The Employment Relations Act 1999

The Employment Relations Act 1999 lays down the conditions in which Hobson's have to recognise and negotiate with a trade union. Hobson's can't discriminate on the grounds of being a trade union member or belonging to staff associations. A&B can not take on taxi driver just because he/she belongs to a trade union. The Working Time Relations: The Working Time Relations give employees the right to not work over 48 hours a week unless it is agreed in writing. The same relations allow a minimum of 11 hours off between each working day, with 12 hours foe workers under 18 years of age. Adult workers are entitled to one day off per week and under 18 years of age to days off, or 36 hours in exceptional circumstances. Mr. K. Day can work what ever hours he wants as there are no set hours.

The National Minimum Wage: All adult worker over 18 years of age is entitled to the National Minimum wage, which should be paid by Hobson's. The National Minimum Wage is set by the government annually. The figure for 2002 was 4.10 per hour. This does change sometimes. The rate is reconsidered every October. Hobson's are required by law to keep records that show all employees are being paid the minimum wage and must show these records to an employee if the employee asks for them. �50, 000 is the fine if Hobson's do not pay the minimum wage. Mr. K. Day gets money for the amount of jobs he does, but he does need to earn a certain amount each day to survive as a business.

Health and Safety. Both Hobson's and Mr. K. Day need to monitor and make sure that the Health and Safety of the business are in good shape. Hobson's need to follow these three Acts or they could be in trouble:Under this law Hobson's have a duty to make sure that the workplace is safe and does in any way harm the Health of the employees that work at Hobson's, customers and visitors. Mr. K. Day must keep the Health and safety good as he has customers to pick up and drop off. Employees must co-operate with making the workplace safe. A Company called Health and Safety Exclusive (HSE) will give advice to Hobson's on Health and Safety. The HSE will also arrange inspectors to come to Hobson's and inspect their Health and Safety. Mr. K. Day doesn't have HSE come and inspect his taxi but he does have regular checks on his taxi and this should be done make sure the customer is safe.

Control of Substances Hazardous of Health 1988: This Act requires Hobson's to carry out an assessment of the risks caused by all chemicals, materials and other substances in Hobson's. If chemical or materials that are hazardous and employees are using them then they should have clear instructions on them. Mr. K. Day only uses substances that a car needs and there will be clear instructions on them and if there isn't then Mr. K. Day can then have a legal battle over it. Management of Health and Safety at Work Regulations 1992: This Act is a mixture of other Acts, which Hobson's must follow because it is approved by the European Union. This Act says that protective clothing should be free for using chemicals and materials and protective measures should be given to people on a computer for a long period of time.

Finance. Hobson's and Mr. K. Day need to look after their Finances. To look after their finance they both need to keep records of money coming in and money leaving the two businesses. Hobson's and Mr. K. Day need to be able to understand the records that are kept to plan for future activities, spending and income levels. Mr. K. Day takes care of the financial records. The department that looks after the Finance is called The Financial Department.

The types of accounts: Financial account: Financial accounts are usually found in large business like Hobson's. A financial account keeps a record of what Hobson's has spent and how this affected its profits. The financial account will need to produce regular reports showing how the Hobson's money has been spent and what income has been received. The financial account prepares the profit and the loss account and balance sheet.

Cost account: A cost account calculates the costs of the business services and products. The cost account is able to show which products are most profitable, which helps managers decide on what to produce. Management accounts: The management account deals with the actual income and expenditure of each of Mr. K. Day's business activities. Mr. K. Day is then allowed money to perform certain tasks that are important. This is called a Budget. The management account advises Mr. K. Day about how well the various departments are meeting their budget. A&B provide loads of accountants for taxi drivers that want to use them. This is using one of A&B's services, which they provide.