`The Chartered Institute of Payroll Professionals
News On Line
Holiday pay revisited in tribunal for gig workers Published: 7 March 2023 Emailed: 8 March 2023
In an employment appeal tribunal, 49 medical couriers have been allowed to pursue their claim for unlimited backdated holiday pay.
The original case was raised in 2018, where the medical couriers were represented by the Independent Workers’ Union of Great Britain (IWGB). The claim for backdated holiday pay was made from their engager, The Doctors Laboratory (TDL), which for some would date back to 1999. The couriers argued that their working relationship was like that of a ‘ worker ’ rather than ‘ self-employed ,’ meaning they would receive paid annual leave. Although the employment status has not yet been established as a ‘ worker ’ , the couriers were granted backdated holiday pay for two years. However, the appeal was delayed until the judgment from the Smith v Pimlico Plumbers case. This Court of Appeal concluded that provided a claim for holiday pay was made by the worker within three months of the termination of an engagement, the worker is entitled to retrospective unpaid leave. As a result of the 2022 judgement, the couriers case will now be reheard at a new employment tribunal factoring in the Smith v Pimlico Plumbers case law. The upcoming couriers appeal could help to refine the division between a ‘ worker ’ and ‘ self-employed ’. If the employment tribunal decides that the couriers are ‘workers’ then this also has the potential to open up many more cases in the gig economy.
It is crucial for employers and their agents to get the employment status right for all employees. In practice this exercise should be reviewed for anyone working as a self-employed contractor and seek the appropriate legal advice.
Back to contents
Legislation
Statutory code to prevent employers from using unjust fire and rehire tactics
Published: 7 April 2022 Emailed: 11 May 2022
A new statutory code of practice has been announced in parliament on the practice of ‘fire and rehire’. The code will guide employers on the consultation process they must engage in with employees before changing their employment terms. ‘Fire and rehire’ refers to the practice of dismissing workers and immediately re -employing them on different employment terms. The Department for Business, Energy and Industrial Strategy (BEIS) has expressed their intention to clamp down on employers dismissing workers without consultation, or unscrupulously pressuring them to be rehired on less favourable terms. Earlier this year, the company P&O Ferries was brought into the spotlight after dismissing 800 workers on the spot through a pre- recorded zoom call, with no prior consultation. Even though this was a case of ‘fire and replace’ and not ‘fire and rehire’, BEIS has commented that their ‘disgraceful actions’ have led the government to realise the need for greater clarity for employers. The new statutory code of practice will give detailed guidance on how to engage in ‘fair, transparent, and meaningful consul tations’ on proposed changes that affect the employment of workers. The code of practice will make clear the process and steps employers should take when making decisions that affect employees. Where tribunals bring cases to court, including cases of unfair dismissal, judges will have the power to increase employee’s compensation by 25% if an employer fails to comply with the code.
Back to contents
New bill announced to give seafarers fair remuneration
cipp.org.uk
Page 26 of 238
Made with FlippingBook - Online magazine maker