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| Getting the right persons to employ can be tricky for a new business enterprise. The success of any business depends on the type of employees in place. In most businesses, it is recommended to engage the services of qualified and experienced personnel. If you are in a specialized business, then you need to employ professional person with the requisite technical skills. Hiring general labourers can be tricky sometimes. You need to be very careful with whomever you are engaging to assist you in business. There are existing examples here in TCI of businesses which have been run down by employees. Please ensure that you do not encounter a similar experience when you start your business. You need to know and understand the person you intend to employ. It is important to obtain some historical records from past employers and the police where applicable. Where to get employees There are several sources of getting your employees namely:-
We have extracted the most common areas of the Employment Ordinance 21 of 2004 that may concern your day-to-day operations. In addition, the listed terms of employment are not only applicable to employers but also to employees. |
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| a. Contract of employment The Employment Ordinance 21 of 2004 makes it mandatory for employers to provide their employees with a “Contract of employment”. There are several employment contracts in place namely contract without reference to limit of time; for a specified period of time; for a specific task; or for a probationary period of not more than 3 months. Employers can issue any of the above depending on the type of employment being offered. Where an employer does not give an employee a contract, the employee may require a reference to be made to the Labour Tribunal to determine what particulars ought to be included or referred to in a contract so as to comply with the requirements of the relevant sections. If an employer fails to provide a contract, he shall be guilty of an offence and liable to a fine on summary conviction of $5,000. b. When to prepare a contract letter A person who employs another shall, not later than 7 days beginning with the day after the date on which the employment commences, prepare an employment contract in writing correctly describing the terms and conditions of employment that have been agreed upon by the employer and employee. A person who employs another who lives or resides at the time of the employment in a country other than the Islands, shall send the employment contract to the address in the country where the person employed lives or resides before his departure for the Islands and shall also send a copy to the Commissioner. After preparing the contract, the employer and employee shall within 14 days of the preparation sign the employment contract including any amendments agreed upon. c. Who needs a contract? Every person of the age of 16 years or more may enter into an employment contract under the Employment Ordinance. A person under the age of 16 years may enter into an employment contract only with the written consent of the parent or guardian of the person, or if none exist with the written consent of the commissioner who may consult with such persons as he deems fit. A person who is a party to an employment contract under the Employment Ordinance may receive directly the wages and benefits payable under the employment contract, and may sue or be sued in respect of the employment contract. d. Maternity Leave A female employee who has been continuously employed for one year shall, on the production of a medical certificate stating the presumed date of her confinement, be entitled to a period of maternity leave of at least fourteen weeks. An employee shall be entitled to vacation leave in addition to maternity leave. e. Statutory Deductions An employer shall not make any deductions from the statutory minimum remuneration of an employee except a deduction required or authorised to be made by any other Ordinance; or a deduction made, with the consent in writing of the employee or any person acting on his behalf, in certain special arrangements. f. Discriminatory practices For the purposes of the Employment Ordinance, a person discriminates against another person if the first-mentioned person makes, on any of grounds listed below, any distinction, exclusion or preference the intent or effect of which is to nullify or impair equality of opportunity or treatment in occupation or employment. It is unlawful for an employer to discriminate against an employee. g. Termination of employment The employment of an employee for an unspecified period of time shall not be terminated by an employer unless there is a valid reason for such termination connected with the capacity or conduct of the employee or based on the operational requirements of the enterprise. A new employee may be required to serve a probationary period of not more than 3 months. The employer or employee may terminate the employment of an employee at any time during the probationary period for any reason and without notice. An employer who contravenes any of the existing provisions shall be guilty of an offence and liable, on summary conviction to a fine of $5,000 or to imprisonment for a term of one year or to both such fine and imprisonment; and the court making the order for conviction may also order that the employee be reimbursed any wages lost by him and direct, if the case, in the opinion of the court so requires, that the employee be reinstated in his former position or be employed in a similar position. The Labour Tribunal shall not entertain a complaint under this section relating to the reasons for a dismissal unless it is presented at such time that the Labour Tribunal would entertain a complaint of unfair dismissal in respect of that dismissal presented at the same time. h. Unfair Dismissal In every employment to which this section applies every employee shall have the right not to be unfairly dismissed by his employer. Where the reason or principal reason for the dismissal of an employee was that he was redundant, but it is shown that the circumstances constituting the redundancy applied equally to one or more other employees in the same undertaking who held positions similar to that held by him and who have not been dismissed by the employer, then, for the purposes of this Part, the dismissal shall be regarded as unfair. j. Resolving Disputes related to employment The Labour Tribunal shall have jurisdiction to hear and determine any labour dispute or complaint or other matter referred to it under the existing Ordinance and shall have such other functions as may be conferred upon it by any other provision of law. Employment agencies shall ensure that workers they provide to user enterprises are afforded all the rights they are entitled to under the Ordinance, or any Ordinance relating to employment and for these purposes shall have such access to the user enterprise’s premises as trade union representatives under this Ordinance and the Trade Unions Ordinance. k. Who is allowed to work in TCI It is the policy of TCI to reserve some jobs and businesses to Belongers. However, in the event that such Belongers are not readily available to take up the positions, employing foreigners is an option. Foreigners who intend to work, reside or visit the Turks and Caicos Islands will be subjected to some type of immigration control. There are several types of immigration documents governing residency and work in the Turks and Caicos Islands. They are: 1. Work Permits Turks and Caicos Islands work permits authorize individuals to remain in the Islands and engage in gainful occupation for the period specified in the permit. At the end of that period an application may be made for its renewal or extension. Generally, work permits fall under two categories, employed persons and self employed persons. The Immigration Ordinance also provides for the issuance of temporary or short-term work permits. It should also be noted that Owners, Directors and Officers of companies who are not Belongers, but wish to reside in the Turks and Caicos Islands and take an active role in the day to day operation of their companies may require a work permit in order to do so. Turks and Caicos Islands Work Permits are the most common forms of immigration document utilized by nationals of other countries for residency and employment in the Turks and Caicos Islands. 2. Temporary Residence Permits Upon arrival to the Turks and Caicos Islands foreigners are granted an automatic 30 days period to visit. This period may be extended for an additional 30 days or so after an application has been made. 3. Permanent Residence Certificate (PRC) Application for a Permanent Residence Certificate can be made by persons who have paid a minimum of 6 work permits depending on the category under which they fall. That is, whether they are self-employed persons, skilled persons who have made an investment in a home or investment in a home or business. Unskilled workers have to produce a work permit to demonstrate ability to sustain himself/herself. Usually the right to work will follow under this category. A PRC entitles the holder to reside in the Turks and Caicos Islands for the rest of his natural life. The spouse and dependent children ordinarily resident with the holder may be endorsed on the certificate. If the holder of a PRC predeceases the spouse, then the spouse may apply for the grant of a PRC. Dependent children residing with him may also be endorsed on the said certificate. At the age of majority the children can apply for their own PRC. 4. Residence Permits There are basically two types of Turks and Caicos Islands residence permits. They are commonly referred to as Annual Residence Permit and Belonger Residence Permit. The former entitles individuals to reside in the Islands for a period of one year. Holders of this type of residence permit may not engage in gainful occupation in the Islands . This permit may be renewed at the end of its expiration date. The latter may be granted to spouses of Belongers. This permit allows the holder to reside in the Turks and Caicos Islands and engage in gainful occupation. The life of this permit is for a period of five years after which the holder may make an application for it to be renewed or apply for Belonger Status. An employer wishing to employ a person on a work permit shall notify the Commissioner of Labour of his intention to recruit such a person at least 14 days before making an application for the work permit pursuant to those Regulations. It shall be the employer’s responsibility to find or provide suitable housing (proper conditions of health and comfort) for his employees who are required to obtain work permits under the Immigration Ordinance. The Employment Ordinance requires employers to put the following in their work places:- (a) a copy of Employment Ordinance and Regulations (b) a copy of any Trade Union Ordinance and Regulations (c) a copy of the Public and Environmental Health Ordinance and National Insurance Ordinance and Regulations (d) a copy of any Ordinance dealing with employment, working environment and occupational health and safety (e) a notice of the address of the Commissioner and the inspector for that workplace. Every employer shall keep such records as are necessary to show whether or not the provisions of the Employment Ordinance or any Ordinance relating to employment are being complied with as respect his employees and the records shall be retained by the employer for three years. l. Compensation Compensation payable to a person who is injured as a result of an accident at work shall be not less than a per centum of the employee’s latest basic wage calculated on 20% of such wage to compensate 100% incapacity. The degree of incapacity and duration of the payments shall be calculated using the formula contained in Benefit Regulations made under the National Insurance Ordinance. m. Rights of Employees in period of Notice If an employee has normal working hours under the contract of employment in force during the period of notice, and if during any part of those normal working hours— (a) the employee is ready and willing to work but no work is provided for him by his employer; (b) the employee is incapable of work because of sickness or injury; or (c) the employee is absent from work in accordance with the terms of his employment relating to holidays; then the employer shall be liable to pay the employee for the part of normal hours a sum not less than the amount of remuneration for that part of normal working hours calculated at the average hourly rate of remuneration produced by dividing a weeks’ pay by the number of normal working hours. A detailed Employment Ordinance is found by clicking here – (Employment Ordinance) |
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