Hoping to create a climate "of mutual respect and loyalty'', the Labour Minister has released a "code of employment practice'' to alert workers and their bosses on what they should expect from each other.

The document, which was tabled by the Hon. Irving Pearman in the House of Assembly on Friday, is not legally binding, although businesses, especially small ones, are encouraged to use the code to reduce or eliminate any workplace conflicts that may arise.

"It's important, given today's competitive atmosphere, that the relations between employers and employees be vitally understood,'' Mr. Pearman told The Royal Gazette . "This is just to guide and help the various parties.'' Among the areas that the code of practice covers are salary and wages, hours of employment, leave, pension plans, termination and grievance resolution.

Most of the sections, which also come with "illustrative examples'', offer straightforward advice in easily understood language.

Under the section for salary and wages, for example, the code advises an employer to follow such basic guidelines as stating the gross salary or wage "either per hour, per week or per annum'' and providing "a statement of when and how the salary or wage will be paid''.

Other issues are more complex. Under leave, for instance, various guidelines have been drawn up for a number of workplace scenarios, including illness, maternity and instances where compassionate leave may be warranted.

According to the Minister, some parties, like the Bermuda Employers' Council, have expressed "dissatisfaction'' with the code, which they feel sets a standard that every company, large or small, must rigidly meet.

But Mr. Pearman, who told The Royal Gazette that the code was a response to "hundreds of complaints from both employers and employees'', said the document was merely intended to facilitate dialogue between employees and their bosses.

"What (the complaints) made us realise is that the parties were not really sitting down at the onset and working these problems out,'' he said. "That's what we're trying to address.'' The code, in fact, makes it clear that the guidelines "are not exhaustive or directive. Employers and employees are free to enhance or amend the recommendations to suit individual needs''.

Furthermore, "the illustrative examples (that accompany each section of the code) are only intended as guidelines and not to set standards''.

Despite the criticism, Mr. Pearman said he is happy with the code, which his Ministry put together with the help of the Labour Advisory Council.

"We feel it's a positive step because there was a demand for it and because we have to prepare our workforce for the next century, which will be a very competitive one,'' he said, adding that he will be meeting with representatives from the Bermuda Employers' Council to address any further concerns they may have.

In the meantime, the code has been shelved until the end of Parliament's summer recess, which begins this week. Mr. Pearman said it would be re-introduced to the House in the fall, when it will be fully debated.

"I expect it will get some attention at that time,'' he said.

He also said that he hoped to circulate it among interested parties through such organisations as the Labour Advisory Council.