start to work for employer. Both employee & employer are bound to the employment contract until it ends or until the terms are changed.

Fixed Term Working Regulations:The 2002 Employment Act implemented the long-awaited Fixed Term Employees ( Prevention of less Favorable Treatment ) Regulations which came into force on 1st October 2002. 8

➢ Fixed terms works should not be treated less than the collegues who are permanent employees unless there is any objective reason of doing this. ➢ Fixed term workers have full right to compare themselves with the colleagues who are engagaed by the same employer who do the same or the similar work. ➢ The use of successive fixed term contracts will be limited to four years unless the use of further fixed0term contracts is justified on objectives grounds. ➢ Rights under these regulations will be enforced in the Employment Tribunals.

The National Minimum Wage Rates:"The National Minimum Wage Rates (NMW)" is a minimum amount per hour that most workers in the UK are entitle to be paid. Current NMW ratesThere are different levels of NMW, depending on age. The current rates (from 1st October 2009) are: £5.80- The main rate for workers aged 22 and over. £4.83- The 18-21 rate. £3.57- The 16-17 rate for workers above school leaving age but under 18. If you are of compulsory school age you are not entitled to the NMW. The following groups are not entitled to the National Minimum Wage :➢ Workers under 16 ➢ Self employed people ➢ Family workers, including those working for family business ➢ People working with the family, sharing tasks and leisure activities ➢ Trainees on government funded schemes ➢ Apprentices aged under 19 or aged 19 and over in the first year of their apprenticeship ➢ Students on work placements including teacher training ➢ The armed forces ➢ Volunteers working for charities etc Holiday Entitlements:9

All the workers have a right to atleast 5.6 weeks paid annual leave, but you could receive more than that. Your employer can control somethings about your holiday, including when you should take it & whether they include bank holidays in your entitlement. The main points to be known about holiday rights are:➢ You start building holidays as soon as you start work. ➢ Your employer can control when you take your holiday. ➢ You get paid normal pay for tour holiday. ➢ When you finish a job, you get paid for any holiday you have not taken.

Business transfers & takeovers: Rights to consultation. If the company you work for is going through a business transfer or takeover, both the transferring employer & new employer have a responsibility to inform & consult with employees who may be affected by the transfer. If you are transferring to a new employer, your current employer should also consult with you about any action your new employer thinks they will be undertaking that will affect you. The consultation must be carried out with the aim of coming to an agreement. If your current employer thinks they could be taking action that will affect you, they must consult with your employee representatives to try & get your agreement into action.

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Health and safety laws:-* Health & safety is about preventing people from being harmed by work or becoming ill through work. Health & safety law applies to all businesses however small it is. It covers employees, full or parttime, temporary or permanent & the self-employed as well as members of the public & contractors. The Council's Environmental Health Officers have a duty to inspect businesses to ensure they are meeting their minimum legal requirement. The Health & Safety at work Act 1974 (HASWA) is the primary piece of legislation covering occupational health & safety in the UK. The act states that employers have a duty to take steps to make sure that they are aware of hazards within the workplace & to eliminate or control the risks associated with them. Health and safety covers issues such as➢ ➢ ➢ ➢ ➢ ➢ ➢ ➢ ➢ ➢

Ventilation Temprature Lighting Cleanliness and waste materials Floor space Seating Sanitation Washing facilities Smoking Visual display units To comply with health and safety law, all employers must:-

*www.whitehorsedc.gov.uk

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• Register with the enforcing authority that they employ persons at their place or places of work. This will either be the Council or the Health & Safety Executive depending on the type of business. • Either display an approved health & safety law poster or provide each employee with an equivalent leaflet. • Provide a suitable first aid kit in accordance with the Health & safety Regulation 1981 & keep an accident book if more than 10 people are employed. • Provide suitable working conditions to comply with the work place (Health, safety & welfare) regulation 1992. This covers the actual workplace, welfare facilities, heating/light/ventilation & housekeeping. • Carry out a general risk assessment to identify & carry hazards to workers or the public & than take steps to eliminate or reduce those risks likely to cause injury, accident or ill health. • Risk assessments are also required in respect of other matters if relevant to the activities of the business:1. Slips, trips or falls. 2. Hazardous chemicals or substances. (eg. cleaning material) 3. Lifting & carrying. (referred to as manual handing) 4. Noise exposure. (where loud noise may be a problem) 5. Working at heights. • Arrange for the regular routine inspection of any gas appliances & any electrical appliances by competent & suitably qualified persons.

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• All employers with five or more employees, at one or more places at work, must produce a health & safety policy, to inform their staff of the organization & arrangements to comply with health & safety requirements.

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ExamplesHealth and safety in construction:➢ All reasonable steps are taken to protect any person on the site from health and safety risks. ➢ The construction site is a safe and healthy workplace. ➢ Plant and equipment is safe. ➢ Adequate training or instruction is provided. ➢ Adequate supervision of safe work systems occurs. ➢ Means of access to and egress from the site are without risk to health and safety. ➢ Ask Tenderers to acknowledge their health and safety obligations. ➢ ➢ Require the Contractor to provide site-specific safety plans and undertake and document a risk assessment. ➢ Require health and safety to be reviewed at site meetings and Project Control Group meetings. ➢ Develop formal processes such as checklists to enable the Principal or a representative to review health and safety performance and measure the level of compliance.

Health and safety in marine energy industries:electrical safety training signage and ristricted area fire and explosion risk any requirements for a pre-employment medical any legal requirements for health surveillance any local minimum standards eg. fitness, eyesight, hearing, colour blindness ➢ roper arrangements for health records ➢ ➢ ➢ ➢ ➢ ➢

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➢ Guidelines for health and safety in Transportation Company:-

➢ A process to protect employees from unsafe noise levels and to provide appropriate lighting and ➢ temperatures in the workplace. ➢ A process to provide and maintain operating machinery and equipment with guarding or other ➢ protective measures as necessary to prevent injury to workers. ➢ A process to identify, evaluate and control workplace exposures to chemical, biological and physical ➢ agents to prevent worker illness and injury. ➢ A process to identify and control hazards in the workplace (examples include activities such as regular ➢ inspections, hazard surveys, job hazard analyses, and equipment hazard reviews). ➢ A process to determine the cause of incidents that result or could result in injury, illness, property or ➢ environmental damage or business interruption. ➢ A process to encourage employee participation in health and safety programs and to encourage ➢ employees to report workplace illnesses and injuries. ➢ A process to assess that sufficient and qualified resources are assigned to the EHS program. ➢ A process for maintaining drums, storage tanks and other storage containers to prevent water or soil ➢ contamination or accidental discharge and a process to remedy any existing contamination. ➢ A process to ensure proper treatment of chemical or process wastewater prior to discharge. ➢ A process to ensure safe handling and appropriate disposal or recycling of waste.

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Environment Laws:Now more than ever businesses need to take environmental issues seriously. Not just for the health of the planet, but also for the wellbeing of their organisation. This qualification lays the foundation for a better understanding of significant environmental impacts. Environmental laws and regulations deal with myriad pollution problems, including the contamination of our air, surface waters, drinking water, ground waters, and land. Pollution or contamination of the environment is found inside as well as outside the walls of factories and other business facilities Those affected include workers and their families as well as other members of their communities. In addition, as U.S. businesses increase their participation in a global marketplace, it is becoming increasingly clear that environmental contamination extends beyond local and regional concerns; its effects are international and even global. Every business in this country is affected by environmental laws, and many businesses deal with one or more environmental laws and the administrative agencies that enforce them on a daily basis. For example, businesses must inform and educate their employees about hazardous materials in the workplace as required by the Occupational Safety and Health Administration (OSHA), and they must inform their communities about such materials on their premises pursuant to the Comprehensive Environmental Response, Clean Up, and Liability Act (CERCLA—the Superfund Program). Manufacturing facilities must apply for and adhere to permits from the federal Environmental Protection Agency (EPA) regarding emissions into air and water. Businesses generating hazardous wastes must comply with the EPA's manifest system (a record-keeping system), and the disposal of both hazardous and non-hazardous waste is regulated extensively. Businesses are increasingly being required to clean up or pay for clean up of environmental contamination caused by their past acts and practices. Further, businesses are now being required to monitor their production methods and seek ways to prevent pollution. Overall, consideration of the environment and adherence to environmental laws and regulations have become important in the 16

day-to-day conduct of business throughout the world. Many businesses today conduct "environmental audits" to determine whether their facilities and operations meet the requirements of all applicable environmental laws and regulations. One of the main lessons that has been learned is that businesses, workers, environmentalists, and government officials need to work together to find economically sound ways of reducing the amounts of toxic substances released into the environment.

ExamplesEnviromental laws in construction company ➢ Reduce waste - control ordering/adequacy of storage procedures. ➢ Re-use - topsoils, pipe beddings, bricks, tiles, formwork. ➢ Re-cycle - demolition materials/oils/lubricants. ➢ Removal - to a facility which can recycle. ➢ Waste use and waste regeneration initiatives ➢ Re-use, re-cycling and ‘cost-in-use’ initiatives ➢ Eco-friendly waste/discharge to be considered in services design ➢ Natural energy and low energy considerations ➢ Demolition and contamination remediation

Environmental laws in Marine Industries:1. Use fuel additives that reduce emissions and decrease marine fuel consumption. 2. Avoid releasing invasive species through ballast water discharges. 3. Ensure that your vessel’s engine receives proper maintenance on a regular basis. 17

4. Periodically examine your fuel lines and repair any cracks to prevent leakage. 5. Always use pump out facilities to release sewage waste from your vessel’s holding tank. 6. Using low-pollution marine engines significantly decreases noise, emissions, and fuel consumption. 7. When cleaning your boat’s bilge, forgo emulsifier or detergent cleaning products. 8. Avoid putting unnecessary, heavy objects in your powerboat or other motorized vessel; this increases fuel usage. 9. Consider using an electric outboard motor if you have a dinghy, small motorboat, or inflatable. 10. Don’t approach marine animals too closely; bring binoculars to get a better look at wildlife. 11. Avoid using a large powerboat, speedboat, or jet ski on small lakes. 12. If possible, keep any objects containing hazardous substances (batteries, oil, mercury, etc) in a sealed container attached to the boat. Total words: 3010

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