SafeHR
SafeHR
Running a charity is a unique balancing act. You are driven by a mission to make a positive impact, yet you must operate with the efficiency and compliance of a business. At the heart of every successful non-profit is its people, the staff and volunteers who work tirelessly to bring that mission to life.
However, managing a team in the third sector comes with a distinct set of legal responsibilities. While your organisation might not have the extensive HR departments of a corporate giant, the law expects the same level of compliance. Employment tribunals do not make exceptions for good intentions, which is why many organisations choose to seek HR services for charities to help them stay compliant and supported.
Understanding the legal framework isn’t just about avoiding fines or reputational damage. It is about creating a safe, fair, and supportive environment where your team can thrive. When your house is in order, you can focus your energy where it matters most: on your cause.
Here is a breakdown of the essential employment law areas every UK charity needs to have on their radar.
One of the most common stumbling blocks for charities is the distinction between an employee, a worker, and a volunteer. It sounds simple on paper, but in practice, the lines can easily blur.
Volunteers are the lifeblood of many charities. They offer their time freely without expectation of payment. However, if you start offering perks that look like payment, such as training unrelated to their role, flat-rate expenses that exceed actual costs, or promises of future work, you risk inadvertently changing their legal status.
If a tribunal decides a volunteer is actually a ‘worker’ in the eyes of the law, they could be entitled to:
To keep things clear, ensure you have a ‘Volunteer Agreement’ rather than an employment contract. This document should set out reasonable expectations but avoid language that suggests obligation, such as rigid working hours or disciplinary procedures. Keep the relationship flexible and voluntary.
Since April 2020, the law has required employers to provide all employees and workers with a written statement of employment particulars from day one. This applies regardless of how many hours they work.
This HR document, often forming the bulk of the employment contract, must include specific details such as:
For charities, this is your opportunity to set the tone. A well-drafted contract provides security for your staff and clarity for your management team. It removes ambiguity and ensures everyone understands their rights and responsibilities from the moment they join your cause.
It is no secret that people often choose to work in the charity sector because they care deeply about the work, not because they are chasing the highest possible salary. However, passion does not pay the bills, and it certainly does not override legislation regarding the National Minimum Wage (NMW) and National Living Wage (NLW).
Charities must ensure all staff are paid at least the statutory minimum for their age bracket. This includes paying for all working time, which can get complicated in the care sector where ‘sleep-in’ shifts are common.
Be cautious with salary sacrifice schemes or deductions for accommodation or uniforms. If these deductions take an employee’s pay below the NMW, you could be breaking the law. Regular payroll and expense audits are a sensible way to ensure you aren’t accidentally underpaying your most dedicated staff.
For many charities, working with vulnerable groups, such as children or adults at risk, is a core part of the operation. In these instances, safeguarding is not just a policy; it is a legal and moral imperative.
You have a duty to ensure that the people you hire are suitable to work with your beneficiaries. This usually involves carrying out Disclosure and Barring Service (DBS) checks. The level of check required (Basic, Standard, or Enhanced) depends entirely on the role and the level of contact the individual has with vulnerable people.
It is vital to remember that you cannot simply blanket check everyone. You must only request a check that is relevant to the role. Failing to carry out necessary checks can put beneficiaries at risk, but carrying out ineligible checks acts against data protection laws. Striking the right balance requires a clear, up-to-date safeguarding policy that intersects with your recruitment and onboarding process.
Even in a compassion-led environment, relationships can break down or performance can dip. Charity leaders often struggle with this, fearing that formal disciplinary action feels too ‘corporate’ or harsh.
However, failing to address issues can damage morale and hinder your mission. UK employment law requires you to act fairly and reasonably. This means having clear disciplinary and grievance procedures in place and sticking to them.
You cannot simply dismiss an employee because they aren’t the right fit. Unless there is gross misconduct, you generally need to follow a process of warnings and give the employee a chance to improve. For staff with more than two years of service, they have protection against unfair dismissal, meaning you must have a fair reason (such as capability or conduct) and follow a fair process.
Charities often lead the way in championing social justice, so it is natural to expect the sector to excel in Equality, Diversity, and Inclusion. The Equality Act 2010 protects people from discrimination based on nine protected characteristics, including age, disability, race, and religion.
For charities, this extends beyond just how you treat your staff; it impacts how you recruit. You must ensure your job adverts don’t inadvertently discourage certain groups from applying.
There is a specific area where charities have a unique legal position. In very limited circumstances, a charity can restrict benefits to people with a specific protected characteristic if it aligns with its charitable instrument (its governing document). For example, a charity set up specifically to help women escaping domestic violence may be able to justify employing only women in certain support roles. This is a complex area, however, and we always recommend seeking professional advice before applying such restrictions.
Navigating employment law can feel daunting, especially when resources are tight. But compliance isn’t about ticking boxes or fearing tribunals. It is about building a foundation of trust and respect.
When your employment practices are sound, your team feels valued and secure. When your volunteers are managed correctly, they feel appreciated rather than exploited. And when your safeguarding is robust, your beneficiaries are protected.
You don’t have to be a legal expert to run a compliant charity. You just need to be aware of the risks and know when to ask for support. By getting the basics right, you ensure that your organisation is sustainable, resilient, and ready to make a difference for years to come.
We know that for many charities, hiring a dedicated HR manager simply isn’t in the budget. That’s where SafeHR comes in. We act as your extended team, providing the expert guidance and practical support you need to navigate employment law with confidence.
From drafting watertight volunteer agreements to guiding you through difficult disciplinary processes, we’re here to protect your charity so you can focus on changing lives.
Get in touch with SafeHR today to find out how we can support your charity.
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