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Legislation
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RIGHT TRACK
How can salon and barbershop owners ensure they’re staying on the right side of the law?
WORDS EMMA BENNETT
There’s a lot to think about when you run your own business – and complying with the latest legislation can sometimes take a back seat to the everyday task of keeping clients happy. But ignoring the law can have huge consequences.
NHBF director of quality and standards Caroline Larissey says: ‘It’s vital for businesses to be on top of the law, as it’s not traditionally something hair and beauty professionals focus on. Th ey’re fantastic at working on the shop fl oor and meeting clients’ needs, and don’t always have the time to look at this detailed information. Th at’s why we have a wealth of Member-only resources on our website, which our Members can download and refer to so their businesses are up to date, safe, healthy and legal, and they can continue to focus on the daily running of their salon or barbershop.’
We look at some of the rules business owners must follow to avoid landing in hot water.
Make sure you’re covered
All salon and barbershop owners should be insured to protect themselves in case a treatment goes wrong. But having cover is not enough – reading the small print is vital, as most insurers stipulate that specifi c records must be kept for insurance to be valid. Th e consequences for not doing so are potentially devastating, as Janice Beck discovered.
Th e owner of Time Out salon in south-west Scotland explains: ‘One of my regular clients attended for her usual facial the week of her daughter’s wedding. Th e next day – the day before the wedding – she phoned to say she had a reaction. I immediately contacted my skincare provider, who asked if I had a consultation completed – cue panic. Th e small print says a medical record must be signed and dated every time a client attends, then kept for seven years.’
Without these records, Janice wasn’t covered. She says the rule is a big ask for salon owners, who are wary of putting clients off by asking for this information time and time again.
‘Getting a client to sign a form every
IMAGES: GETTY time isn’t practical,’ says Janice. ‘It could annoy them and cost the salon time and money, and there’s the issue of where to store the records.’ Th is dilemma prompted Janice to set up Arapio, a paper-free system enabling clients to complete forms before attending their appointment.
Janice’s client didn’t sue her, but not everyone will be so lucky. ‘She could have sued me for the entire cost of the wedding and personal trauma. If you’re not a limited company, you could lose your house, your business, everything.’
Pay the right wage
If you don’t pay the correct National Minimum Wage (NMW) or National Living Wage (NLW) (aged 23 and over) you could be named and shamed by the government, and fi ned up to £20,000 for each employee who isn’t paid the right amount in any pay reference period. Check out current pay rates in the NHBF guide (see Resources), and don’t forget they go up every April.
Th ere is also a special rate for apprentices (currently £4.30 per hour), but any apprentice over 19 who is in the second year of their apprenticeship should be paid the age-appropriate NMW/NLW. From April 2022, the rate for apprentices increases to £4.81 per hour.
Employers must also provide a workplace pension to all employees over 22, which must be at least 3% of their ‘qualifying earnings’. If you pay late or don’t pay the minimum, you may be fi ned by the Pensions Regulator.
MATERNITY TREAT PREGNANT EMPLOYEES FAIRLY
If a colleague informs you that they are pregnant, there are several steps you should take to ensure you are not left open to discrimination claims. Caroline Johnstone, senior employment law adviser at
WorkNest, talks us through them.
Carry out initial and ongoing risk assessments during the pregnancy, as well as when breastfeeding mothers return to work.
Ensure employees have paid time off for antenatal appointments, although employers can request that these are organised outside normal working hours, if possible.
Some pregnancies are more diffi cult than others, and this can affect performance or absences.
Employers must make adjustments, such as allowing the employee to have extra breaks.
Confi rm in writing when employees are going on maternity leave and when their return date is, as it gives you time to make necessary arrangements. They must give eight weeks’ notice to return earlier or extend their leave.
Discuss any business changes with employees when they are on maternity leave, especially possible redundancies.
Seek advice before taking any action – untangling a mistake is harder than following the correct course, even when you have the best intentions. Do not pay for holidays accrued while an employee is on maternity leave. Instead, employees must agree with their employer when to take annual leave.
Complete your tax return
If you’re self-employed, you must fi le a Self-Assessment and pay your tax bill by 31 January following the tax year, or you risk being penalised by HMRC.
Amanda Swales, director at GoSimpleTax, says it’s important to keep track of your expenses. ‘We all know that sole traders can claim rent for premises or chair space, travel and home offi ce equipment, but you can also claim for pre-trade expenses such as tools and equipment, advertising and insurance.
‘It’s possible that, once you’ve gathered your information, you may have missed something or made an error, so always double-check your receipts and bank statements.’
Don’t overpromise
Business owners should be careful not to make misleading claims when advertising services and treatments. Matt Wilson, media and public aff airs manager for the Advertising Standards Authority (ASA), explains: ‘It’s for advertisers to prove their claims, rather than for the ASA to prove they’re misleading, so advertisers must hold robust evidence to back up their claims. If that’s not available, they will be in breach of the rules and the ad in question will be banned.’
Care must also be taken when advertising fi llers or other non-surgical cosmetic treatments to avoid targeting children, young people and vulnerable groups. Th e Botulinum Toxin and Cosmetic Fillers (Children) Act 2021, which came into force in October, made it illegal for prescription-only medicines such as Botox
RESOURCES
Our series of NHBF guides:
nhbf.co.uk/guides
For legal advice on employment issues, contact the legal helpline Code of conduct for salon owners: nhbf.co.uk/
professional-codeof-conduct
For a 25% discount off Self-Assessment software, go to gosimpletax.com/nhbf
to be advertised to the public, and banned fi llers for under-18s. In early 2020, the ASA issued an enforcement notice to more than 130,000 practitioners across the cosmetics services industry, with more than 12,000 Instagram posts removed.
