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JUNE 2018
STEVENS&BOLTON
 
 
EMPLOYMENT UPDATE
 

Welcome to the June 2018 edition of the employment update - providing a monthly update on key legal issues for employers.

 
 
 
 
 
New rules on taxation of termination payments

New rules came into force on 6 April 2018 which changed the taxation of termination payments where both employment ends and the termination payment is received on or after that date. The new rules are designed to simplify the taxation of termination payments, but in reality, the rules are complex and are often leading to increased difficulty calculating the correct tax on termination. Read more

 
 
 
The Supreme Court considers when contractual notice of termination takes effect

In the case of Newcastle upon Tyne Hospitals NHS Foundation Trust v Haywood, the Supreme Court held that, where notice of dismissal is sent by post and the employment contract is silent on when notice takes effect, the contractual period of notice only starts to run when the letter comes to the attention of the employee and they have read it, or have had a reasonable opportunity of doing so. Read more

 
 
 
Last straw may give right to terminate despite affirmation of previous conduct

The recent Court of Appeal case of Kaur v Leeds Teaching Hospitals NHS Trust provides some helpful guidance on constructive unfair dismissal claims. In particular, the Court has held that an employee can resign and claim constructive unfair dismissal following a final act (known as the last straw) and rely on the whole of their employer’s conduct, even where the employee has previously affirmed the contract. Read more

 
Asking a Muslim employee whether they support a terrorist group is not religious discrimination or harassment when taken in context

In Bakkali v Greater Manchester Buses (South) Ltd (t/a Stage Coach Manchester) the Employment Appeal Tribunal found that conduct cannot be taken out of context when determining whether a statement amounts to religious discrimination or harassment. Read more

 
 
 
 
Proximity to the transfer is an important factor in deciding whether a dismissal is automatically unfair under TUPE

The Employment Appeal Tribunal confirmed in Hare Wines Ltd v Kaur that where an employee is dismissed immediately prior to a TUPE transfer, the proximity of the dismissal to the transfer will be an important factor in determining whether the sole or principal reason for the dismissal was the transfer, and so if the dismissal was automatically unfair under TUPE. This could be the case even where other factors are also in play. Read more

 
 
 
UK implementation of the new Trade Secrets Directive

The EU Trade Secrets Directive will be implemented in the UK through the Trade Secrets (Enforcement, etc.) Regulations 2018 which comes into force on 9 June 2018. The Regulations will not bring about any substantial amendments to the existing law in the UK, since the present common law position on breach of confidence and breach of contract, in combination with the procedural code in place under the Civil Procedure Rules, largely cover the main provisions of the Directive. The new legislation will broadly operate in parallel with the current common law on breach of confidence. Read more

 
Tier 2 visas - a challenge for the tech sector

S&B's Kerry Garcia and Jackie Penlington provide practical actions to take to safeguard your Tier 2 sponsor licences in this recent article in Computer Weekly. Read more

 
 
 
 
 
KEY CONTACTS
 
KERRY GARCIA
 
KERRY GARCIA
 
Partner
 

+44 (0)1483 734270

 
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LLOYD DAVEY
 
LLOYD DAVEY
 
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+44 (0)1483 734232

 
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HANNAH FORD
 
HANNAH FORD
 
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+44 (0)1483 401218

 
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GABRIELLE HOLGATE
 
GABRIELLE HOLGATE
 
Partner
 

+44 (0)1483 734285

 
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