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Information and public services for the Island of Jersey

L'înformâtion et les sèrvices publyis pouor I'Île dé Jèrri

2009/2010 Legislation Programme.

A formal published “Ministerial Decision” is required as a record of the decision of a Minister (or an Assistant Minister where they have delegated authority) as they exercise their responsibilities and powers.

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A decision made (23/02/2009) regarding: 2009/2010 Legislation Programme.

Decision Reference:  MD-S-2009-0006

Decision Summary Title :

2009/2010 Legislation Programme

Date of Decision Summary:

17 February 2009

Decision Summary Author:

Sue Duhamel, Policy and Strategy Director

Decision Summary:

Public or Exempt?

(State clauses from Code of Practice booklet)

Public

Type of Report:

Oral or Written?

Written

Person Giving

Oral Report:

N/A

Written Report

Title :

WR – 2009/2010 Legislation Programme

Date of Written Report:

17 February 2009

Written Report Author:

Sue Duhamel, Policy and Strategy Director

Written Report :

Public or Exempt?

(State clauses from Code of Practice booklet)

Public

Subject:  2009/2010 Legislation Programme

Decision(s):  The Minister decided to submit bids for the 2009/2010 Legislation Programme as detailed in the accompanying report to the Law Draftsman.

Reason(s) for Decision:  Full details of the bids are provided in the accompanying report.

Resource Implications:  The Law Drafting implications will be confirmed by the Law Draftsman.

Action required:  Policy and Strategy Director to submit the 2009/2010 Legislation Programme report to the Law Draftsman.

Signature: 

Position:

Date Signed: 

Date of Decision (If different from Date Signed):

2009/2010 Legislation Programme.

Social Security Department – 2009 / 2010 Legislation programme  
 

Number

Title

Description

days

% complete

Soc Sec officer

Law draftsman

Q1 2009

Comments

2006.5E

Health Insurance Law amendments

changes related to introduction of new income support legislation

15

0%

  

  

awaiting delivery of instructions

Comment:  minor changes required to introduce Income Support have been completed.  A more substantial review, originally planned to coincide with Income Support, has been superseded by proposals for a new Primary Care law in New Directions.  Subject to satisfactory progress on the Primary Care Law, Social Security will not seek to update the Health Insurance Law.  However, if progress on New Directions is delayed, it may be necessary to address Health Insurance Law as a separate project as the current legislation is in urgent need of substantial modernisation.

2008.07

Social Security Law and subordinate legislation amendments

reform of incapacity benefit, pensions, funding arrangements

20

0%

  

  

awaiting delivery of instructions

Comment:  The intention of the department was to commence a review of social security benefits in 2009, which would lead to law drafting instructions in 2010.  Given the pressures on the department to deal with current economic situation, the decision has been taken to delay the start of the social security review until 2010.  Consequently, law drafting instructions are unlikely to be prepared until 2011.  However, some work is very likely to be needed on primary legislation during 2009 (changes to funding of supplementation) and 2009/2010 (changes to calculation of supplementation, changes to age of pension entitlement)

2008.16

Long Term Care

new legislation providing for the cost of long term care to be shared by individuals and the States

20

0%

  

  

awaiting delivery of instructions

Comment:  The Department is planning to publish a consultation document in June 2009 and is aiming to prepares law drafting instructions in Q4 2009

2006.11 
rec'd 2007

Employment Law - TUPE and redundancy

to introduce provision for rights on redundancy and for transfers of undertakings

15

80%

Kate Morel

Liz Walsh

Jan 2009: draft being split so that redundancy and TUPE  may proceed separately, once LOD advice rec'd

Comment:  Redundancy provisions to be lodged very shortly.  Return to Business Transfers once LOD advice received.  Finalise business transfers by Q3 2009

2008.18

Employment Law - family friendly measures

to modernize employment relations through measures relating to family friendly and flexible working policies

10

0%

Kate Morel

  

awaiting delivery of instructions

Comment:  Given the current economic situation, the Department has decided to postpone further work on Family Friendly legislation in 2009, and will now provide instructions during 2010

2007.22

Health and Safety (Management in Construction) Regulations

  

20

80%

Colin Myers

Chris Anderson

4th draft ready November 2008, for consultation purposes

Comment:  agreed

 

Additional Comments - Social Security 2009 /2010  

Insolvency Fund:  We also hold a current allocation of 8 days for subordinate legislation, linked to the Redundancy / TUPE project.   This is not shown in the table.   Subordinate legislation is not required and we would like to transfer this existing allocation to legislation to provide for an Insolvency Fund.  This is an urgent project and we will provide instructions during 2009 (Q2 or Q3)  

Income Support:  The final section of Income Support legislation to be completed in 2009 relates to some more detailed regulations surrounding residential care components. Instructions will be available in Q2. These benefits are currently covered by a Transitional arrangement.  There are also likely to be some other minor amendments to existing regulations.  

Economic Stimulus programme:  Social Security is involved in early plans to provide a package of economic stimulus measures.  These may require some law drafting resources in 2009.  A decision will be taken on this in the near future.  

Maintenance of existing legislation:  The triennial TV Licence Regulations require renewal in 2009.  There will also be benefit uprates according to the normal annual cycles.  

Additional Bids:  Social Security is submitting two new bids, in respect of Health and Safety legislation.  These were unsuccessful bids in the 2009 submissions.  

Additional Bids: see below 

 

Legislation Programme - request for allocation of time  

MINISTER: Deputy Ian Gorst     Date: 11th February 2009

SUMMARY DESCRIPTION

Replacement of existing outdated regulations setting out safety standards for dangerous machines

A The policy

1 Why is the legislation needed

To replace outdated safety regulations in order to improved the control of risks from the use of dangerous machinery in the workplace 

2 Outline the changes/ new provisions to be included in the legislation

The identification of measures aimed at assessing and controlling the risks from the use of machinery.  The UK Provision and Use of Work Equipment Regulations SI 1992/2932 provide an indication of the intended scope of the regulations.   

3 How does the legislation link to the strategic plan objectives

The proposal links in with the objective set out under commitment 3.1 of the 2006 -2011 strategic plan.  

4 How will the legislation benefit Jersey

By providing standards of safety targeting improved protection for employees from risks

            who operate dangerous machinery.  

5 Is there known support for, or known or expected opposition to, the legislation

Not known. 

6 What would happen if no action were taken

            Outdated regulations remaining in place.

B Timetable, States resources and implementation

5 Does the legislation need to be in force by a particular date

No. 

6 Has Law Officers’ advice been obtained on known legal issues

            No.  It is not considered that there are any legal issues as the regulations would be introduced under current primary legislation. 

7 Who will deliver the initial drafting instructions

            When will the drafting instructions be delivered

Colin Myers Director of Health and Safety.  Instructions will be prepared for the first quarter of 2010. 

8 What are the revenue and capital implications of implementing the legislation

Other then drafting time, it is not considered that the proposals will result in any additional costs to the States. 

9 Will costs of implementing the legislation be met from existing budget or is this a funding pressure?

            Costs involved in preparing drafting instructions will be met from existing budgets 
 
 

10 What are the manpower implications of implementing the legislation

There are no immediate manpower implications of implementing the proposed legislation.  However, it should be recognised that there are increasing demands on the Health and Safety Inspectorate who are required to monitor compliance with health and safety legislation for which additional resources have already been requested.

C Effect on the Island

11 Which business sectors are affected?

The Heath and safety at Work (Jersey) Law, 1989, and Machinery and Woodworking Machines (Jersey) Regulations, 1967, already place duties on employers in respect of the issues covered by this proposal.  The new regulations would be intended to update existing controls.   

12 What are the compliance costs for a typical business?

Employers should already be identifying appropriate controls to address the safety of dangerous machines.  There should therefore be no compliance costs placed on employers by the introduction of these regulations. 

13 How do the compliance costs of other options compare?

            See answer to question 12. 

14 What are the total compliance costs

See answer to question 12. 

15 What are the effects on Jersey’s international competitiveness

It is not considered that there will be any effects in this area 

16 What costs, if any might be incurred to others (e.g. Island residents) as a result from the legislation?

            See answer to question 12 

17 Who will primarily benefit from the proposal and in what way?

Employees and the States of Jersey (through reduction in benefit payments) 

18 If the measure is proposed to benefit a specific group or section of the population, is anyone likely to be otherwise adversely affected or disadvantaged  in either financial or other terms and in what way?

            The proposals are intended to provide protection for employees.  It is not considered that any other group would be adversely affected or disadvantaged.

 

 

Legislation Programme - request for allocation of time 

MINISTER: Deputy Ian Gorst     Date: 11th February 2009

SUMMARY DESCRIPTION

Regulations identifying minimum standards to address the risks from manual handling operations in the workplace

A The policy

1 Why is the legislation needed

To seek the reduction of musculoskeletal injuries to employees. 

2 Outline the changes/ new provisions to be included in the legislation

The identification of measures aimed at assessing and controlling the risks from manual handling activities.  The UK Manual Handling Regulations SI 1992/2793 provide an indication of the intended scope of the regulations.   

3 How does the legislation link to the strategic plan objectives

The proposal links in with the objective set out under commitment 3.1 of the 2006 -2011 strategic plan.  

4 How will the legislation benefit Jersey

By providing standards of safety targeting improved protection for employees from risks

            associated with manual handling.  

5 Is there known support for, or known or expected opposition to, the legislation

Not known. 

6 What would happen if no action were taken

            Lack of prescriptive legal requirements on an issue which is a major cause of work related accidents and ill health.

B Timetable, States resources and implementation

5 Does the legislation need to be in force by a particular date

No. 

6 Has Law Officers’ advice been obtained on known legal issues

            No.  It is not considered that there are any legal issues as the regulations would be introduced under current primary legislation. 

7 Who will deliver the initial drafting instructions

            When will the drafting instructions be delivered

Colin Myers Director of Health and Safety.  Instructions will be prepared for the first quarter of 2010. 

8 What are the revenue and capital implications of implementing the legislation

Other then drafting time, it is not considered that the proposals will result in any additional costs to the States. 

9 Will costs of implementing the legislation be met from existing budget or is this a funding pressure?

            Costs involved in preparing drafting instructions will be met from existing budgets 
 
 

10 What are the manpower implications of implementing the legislation

There are no immediate manpower implications of implementing the proposed legislation.  However, it should be recognised that there are increasing demands on the Health and Safety Inspectorate who are required to monitor compliance with health and safety legislation for which additional resources have already been requested.

C Effect on the Island

11 Which business sectors are affected?

The Heath and safety at Work (Jersey) Law, 1989, already places general duties on employers in respect of the health and safety of their employees.  These proposals are intended to identify how this general duty may be met.   

12 What are the compliance costs for a typical business?

Employers should already be identifying appropriate controls to address manual handling issues.  Whilst the information on accidents and ill health indicate that there is insufficient focus on the issues of manual handling, employers who are fulfilling their existing legal duties should have no compliance costs. 

13 How do the compliance costs of other options compare?

            See answer to question 12. 

14 What are the total compliance costs

See answer to question 12. 

15 What are the effects on Jersey’s international competitiveness

It is not considered that there will be any effects in this area 

16 What costs, if any might be incurred to others (e.g. Island residents) as a result from the legislation?

            See answer to question 12 

17 Who will primarily benefit from the proposal and in what way?

Employees and the States of Jersey (through reduction in benefit payments) 

18 If the measure is proposed to benefit a specific group or section of the population, is anyone likely to be otherwise adversely affected or disadvantaged  in either financial or other terms and in what way?

            The proposals are intended to provide protection for employees.  It is not considered that any other group would be adversely affected or disadvantaged.

 

 

Legislation programme  -  request for allocation of time 

MINISTER: Social Security      Date: 19 February 2009

SUMMARY DESCRIPTION

New Law to establish and regulate a fund which would protect pay-related statutory entitlements owed to employees where their employer becomes legally insolvent. The law would include amendments as required to other existing legislation.

A The policy

1 Why is the legislation needed

To ensure the rights of workers are protected, to a set standard, in genuine situations where the employer has become insolvent and therefore cannot pay what the employers are entitled to in law. It follows existing practice in other jurisdictions, including the UK and the Isle of Man.  

2 Outline the changes/ new provisions to be included in the legislation

The new law would define legal insolvency, set out what statutory entitlements are protected (including notice pay, holiday pay, wages owed, redundancy payments), define the employee qualifying criteria, provide a mechanism to transfer the debt to the States (or a Minister), make adjustments to the Bankruptcy Law regarding the priority of employees as creditors (in particular regarding statutory redundancy payments owed), set out how claims are paid and administered, possibly including any application forms required, decision-making powers and method of appeal, and the funding of the scheme (which may require an amendment to the Social Security Law in regard to the collection of contributions). At this time it is anticipated that the scheme would be based upon insolvency funds set up in the UK and Isle of Man, (although other jurisdictions will be reviewed).  

3 How does the legislation link to the strategic plan objectives

The legislation links with the aim of supporting the island through the economic downturn, as set out in the latest draft Strategic Plan.  It accords with 3.1.1 of the 2006-2011 Strategic Plan – Promoting a safe, just and equitable society by having legislation in place that provides rights to employees and employers in line with best practice worldwide - and extends the existing legislation to provide a comprehensive range of basic rights to employees and employers by moving into the second phase of employment law reform, as approved by the States in P.99/2000. 

4 How will the legislation benefit Jersey

The legislation will provide a basic minimum standard in employee protection and will provide some security for employees (and employers) in difficult economic times. Such protection is also important for Jersey’s international reputation. 

5 Is there known support for, or known or expected opposition to, the legislation

There is widespread support amongst States members that this legislation should be brought as soon as possible and a commitment has been given by the Social Security Minister that it will be dealt with as soon as possible in 2009.  

  1. What would happen if no action were taken

States Members would continue to lobby the Minister to bring the legislation.  Strong public objection to the lack of action would be likely, particularly in the increasingly difficult economic situation with further redundancies likely where employers have become insolvent.  The recent States’ decision to make ex gratia payments of notice pay owed to former employees of Woolworths has set a moral precedent and created an expectation that compensation will be available to other employees.

B Timetable, States resources and implementation

5 Does the legislation need to be in force by a particular date

If yes - why and what will happen if it is not in force by that date

To prevent injustice, the legislation would come into force at the same time as the redundancy legislation, otherwise employees of insolvent employers will have no protection and will not receive any statutory redundancy payments owed.  However at this stage, it is not intended to delay enactment of the redundancy legislation, which is anticipated to be enacted by end of 2009, or by March 2009 (depending on progress through Privy Council). 

6 Has Law Officers’ advice been obtained on known legal issues

No advice obtained as yet. 

7 Who will deliver the initial drafting instructions

            When will the drafting instructions be delivered

Kate Morel to deliver instructions.  A discussion paper is planned for presentation to the Minister by the end of March, after which the likely timescale for delivery of drafting instructions delivery will be clearer (e.g. to determine whether consultation is required and to what extent). 

8 What are the revenue and capital implications of implementing the legislation

A fund must be created out of which any payments due are paid to employees. These payouts will require administrative arrangements to be put in place. Payments cannot be made until a fund has been established.  It is currently anticipated that the fund will be created by a levy on employers (and possibly employees). Earlier estimates of levels of funding required proved to be inadequate in the current economic climate. It had been suggested by JACS and the Employment Forum that £1.50 per employee should be collected each year from employers via contributions. With around 56,600 employees at June 2008, this would have resulted in an annual income to the fund of approximately £85,000.  The required funding was based on an estimated 20 employees being made redundant by an insolvent employer each year. That figure is now anticipated to be higher. 

9 Will costs of implementing the legislation be met from existing budget or is this a funding pressure?

A funding pressure 

10 What are the manpower implications of implementing the legislation

The fund and payments will need to be administered. The level of administration required or who will provide this is yet to be determined.

C Effect on the Island

11 Which business sectors are affected?

All sectors and types of business in the Island may be affected by the legislation. 

12 What are the compliance costs for a typical business?

The cost to each business will depend on the total funding required (to be determined).  Based on the earlier suggestion, employers would be required to pay a fixed levy per year based on the number of their employees. Other than this annual funding, it is not expected that there would be a cost to employers in complying with the law as it would only take effect in the event of the employer’s insolvency.  

13 How do the compliance costs of other options compare?

The discussion paper for the Minister will consider if there are any other viable options. 

14 What are the total compliance costs

Costs can only be estimated at this time. For example, if it was anticipated that up to 60 employees could be made redundant by an insolvent employer each year, an annual fund of at least £255,000 (3 times more than earlier estimates) would be required, the levy on employers would therefore be £4.50 per employee.  For an employer with 20 employees, the cost could be £90 per year. 

15 What are the effects on Jersey’s international competitiveness

Reputable employers coming to Jersey are likely to expect such ‘safety net’ provisions and a failure to implement these basic rights is likely to lead to further negative publicity.  Competition should be enhanced by better employment protections.  

  1. What costs, if any might be incurred to others (e.g. Island residents) as a result from the legislation?

Employers could pass on the cost in the form of higher prices or charges for services to the public, but overall the provision they would have to make would in most cases be negligible when considering their total costs. 

17 Who will primarily benefit from the proposal and in what way?

Employees will benefit financially.  

  1. If the measure is proposed to benefit a specific group or section of the population, is anyone likely to be otherwise adversely affected or disadvantaged in either financial or other terms and in what way?

If employers fund the scheme in full, they might consider the cost to be an excessive additional burden in the current climate.

 

 

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