27 September 2011

National Minimum Wage

The National Minimum Wage (Amendment) Regulations 2011 have confirmed that the national minimum wage (NMW) will increase from 1 October 2011. For example, the NMW will increase from £5.93 to £6.08 per hour for workers aged 21 or over.

From 1 October 2011, living accommodation that is provided by a higher or further education institution for their full-time students will not count towards the NMW if the student works part-time for the institution: NMW (Amendment) (No. 2) Regulations 2011.

15 September 2011

What allowances should be included in a pilot’s holiday pay?

The ECJ has ruled that a pilot’s holiday pay should include an allowance (e.g. a flying time allowance) that is intrinsically linked to the performance of the pilot’s job duties [see para. 24].

However, the law did not require the pilot’s holiday pay to include an allowance (e.g. a time away from base allowance) that is intended to cover ancillary expenses arising from the performance of the pilot’s job duties [see para 25].

Williams v British Airways plc [C-155/10]

13 September 2011

Employer lawfully changed the terms of the contract

In Slade v TNT (UK) Ltd [EAT/0113/11], TNT carried out a cost cutting exercise in response to its declining profits. As a part of the exercise, TNT offered to pay “buy out” money to its employees if they agreed to the withdrawal of a bonus scheme. But TNT was unable to obtain the employees' agreement after it had consulted and negotiated with them.

TNT dismissed its employees and offered new contracts to them - after it had warned them that it would do so - if they did not accept its final offer. The employees were not entitled to a bonus under the new contracts.

The EAT held that the dismissals were fair – even though the new contracts were not accompanied with the “buy out” money - that TNT had initially offered to pay to its employees [see paras 38 and 39].

The Equality Act 2010 (Specific Duties) Regulations 2011

The Equality Act 2010 (Specific Duties) Regulations 2011 came into force on 10 September 2011.

Under reg. 3, certain public authorities must publish one or more specific and measurable equality objectives by 6 April 2012. They must continue to publish such objectives within four years after the date of the last publication.