20 April 2007

NEWS

Amicus and T&G Begin Merger Talks to Create First Global Super Union

As Amicus and T&G prepare for their merger on 1 May 2007, they have announced that they have begun talks with a large US and Canadian trade union to create the first global super union.  Read more

British Workers Reveal Computer Passwords for a Chocolate Bar

A report by Infosecurity Europe has revealed that British workers readily divulged their computer passwords to a stranger in exchange for a chocolate bar and a smile.  Read more

Immigrants Face Being Forced Out of UK by Changes to Work Permit System

Retrospective changes to the Highly Skilled Migrant Programme (HSMP) could force more than 40,000 immigrant workers out of the UK.  Read more

Employers Associate Obesity with Laziness and a Lack of Self-Control

Nuffield Proactive Health, a health consultancy, has found that 70 per cent of employers associate obesity with laziness and a lack of self control.  Read more

"Relatively Small Fall in Union Member Figures is Actually a Success Story" Says TUC

The TUC General Secretary, Brendan Barber, has responded positively to a fall in trade union membership announced by the DTI, claiming "economic changes mean that unions have to run hard just to keep still".  Read more

Workplaces Failing to Implement Effective IT and Email Policies

A survey by network content technology firm Chronicle Solutions has revealed that more than 30 per cent of respondents did not have Acceptable Use Policies (AUP) setting out what is and what is not acceptable use of IT and email at work.  Read more

Timetable for New Points Based Immigration System Unveiled

The Immigration Minister, Liam Byrne, has unveiled the timetable for the introduction of the UK's points-based immigration system which is based on the Australian model.  Read more

LEGISLATION

Flexible Working (Eligibility, Complaints and Remedies) (Amendment) Regulations 2007

The definition of "relative" in the new flexible working provisions introduced on 6 April 2007 is being amended to include "son-in-law" and "daughter-in-law". Read more

CASES

Contracts Not Varied to Include Right to Paid Overtime

The EAT has held that the fact that 2.5 hours overtime had been habitually worked over a period of a year did not mean that employment contracts had been impliedly varied so as to include a contractual right to the paid overtime.  Read more

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NEWS

Amicus and T&G Begin Merger Talks to Create First Global Super Union

As Amicus and T&G prepare for their merger on 1 May 2007, they have announced that they have begun talks with a large US and Canadian trade union to create the first global super union.

This new global union will involve a merger with the United Steel Workers of America (USW), which has broadened its membership from steelworkers to tyre workers, forestry workers, healthcare staff and the energy industry.  It will result in the creation of an organisation with 3.4 million members in the UK, Ireland, US, Canada and the Caribbean. 

The talks, which were announced in Ottawa and London simultaneously, aim to conclude within a year and include a commitment to approach unions in Germany and Australia. If a global union is formed it will belong to the TUC and the American Federation of Labor and Congress of Industrial Organizations, which represents 54 unions in the US and Canada. 

The TUC has welcomed the move.  A spokesman said: "We have always been in favour of closer international collaboration.  With companies working on a global scale, unions need to work at a global level."

Two years ago the general secretary of Amicus, Derek Simpson, signed up to a strategic alliance with USW. He is the main proponent behind this new merger. 

Mr Simpson said: "One of the main reasons for the merger between Amicus and the T&GWU was our desire to create an international trade union that would be able to deal with multinational companies on an equal footing.  Coming as it does hot on the heels of our mergers, today's announcement demonstrates the resonance that the idea of a global super union has."

"Multinational companies are pushing down wages and conditions for workers the world over by playing one national workforce off against another.  The only beneficiaries of globalisation are the exploiters of working people and the only way working people can resist this is to band together."

The general secretary of the T&G, Tony Woodley, indicated his support for the new merger with USW.  He said: "This is an historic step for global trade unionism, and will help working people to look even the biggest employer in the eye."

The USW international president, Leo W Gerard, reiterated the need for a global union to match the growing number of global employers.  He said: "The time for global unionism has arrived.  We need cross-border organising strategies to protect workers against the mobility of capital that knows no borders.  Workers want their unions to develop labour contracts that encompass global employers.  We must meet the challenge and defend human rights for all." (Guardian, 19 April 2007)  Back

British Workers Reveal Computer Passwords for a Chocolate Bar

A report by Infosecurity Europe has revealed that British workers readily divulged their computer passwords to a stranger in exchange for a chocolate bar and a smile.

The survey involved stopping London commuters and asking them to participate in the survey in exchange for a chocolate bar.  The respondents were asked if they knew what the most common IT password is and then asked them to reveal their own password.

Approximately 40 per cent of the commuters questioned readily revealed their password with a further 22 per cent revealing their password after further coaxing. 

The study was also conducted at an exhibition for IT professionals where 22 per cent IT workers revealed passwords straight away and a further 42 per cent revealed their passwords after further questioning.  (Financial Times, 16 April 2007)  Back

Immigrants Face Being Forced Out of UK by Changes to Work Permit System

Retrospective changes to the Highly Skilled Migrant Programme (HSMP) could force more than 40,000 immigrant workers out of the UK.

The changes were introduced by the Home Office in November last year following a 27 day suspension to the Programme, with those who applied during the suspension period having to resubmit their application and be assessed against the new criteria.  The changes resulted in the campaign and support group, the HSMP Forum, meeting with the Immigration Minister, Liam Byrne, and seeking "urgent action" to review the changes.  Despite agreeing to review the changes, migrant workers continue to receive letters telling them to leave the country.

The director of the HSMP Forum, Ami Kapadia, said: "There are many people in states of severe depression – it is very worrying.  Many people have families to support." 

Liam Byrne was unavailable for comment.  (Personnel Today, 18 April 2007)

To see our earlier Briefing on the changes click here.  Back

Employers Associate Obesity with Laziness and a Lack of Self-Control

Nuffield Proactive Health, a health consultancy, has found that 70 per cent of employers associate obesity with laziness and a lack of self control.

Recent evidence of a genetic element contributing to obesity was unveiled by scientists from Oxford University and the Peninsular Medical School in Exeter.  However, the Nuffield survey of 497 line managers and directors suggests that UK employers believe obesity is linked to character traits.

These results support the findings of an obesity awareness survey conducted by Personnel Today which discovered that over 90 per cent of HR professionals said there was a social stigma about obesity. 

To view a summary of the findings of Personnel Today's survey click here.  (Personnel Today, 16 April 2007)  Back

"Relatively Small Fall in Union Member Figures is Actually a Success Story" Says TUC

The TUC General Secretary, Brendan Barber, has responded positively to a fall in trade union membership announced by the DTI, claiming "economic changes mean that unions have to run hard just to keep still".

Mr Barber said: "Today's relatively small fall in the number of union members is actually a union success story, given the continuing decline in traditionally unionised jobs in sectors such as manufacturing.  Indeed after falling strongly through the 1980s and early 1990s, union membership has roughly stabilised since 1997."

"These economic changes mean that unions have to run hard just to keep still.  Detailed analysis of the figures shows that unions are reaching out to new sections of the workforce – for example the growth in union density in recent years among women and professional workers."

"And unions are putting increasing efforts into organising new sectors and in new companies, with important recognition deals in cleaning and security in recent years.  Today's figures also concede that recent official statistics have underestimated union membership."

"But unions need to run just that bit faster in order to start gaining members overall, and I am confident they can rise to that challenge.  The merger of the TGWU and Amicus into a new union will free up £5 million for new organising.  And the continuing success of unionised companies such as Tesco, shows that employers have nothing to fear from constructive relations with unions and much to gain from the boost to productivity from the training, participation and workplace safety that unions provide."

To view a copy of the DTI's Trade Union Membership 2006 publication click here.  (TUC Press Release, 19 April 2007)  Back

Workplaces Failing to Implement Effective IT and Email Policies

A survey by network content technology firm Chronicle Solutions has revealed that more than 30 per cent of respondents did not have Acceptable Use Policies (AUP) setting out what is and what is not acceptable use of IT and email at work.

The survey also discovered that of those respondents who did have an AUP at work, 94 per cent said that they had not read it recently, with 42 per cent not having read it in the last year and 33 per cent not being able to recall when they had last seen it. 

None of the respondents indicated that blogging was covered by their employer's AUP and almost 80 per cent of respondents said they were not sure whether there were penalties for breaching their employer's AUP.

David Lacey, Internet Security Consultant, said: "These findings are a matter of serious concern.  Corporate reputations can be damaged by errant bloggers, fraud can be perpetrated via email, proprietary information can be leaked or sold for profit, private employee data can be shared, sexual harassment can be perpetrated, all on workplace PCs.  Instant messaging and Web mail in particular are two of the most persistent vectors of information leakage, yet even those look to be absent from most AUPs."

Alan Watkins, the Executive Chairman of Chronicle Solutions, said: "The apparent reluctance of employers in the UK to develop and then enforce well-defined polices for the use of company computing assets, leaves them exposed to a universe of potential hazards.  British companies must take steps to implement, regularly update and then police a comprehensive AUP and ensure that all employees understand their responsibilities".  (Workplace Law, 16 April 2007)  Back

Timetable for New Points Based Immigration System Unveiled

The Immigration Minister, Liam Byrne, has unveiled the timetable for the introduction of the UK's points-based immigration system which is based on the Australian model.

The new system will be phased in from early 2008 and will enable the British Government to manage migration to the UK more effectively, tackle abuse and attract the most talented workers into the UK economy.

Mr Byrne said: "Migration has to support Britain's national interests.  A new Australian style points based system will be simpler, clearer and easier to enforce.  Crucially it will give us the best way of letting in only those people who have something to offer Britain."

"With the exception of an elite group of highly skilled migrants all other foreign workers or students will need a UK sponsor to vouch for them and help us make sure they are playing by the rules.  A new £20 million network of Border and Immigration Agency officers will be making the checks."

"Meanwhile, the discussions taking place in Australia with the United States, Canada and Australia will help us work globally to tackle the global phenomenon of illegal immigration and make it easier for legal travellers to move quickly."

The new system will work alongside measures designed to secure the UK's borders and will allow migrants to come into the UK under one of five tiers, replacing more than 80 existing routes of entry.  The first tier, which caters for skilled migrants such as scientists and entrepreneurs, will be the first to be launched at the beginning of 2008.  (Home Office Press Release, 18 April 2007)  Back

LEGISLATION

Flexible Working (Eligibility, Complaints and Remedies) (Amendment) Regulations 2007

The definition of "relative" in the new flexible working provisions introduced on 6 April 2007 is being amended to include "son-in-law" and "daughter-in-law".

The inclusion of "son-in-law" and "daughter-in-law" was originally proposed by the Government in its consultation paper in January 2006 and was omitted from the legislation by mistake.  The extension to the definition of relative will take effect on 3 May 2007 and give employees who care for their son-in-law or daughter-in-law the right to request flexible working.    

Flexible Working (Eligibility, Complaints and Remedies) (Amendment) Regulations 2007

ACAS, in collaboration with Carers UK, is running a series of short sessions on the new right for carers to request flexible working and what it means for employers.

The sessions are being run in April and May throughout the country.

For further information on these and other ACAS sessions click here.  Back

CASES

Contracts Not Varied to Include Right to Paid Overtime

The EAT has held that the fact that 2.5 hours overtime had been habitually worked over a period of a year did not mean that employment contracts had been impliedly varied so as to include a contractual right to the paid overtime.

Mr McDonald and Mr Thomson were charge-hand drivers who headed up teams carrying out emergency repair work to Council property.  At the start of their contracts they worked 2.5 hours non-contractual overtime each week. 

They continued to work this overtime for over a year.  An issue subsequently arose as to whether they had acquired a contractual right to the paid overtime. 

The employment tribunal held that since the claimants had been working overtime for over a year, their contracts had been impliedly varied to include a contractual right to overtime.  Applying the "officious bystander" test, it held that the parties would have agreed to such a variation had an “officious bystander” suggested it.  The Council appealed to the EAT. 

The EAT allowed the appeal and found that the contracts had not been varied so as to include a contractual right to overtime.  Contracts can only be varied by agreement between the parties and there was nothing to suggest there had been any actual agreement (whether express or implied) in this case.  The "officious bystander" test was not sufficient, nor was the fact that the claimants had been working the overtime for over a year. 

This case shows that in order to demonstrate that an employment contract has been varied, it is necessary to establish that the parties have actually agreed to the variation.  This could be by way of express agreement, or impliedly.  An implied agreement to vary could arise where the employer proposes a change to the contract which has an immediate impact on the employee who then works on without protest – the fact of working on without protest suggests the employee agrees.  An agreement to vary the contract cannot, however, be implied just because the parties might have agreed to it had they thought of it, nor because the employees had worked the overtime for over a year.  In this case, the fact that the employees were in the habit of working overtime, or even expected to work overtime, did not mean that the employer had agreed it would guarantee to provide it

North Lanarkshire Council v McDonald and another  Back

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© Pinsent Masons 2007

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National Head of Employment

Chris Booth