MERANA JAMES v GREENWICH LONDON BOROUGH COUNCIL
(2008)
[2008] EWCA Civ 35
CA (Civ Div) (Mummery LJ, Thomas LJ, Llloyd J) 5/2/2008
EMPLOYMENT - CONTRACTS -
LOCAL GOVERNMENT
AGENCY WORKERS :
CONTRACTS OF EMPLOYMENT : EMPLOYMENT STATUS : IMPLIED CONTRACTS : UNFAIR
DISMISSAL : TRIPARTITE RELATIONSHIP : IMPLIED CONTRACTS OF EMPLOYMENT
An employment tribunal had been entitled to hold that
there was no implied contractual relationship between a local authority and an
agency worker where the provision of work by the local authority and the
performance of that work by the agency worker was explained by their respective
express contracts with an employment agency and it was not necessary to imply
the existence of another contract in order to give business reality to the
relationship between the parties.
The appellant
worker (J) appealed against a decision ((2007) ICR 577) to uphold a decision of an
employment tribunal dismissing her claim for unfair dismissal against the
respondent local authority.
J had been supplied
by an employment agency to carry out work for the local authority.
J worked under that
arrangement for two years but then changed to a different agency and signed a
"temporary worker agreement" with them.
During the total of
over three years that she worked for the local authority she was subject to a
degree of control over her work and conditions, but she was paid by the
agencies on the basis of weekly timesheets completed by her.
J was then absent
for two months through sickness.
She did not notify
the local authority of the reasons for her absence and did not receive sick
pay.
Following the
period of absence, J returned to work to find that another agency worker had
arrived to cover the same shifts.
Thereafter, J did
not undertake any further work for the local authority and claimed unfair
dismissal.
The tribunal held
that there was an absence of the required mutuality of obligation to support
the existence of a contract between J and the local authority, and there were
no facts from which a contract of service could be implied from the nature of
the arrangement.
J submitted that
the tribunal was perverse in not making a finding that J was employed under an
implied contract of service.
A finding that J
was an employee of the local authority was, J argued, the only one that
accorded with the practical reality of the workplace relationship between the
parties including the length of J's continuous service, that she was expected
to work on the days indicated on a monthly rota, and the fact that the local
authority expected her to return to work after her sickness.
HELD: The
tribunal was entitled to conclude that J was not an employee of the local
authority because there was no express or implied contractual relationship
between the parties.
J's only express
contractual relationship was with the employment agency.
The local
authority's only express contractual relationship was also with the agency.
There were no
grounds for treating the express contracts as other than genuine contracts.
The relevant
question in the tripartite setting was whether it was necessary to imply mutual
contractual obligations between the end user to provide the worker with work
and the worker to perform the work for the end user.
The tribunal was
not perverse in holding that it was unnecessary to imply a third contract
between J and the local authority.
The provision of
work by the local authority, its payments to the employment agency and the
performance of work by J were all explained by their respective express
contracts with the agency, so that it was not necessary to imply the existence
of another contract in order to give business reality to the relationship
between the parties.
Appeal dismissed
Counsel:
For the
appellant: Richard O'Dair
For the respondent: Jonathan Cohen
Solicitors:
For
the appellant: Hammersmith and Fulham Law Centre
For the respondent:
Local authority solicitor
LTL 5/2/2008 (Unreported elsewhere)
Judgment: Approved
subject to editorial corrections - 14 pages
Document No. AC0116254
Source: Lawtel http://www.lawtel.co.uk , copyright
acknowledged.