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Insight article

September 28, 2018

ACAS guidance on employment references

Coinciding with the Employment Tribunal’s recent decision in the case of Francis-McGann v West Atlantic UK Limited, where an employee faked a reference using the name of a Star Wars villain (read our article The Employment Tribunal Strikes Back), ACAS has released new guidance on employment references.

Does an employer need to provide an employment reference?

An employer can provide an employment reference and decide on the amount of information they provide within the reference. Special circumstances may mean an employer is obliged to provide a reference. For example, when an agreed reference forms part of the terms of a settlement agreement or employers that are regulated by the Financial Conduct Authority or the Prudential Regulation Authority.

What must a reference include?

The reference can include basic facts such as job descriptions, answers to questions that the potential employer has asked, and any details about the applicant’s skills and abilities or strengths and weaknesses concerning the suitability of an applicant for the new role they have applied for.

Can a bad reference be given?

The reference must be ‘accurate’ and ‘fair’ and must not contain any ‘misleading’ or ‘inaccurate’ information.

What issues can arise with giving references?

Applicants can request a copy of the reference sent to the new employer if they wish.

It is usually best practice and safest for employers to have a policy about what references will cover. That way, employees know what to expect. It is generally safest to limit references to factual issues, such as the job applicant’s employment dates and job description. If an employer provides a reference for some individuals but not others, it could face allegations of discrimination, victimisation, or breach of trust and confidence. Employers also need to be mindful that there is no obligation within a contract with the employee to provide a reference.

Employers should record on an individual’s file whether or not the employee wishes the employer to provide a reference.

Suppose there is ever any doubt over whether or not an individual has given consent for an employer to give a reference. In that case, the employer should contact them to check whether they should provide the reference.

If a reference included information about an individual’s health, the employer would need the individual’s consent before disclosing that information.

For further advice on references or any other employment issue, speak to solicitor Karen Cole today.

Note: This article is not legal advice; it provides information of general interest about current legal issues.

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