Collective bargaining and agreements
Claire Thomas is managing associate, and Chris McAvoy, Joelle Parkinson, David Rintoul, and Gerri Hurst associates at Addleshaw Goddard LLP. They round up the latest rulings.
In Rosenbladt v Oellerking Gebäudereinigungsges mbH [2011] IRLR 51 ECJ, the ECJ held that art.6(1) of the Equal Treatment Framework Directive does not necessarily preclude domestic legislation that permits the use of automatic termination clauses based on the retirement age, or the use of such clauses in collective agreements. The crucial issue is whether or not such measures are objectively justified.
In Malone and others v British Airways Plc [2011] IRLR 32 CA, the Court of Appeal held that the provisions of a collective agreement that purported to set "minimum" cabin crew numbers for different routes and types of aircraft were not incorporated into individual employees' contracts of employment. The provisions amounted to a collective undertaking to operate with minimum numbers so as to protect jobs and guard against excessive workloads, and were binding in honour only.
In Malone and others v British Airways plc [2010] IRLR 431 HC, the High Court held that the provisions of a collective agreement purporting to set "minimum" cabin crew numbers for different routes and types of craft were not incorporated into individual employees' contracts of employment. In any event, an injunction would not be granted to restrain the employer from reducing cabin crew numbers below the levels specified, and, even if there had been a breach of contract, any award for damages would be for a nominal amount only.
In Parkwood Leisure Ltd v Alemo-Herron and others [2010] EWCA Civ 24 CA, the Court of Appeal held that, where the transfer of an undertaking occurs, and the transferring employees' contracts contain a clause referring to a collective agreement between the transferor and the relevant union, the transferee is not obliged to recognise wage increases agreed by the transferor and the union after the transfer has occurred resulting from negotiations to which the transferee was not a party.
Susannah Jarvis (associate) and Kate Williams (professional support lawyer), Addleshaw Goddard, analyse important recent rulings.
In Rolls-Royce plc v Unite [2009] EWCA Civ 387 CA, the Court of Appeal held that a redundancy selection matrix set out in a 2003 collective agreement was not automatically rendered unlawful following the implementation of the age discrimination legislation in 2006.
In Rolls-Royce v Unite [2008] EWHC 2420 HC, the High Court held that two collective agreements that set out an approach to redundancy giving points for length of service in the selection process were lawful under the age discrimination legislation.
In a controversial ruling issued in April 2008, the European Court of Justice (ECJ) found that public authorities cannot demand that companies that are awarded works contracts must pay wages to all workers (including workers posted from other countries) that are in line with rates set out in collective agreements applicable to the place of work.
This article looks at some of the important judgments in the area of the transfer of undertakings over the past year.
Employment law cases: HR and legal information and guidance relating to collective bargaining and agreements.