We asked David Wright, who advises Habia and a range of salons on legal issues, to answer some of the everyday queries that can arise in any salon. 

You are right. While there are rules about the time period for requesting leave to be taken, in this case you would unnecessarily be paying an extra two weeks' salary.

The whole principle of the European Working Time Directive was that staff should have paid holidays so that they could 'rest' during normal working hours and a recent tribunal has reinforced this principle.

I have decided that I can no longer afford to have a receptionist at the salon. The post holder has been with me for 15 months. What would be the costs?

Firstly, it is important you follow the necessary procedure involving consultation with the employee.

Redundancy is a dismissal with the need for a formal meeting and she has a right of appeal.

Employees need two years' continuous service to be entitled to a redundancy payment and your receptionist would be entitled to her notice of one week only.

• The law and redundancy in the salon

After four weeks a new employee has been late three times and off sick once. I have a probationary period of three months, but haven't yet given her a contract. Can I end her employment?

There are a few issues here. While employees must have a contract within eight weeks of appointment I recommend they are issued before they take up the post so they are clear of your expectations (will she even know there is a probationary period?).

Secondly, I feel your probationary period is far too short. Having said that, you can decide 'not to confirm her employment in her probationary period'.

You should meet her and explain the decision. Ideally, I would confirm your decision in writing and offer her a right of appeal.

• Handling problem staff members
• Following the right disciplinary procedure

An existing childless employee has requested flexible working - to start at 10am rather than 9am and reduce her hours by five per week. Do I have to say yes?

There is a process to follow for staff who request flexible working hours, but as you say the stylist does not have children or any other caring responsibilities she has no legal right to her request.

That doesn't mean a salon wouldn't necessarily consider trying to accommodate the request. In this case the request was to enable her to 'have an extra hour in bed'!

This wasn't particularly persuasive and unless 9-10am is historically quiet and you want to save costs, you can firmly decline this request.

I have just given my Saturday worker a full-time post after he has finished at college. However, he suggests that his start date should be from the time he started his Saturdays and not the date he started full-time. Is he right?

He is. All staff require a contract of employment. While his current post may have commenced recently, his contract of employment should indicate he has previous continuous service.

The only implication is that if he were to be dismissed his notice would be longer as he would already have two years' service.

He has also already achieved more than the one year's service, which gives him the right to access an employment tribunal if he felt he was unfairly dismissed.

I have just been informed that one of my full-time staff is pregnant. I am really worried about the cost as she says she is entitled to a year's maternity pay. Is she right?

She is half right, but I don't think you need worry too much. She is entitled to six weeks' maternity at nine-tenths of her normal pay. This is a cost to the salon.

After that she is entitled to 33 weeks further paid maternity leave, but you pay her statutory maternity (currently £117.18) and recover this via your National Insurance contributions. There is potentially a further period of 13 weeks' unpaid maternity leave.

I have two other issues to draw to your attention. A hidden cost is that she will accrue holidays and entitlement during her maternity leave.

Secondly, you may not be aware that she can, by arrangement, work for up to 10 days at the salon on normal pay, during her maternity leave. This might be a means of retaining key clients.

• Salon Guidelines for maternity leave
• New maternity laws explained

I know the new minimum holiday entitlement is 28 days from April 2009. Currently I give 24 days, but my leave year runs from January to December. Do I now give 28 days?

You can if you wish, but technically the additional four days a year don't start until April. In your case the existing 24 days minimum applies for a quarter of your leave year.

• Salon staff's holiday entitlement 

Therefore, in 2009 your staff could be given 27 days, rising to 28 in January 2010.

A perfect add on to your repertoire are beauty services that offer cash-rich, time-poor clients the opportunity to incorporate a manicure during the colour development process, or take a make-up masterclass after a re-style or seasonal colour change.

And it's become big business. Today more than 40% of UK salons provide beauty treatments and the hair, beauty, nails and spa industries are collectively worth more than £4.8bn a year.

So what can you do to get in on the act? Experts in the field give their advice on adding services from make-up to botox...

• Linking advice on make-up with new haircuts and colours makes retailing a very easy and realistic proposition and gives clients information on improving their image and creating a total look.



• Another good way to sell make-up is to get your staff wearing it. If every woman is wearing a different colour eye pencil, clients will immediately notice the effect and it's a surefire way to increase sales.



• From touch-ups to complete wedding packages, to 'girls' nights out,' make-up makes an ideal promotional tool that can increase your business.



• Selling make-up should be viewed as a direct and indirect way to increase profits. Obviously direct sales will give you profit, but indirectly, selling and advising on make-up increases your professionalism and customer service and this can have a positive knock-on effect on your business as a whole.

Gain a profit injection from injectables - Phillip Davies, Director of Collagenics East London and Essex Ltd

• These types of treatments are primarily anti-ageing so target the correct audience, the 35-55 year age group.



• Source a recognised company that has experience in this specific area and whose medical practitioners understand the specific needs of these clients, which enables all communication to be undertaken by them and you, the salon.



• Ensure you work with a reputable company that has all the necessary training and insurances in place.



• Only take on the treatments if you fully believe in them and feel confident in recommending them to your clients.



• Consider hosting a client event to introduce the new treatments - everyone loves to watch the 'before' and 'after' results on the television shows, so a live salon event is even better.

Unlock the secret of soaring skincare sales - Angela Joseph, sales training manager for Dermalogica

• Avoid using an exclusive product - the reason it's exclusive is because not many people know or recognise the brand. Instead go for a well-known professional skincare brand that is on everyone's lips because consumers will be visiting your business asking for the product and you will not only sell to them, but possibly turn them into a skin treatment client. 



• Ensure the skincare brand you choose has the same image and philosophy as your business. If it's a holistic or organic brand then be prepared to target a small percentage of your market. Is that what you really want?



• How much priority is given to education? Are there classes in skin treatments, body treatments and business? Are these classes free or is there a cost involved? Can you send your skin therapist on as many classes as necessary or do you just get basic training? Do they offer training for other members of staff on retailing for example front desk/ nail technicians? Are their training centres local to your area?



• Check how much business support is offered. You should ideally receive a visit from a business consultant, whose job solely is to help you grow your business, every eight weeks. Does the company have an online booking system for classes, and an online ordering system to help you order products 24/7?



• Use your existing client database - you already have the perfect target audience. Ensure every hair client receives a complimentary skin analysis and samples to try. File these details so when the client returns you can find out whether they like the product - if they do, you have a sale.
  

Every salon owner knows the scenario: a stylist starts off producing brilliant work, gets recommended to new clients and before long their column is constantly full. Then suddenly the salon's most successful stylist becomes complacent and standards drop.

Coping with a busy column is a skill that doesn't come naturally to every stylist.

Yesmin O'Brien is manager of the seanhanna salon in Sutton, Surrey and a seasoned pro when it comes to keeping her clients happy. 

These are her top tips for coping with a busy column. 

HJ's Business Director of the Year, Andrew Phouli of Rush, London, offers his top tips for motivating staff during the credit crunch.

Above all DON'T PANIC. There have been recessions before and we have got through them, and we will get through this one successfully.

HJ's Business Director of the Year, Andrew Phouli of Rush, London, offers his top tips for motivating staff during the credit crunch.

Above all DON'T PANIC. There have been recessions before and we have got through them, and we will get through this one successfully.

There are several potential claims that might arise during the recruitment process including discrimination in the arrangements for an interview and by failure to offer employment. There is also the possibility of harassment claims.

Employers need to be particularly wary as there is a potential for liability through the acts of staff members involved in the recruitment process. For this reason each step of the process must be in line with the employer's recruitment and equal opportunities policies.

Graeme Perrey, trainee solicitor with City Law firm Sykes Anderson Solicitors LLP explains how you can ensure fairness and reduce the chances of claims against you. 

Before placing any adverts for a job, it is best to draw up a job specification. By setting out specific criteria for successful applicants to meet, the chances of subjective decisions being made about individuals should be reduced. However, you must be careful to avoid excluding any class of individuals e.g. age, sex etc.

Once the advert has been prepared, consider where it will be shown. It is possible that advertising exclusively through certain media, such as the internet, will prevent it being seen by certain classes of potential candidates. It is also important to avoid recruitment by word of mouth as this can lead to a lack of diversity in the make-up of the workforce.

Decide on the content of any advert with great care. If this goes wrong, it might lead to a potential discrimination claim, or be used as evidence of a discriminatory culture. It is essential to avoid any stereotypical connotations or requirements which will exclude certain classes. If, however, the requirement is a genuine occupational one the advert should state this and make reference to the statutory exception in question.

If an advert is considered discriminatory, action might be brought against you by the Equality and Human Rights Commission. As well as bringing bad publicity, it could lead to an injunction against further advertisements. Discrimination claims could also be brought by the candidates themselves.

What about the application process?

Using a standard application form puts all candidates on an equal footing. Also give some thought as to how these forms are made available. There should also be consideration as to the making of reasonable adjustments for disabled applicants.

When shortlisting applicants, the job specification and requirements for the role must be considered and objectively matched to those applying for the position. These criteria must be applied at each stage to ensure fairness throughout. If possible, appoint a panel to go through the applications to reduce the likelihood of a subjective decision.

How should I conduct the interview?

Consider a panel. Increasing the number of people involved in the interview should lead to an appointment based on objective reasons. The interviewers should meet beforehand to determine the questions to be put to candidates and, in all cases, these questions must in some way be linked to the job.

There is a risk of harassment claims stemming from the behaviour of staff. This might be related to age, sex, race, disability, religion, nationality or any personal characteristic of the individual, and could be persistent or an isolated incident. A claim can be successful if the actions or comments are viewed as demeaning and unacceptable to the recipient.

With regards to the arrangements for the interview, consider whether any reasonable adjustments should be made to avoid discriminating against disabled candidates.

After the interview, candidates might ask for feedback. Failure to provide this can be used to imply that the reason for rejection is discriminatory. You should always respond promptly and in accordance with any policies you have in place regarding any such requests.

Throughout the selection process it is vital to retain a paper trail showing records of the decision making that has taken place. This can then be used as evidence to defend against any discrimination claim which might arise.

Can I make checks on the candidates?

Although there is no general legal obligation upon an employee to provide references it is always best practice to ask for them. Any job offer should be made conditional on the receipt of satisfactory references from previous employers.

It is possible to ask candidates about any criminal records. However, under the Rehabilitation of Offenders Act, it might not be necessary for the candidate to reveal old convictions if they have become  'spent'.

Employers must remember they are under a duty to ensure that those they employ have permission to work in the UK. It is a civil offence if you negligently employ someone who doesn't have such permission.

How should I send the job offer?

When sending out an offer, decide whether it is going to contain all the contractual terms of employment. If so, it must contain all relevant terms and incorporate other documents which contain contractual terms, such as a staff handbook.

If the offer and contract are to be separate, provision should be made so that the contract terms prevail should there be any inconsistency.

In any case, it is a minimum requirement that the offer letter/contract includes the written particulars required under Section 1 Employment Rights Act 1996.

Finally, if you are placing conditions they must be set out in the offer letter. It is also advisable, for more senior positions and depending on the area of work, to check whether any restrictive covenants are in place from previous employment which bind the prospective employee. 

David Wright, who advise Habia and a range of salons, gives his advice on some of the pitfulls to look out for.

Obviously, you are looking at the profitability and performance of the salon, which is exactly right. However, you need to be aware that, in law, the staff automatically transfer to you. Their existing pay and terms and conditions are all protected. The law covering this is called TUPE.

If you pursue your interest you should ensure you obtain a copy of the employees' contracts and details of other terms and conditions to enable you to effectively assess your potential wage bill.

I am buying a small salon that I intend to manage, but there is already a manager there. What can I do?

The question concerns all the staff transfer to you. Potentially, it is possible to dismiss the current manager on the grounds of redundancy. Post TUPE dismissals are permissible for  'economic, technical, or organisational' reasons.

In your case this would be an 'organisational' reason, ie you potentially have two managers. There would be a need for a consultative process and there might be a possibility of redeploying the manager to a stylist's post.

You have to consider the income the current manager generates and bear in mind that the manager would be entitled to notice and a redundancy payment. There are lots of potential pitfalls and I recommend you obtain professional advice.

I have just bought a salon and while looking through the staff files noticed one has a final written warning for persistent absenteeism. Since I took over she has had three absences, what can I do?

The good news is that the staff transfer under TUPE. This also means that the disciplinary procedures transfer, as does the final written warning.

Providing the warning is still 'live' - the disciplinary procedure will indicate how long the warning will last - you could take further action that could reasonably result in dismissal.

I have just discovered that one of the staff in my new salon has a claim against the business following an accident at work. However, the accident occurred months before I purchased it, am I liable?

Yes; as indicated above, the staff transfer to you with all their rights. As the new owner any liabilities transfer to you.

When purchasing a salon it is imperative you obtain written confirmation of the pay and conditions enjoyed by the staff. In addition, you should specifically ask for details of any outstanding claims against the business. If the previous owner had then failed to disclose the claim, you would be protected.

When I purchased the salon I saw three stylists and an apprentice. Three months on I have been contacted by a stylist indicating she is able to return from maternity leave. Do I have to agree and could I make her redundant?

You have no option but to allow the employee to return. If you make her redundant you would almost certainly lose the case at an employment tribunal on the grounds of sex discrimination, as the dismissal would relate to her pregnancy.

Potentially, there might be a redundancy situation, but all four stylists would be in the pool for selection and you would need objective criteria for the selection.

I am buying a new unit to open as a salon. I have selected my product range and equipment but need to find two or three staff. Do you have any tips?

I could write pages on this. Remember at the end of the day it is the quality of the staff that determine your success. I have two main tips:

• Have a thorough selection process not just a chat and a trade test. As it may be difficult to predict demand, make sure you build in as much flexibility as possible when agreeing the hours with new appointees.
• Make sure you have a contract and policies in place before you recruit to ensure you utilise your staff in the most flexible and cost-effective way.

More of David Wright's Legal Advice For Salon Owners

• Chair rental and the law
• Following the right disciplinary procedure with your salon team
• The law and redundancy in the salon
• Salon guidelines for maternity leave
• Salon staff's holiday entitlement