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New funding for ACAS to simplify disputes

ACAS will receive up to an extra 37 million of funding from government in an effort to simplify the dispute resolution system, minister for employment relations Pat McFadden has announced.

The extra funding will come in over the next three years, while services, including the ACAS helpline, will be expanded.  "It's public money so we won't be spending it willy-nilly," ACAS's chair, Ed Sweeney, told <i>HR</i>magazine.  "We give the taxpayer outstanding value for money, with every pound invested in us resulting in a £16 benefit for the economy."

McFadden said: "The new Employment Bill will enable ACAS to intervene at any point during a tribunal. There will also be new penalties for businesses not paying workers the minimum wage."

He added: "ACAS's involvement will become more important under these new regulations."

Speaking to <i>HR</i>, Sweeney said that, while he was not nervous of the large amount of money, he did not want to "create a demand that Acas cannot fulfil".

He also  referred to the "looming" problem in the public sector, blaming the current economic instability, as well as the Government's attitude towards pay. On the recent police pay issue, he said: "If you go through the arbitration process, you should be bound by it. The Government's got itself into a bit of a bind."