Topic 8: Employment and further aspects of law

This set of flashcards covers employment status categories, implied duties of employers and employees, dismissal types (unfair, wrongful, redundancy), statutory protections (Equality Act 2010, Modern Slavery Act 2015), and the Data Protection Act 2018.

Employee

A worker who operates under a contract of service.

Independent contractor

A worker who operates under a contract for services.

PAYE

The system of 'pay as you earn' deductions from salary to which employees are subject for taxation.

Social Security contributions for Independent Contractors

Independent contractors are required to pay $\text{Class 2}$ and $\text{Class 4}$ contributions.

Personal service

An essential element of a contract of service where the employee must have agreed to provide their own work and skill.

Mutuality of obligations

The requirement for an Employer to provide work and an Employee to do that work; its absence means a casual worker is not an employee.

Ready Mixed Concrete (South East) case

A case that determined Mr Latimer was not an employee but a 'small business man' on his own account because he was only paid for work done and provided his own delivery lorry.

Written statement of prescribed particulars

A document an employer must provide to an employee on or before the first day of employment containing key terms such as pay, hours, and job title.

Duty of faithful service (fidelity)

A common law implied duty on the employee to act in the interest of the employer.

Duty to indemnify

A common law implied duty of the employer to compensate employees for expenses or losses incurred in the course of their work.

ICI v Shatwell

A case where the employer was not held vicariously liable because the employees (brothers) deliberately acted in defiance of express instructions and statutory regulations.

Health and Safety at Work Act 1974 requirement

Employers with more than $\text{5}$ employees must prepare a written statement on health and safety issues.

Statutory minimum notice for 2 to 12 years of service

Not less than $\text{1 week}$ per year of continuous employment.

Statutory minimum notice for 12 or more years of service

Not less than $\text{12 weeks}$.

Objective justification test

A test to avoid liability for discrimination if the employer proves their actions were a proportionate means of meeting a legitimate aim.

Modern Slavery Act 2015 turnover threshold

Commercial organisations with an annual turnover in excess of $£36\text{ million}$ must publish an annual Modern Slavery Statement.

Unfair Dismissal qualification period

The employee must generally have been continuously employed for at least $\text{2 years}$ to pursue a claim.

Constructive dismissal

Occurs when an employee resigns because the employer committed a serious breach of contract and the employee did not waive that breach.

Automatically unfair reasons for dismissal

Reasons such as pregnancy, trade union membership, or making a protected disclosure (whistleblowing) where the $\text{2-year}$ service rule does not apply.

Wrongful dismissal

A common law claim for dismissal in breach of contract, typically involving termination with no notice or insufficient notice.

Summary dismissal

Termination of employment without notice, which is lawful in cases of gross misconduct, gross negligence, or dishonesty.

Redundancy

A fair reason for dismissal occurring when the employer ceases business in a location or the requirement for work of a particular kind diminishes.

Vaux and Associated Breweries v Ward

A case where redundancy was not found because the duties remained necessary; the employer simply wanted younger staff, meaning the requirement for that work had not changed.

Data Protection Act 2018 (DPA 2018)

UK legislation that protects individuals (data subjects) and embodies the principles of the EU GDPR.

Data minimisation

A DPA primary principle stating that data must be adequate but not excessive for its purpose.

Right to erasure

The right of a data subject 'to be forgotten' and have their personal data erased.

Maximum fine under the DPA 2018

Non-compliance can result in a fine of up to $£17.5\text{ million}$ or $4\%$ of global turnover, whichever is higher.

Environment Act 2021

UK legislation that allows the government to enshrine better environmental protection into law as part of environmental sustainability.