Wages and Working Time Flashcards
Example case - hours where workers are ‘on call’ count as working time if they’re required to be present at the place decided by the employer
Jaeger [2003]
Definition of working time
Regulation 2 WTR 1993
Working time must not exceed 48hrs a week over a 17 week period, including overtime
Regulation 4 WTR 1993 - BUT… it’s not clear what steps the employer must take to fulfil this obligation
Held that the opt-out of the 48hr working week must expressly and freely come from the individual, not just be in the contract of employment
Pfieffer v Deutsches Rotes Kreisler [2005]
3 main functions of statutory provisions on wages
- wage and salary protection
- Income security for lay-offs or sickness
- Security for a basic level of income
Case for employer’s being liable for damages if they failed to perform their contractual obligations
Devonald [1906]
Common law test for whether an employer can recover overpayment
Kleinwort Benson v Lincoln CC - 3 stage test
- employer led them to believe the money was theirs
- they acted in good faith
- overpayment wasn’t caused by their own fault
Statutory provision which ensures that any EMPLOYEE that is subject to unnoticed deductions from their wages is paid back by the employer
s.12(4) ERA
Statutory provisions of an EMPLOYEE’S right to an itemised pay statement and any deductions
s. 8 ERA
s. 9 ERA
Statutory right for ALL WORKERS not to suffer unauthorised deductions from wages
s.13 ERA - must be ‘properly payable’ wages
Shares given to employees as part of a scheme don’t count as wages for the purposes of s.13 ERA because they aren’t an identifiable sum of money
Coors Brewers v Adcock [2007]
Excepted deductions to wages for ALL WORKERS in statute
s.14 ERA
Case which developed the rule - deductions from wages are allowed for losses suffered by the employment BUT they can’t be excessive
Giraud UK v Smith [2000] - unlimited contractual right to make deductions was excessive
Statutory provisions which state that workers have a right not to have to make payments to their employer and the exceptions
s. 15 ERA
s. 16 ERA
Example of an exception to the right not to have to make payments to their employer under s.16
El-Hajjali [2008] - highly skilled position so would pay if they didn’t start work - was lawful –> RARE
Statutory protection for retail workers
s.17-22 ERA
Deductions can be made from worker’s wages if because of industrial action part or all performance of their duties is effected
Wiluszynski v London Borough Tower Hamlets [1989] - employer is entitled to demand full performance of their contractual obligations
Minimum of paid annual leave of 5.6 weeks - no exception
BECTU
Statutory definition of wages
s.27 ERA
Deduction for wages claims are limited to 2 years of arrears
Deductions from Wages (Limitations) Regulations 2014
Established the principle that there is prima facie an entitlement to be paid wages for the period of lay off and any period of notice (not the same as a right to work)
Devonald [1906] - because of the availability obligation
- doesn’t apply to casual workers
Harsher approach to lay-off pay for workers which distinguished Devonald - allows contracts which include periods of lay-off and short term working for indefinite periods
Craig v Bob Lindfield [2015] - resignation was premature
Define ‘gardening leave’
The practice of requiring an employee not to attend their employer’s premises for work during their notice period. Instead, the employee is paid their full salary (inc. bonuses) to stay at home.
There needs to be an express ‘gardening leave’ clause for it to be enforceable against the employee during the period of notice
William Hill v Tucker [1998]
Two ‘gardening leave’ cases
- William Hill v tucker [1998]
2. Hall [2013]
Right to ‘guarantee payment’ if a contract doesn’t include a clause on lay-off pay
s.28 ERA (not in statute book for some reason) - get £28 a day for maximum of 5 days after a month of continuous employment
Can imply a term into the workers contract that they’re entitled to sick pay if there is sufficient evidence that they would have agreed to sick pay - low bar
Aspen v Webbs Poultry & Meat Group [1996]
Provides a basic level of income if there is no implied or express clause for sick pay in the worker’s contract
Statutory Sick Pay - paid via the employer
Example case of performance/profit-related pay as part of wages therefore there is an implied term that the employer must make the payment
Clark v Nomura [2000] - was able to bring common law action for debt for not being paid his bonus in his last few years of employment despite making substantial profit for the company
or Commerzbank v Keen [2006] - entitled to bonus for at least the part of the year he worked
Definition of worker within the scope of the National Minimum Wage Act 1998
s.54(3) NMWA - broad definition
Exceptions to the National Minimum Wage
s.44-45 NMWA 1998
Three issues with calculation of the NLW/NMW
- “sleeping time”
- “on call time”
- travelling time