Legalize / United Kingdom / Public General Act

Employment Rights Act 1996

Type Public General Act

Publication 1996-05-22

Last updated 2026-04-06

State In force

Department Statute Law Database

Source legislation.gov.uk

articles Not indexed

Reform history JSON API

(b) any Northern Ireland legislation making provision for purposes corresponding to any of the purposes of this Act,

apply, to such extent and for such purposes as may be specified in the Order (with or without modification), to or in relation to a person in offshore employment.

(3) An Order in Council under this section—

(a) may make different provision for different cases,

(b) may provide that all or any of the provisions referred to in subsection (2), as applied by such an Order in Council, apply—

(i) to individuals whether or not they are British subjects, and

(ii) to bodies corporate whether or not they are incorporated under the law of a part of the United Kingdom,

and apply even where the application may affect their activities outside the United Kingdom,

(c) may make provision for conferring jurisdiction on any court or class of court specified in the Order in Council, or on employment tribunals, in respect of offences, causes of action or other matters arising in connection with offshore employment,

(d) may (without prejudice to subsection (2) and paragraph (a)) provide that the provisions referred to in subsection (2), as applied by the Order in Council, apply in relation to any person in employment in a part of the areas referred to in subsection (1)(a) and (b),

(e) may exclude from the operation of section 3 of the Territorial Waters Jurisdiction Act 1878 (consents required for prosecutions) proceedings for offences under the provisions referred to in subsection (2) in connection with offshore employment,

(f) may provide that such proceedings shall not be brought without such consent as may be required by the Order in Council,

(g) may (without prejudice to subsection (2)) modify or exclude the operation of any or all of sections . . . 199 and 215(2) to (6) or of any corresponding Northern Ireland legislation.

(3A) Where an Order in Council under this section confers jurisdiction on an employment tribunal, the jurisdiction conferred includes power to make an order under section 12A of the Employment Tribunals Act 1996 (financial penalties), and that section applies accordingly.

(4) Any jurisdiction conferred on a court or tribunal under this section is without prejudice to jurisdiction exercisable apart from this section by that or any other court or tribunal.

(5) In this section—

“cross-boundary petroleum field” means a petroleum field that extends across the boundary between the United Kingdom sector of the continental shelf and a foreign sector of the continental shelf,

“foreign sector of the continental shelf” means an area outside the territorial waters of any state, within which rights with respect to the sea-bed and subsoil and their natural resources are exercisable by a state other than the United Kingdom,

“petroleum field” means a geological structure identified as an oil or gas field by the Order in Council concerned, and

“United Kingdom sector of the continental shelf” means the area designated under section 1(7) of the Continental Shelf Act 1964.

Chapter II — Other miscellaneous matters

Restrictions on disclosure of information

National security

202

(1) Where in the opinion of any Minister of the Crown the disclosure of any information would be contrary to the interests of national security—

(a) nothing in any of the provisions to which this section applies requires any person to disclose the information, and

(b) no person shall disclose the information in any proceedings in any court or tribunal relating to any of those provisions.

(2) This section applies to—

(a) Part I, so far as it relates to employment particulars,

(b) in Part V, sections 43M, 44, 45A , 47 and 47C, and sections 48 and 49 so far as relating to those sections,

(d) in Part VII, sections 66 to 68, and sections 69 and 70 so far as relating to those sections,

(e) Part VIII,

(eza) Part 8A,

(ea) Part 8B,

(f) in Part IX, sections 92 and 93 where they apply by virtue of section 92(4),

(g) Part X so far as relating to a dismissal which is treated as unfair—

(i) by section 98B, 99, 100, 101A(d) or 103, or by section 104 in its application in relation to time off under section 57A,

(ii) by subsection (1) of section 105 by reason of the application of subsection (2A), (3) or (6) of that section, or by reason of the application of subsection (4A) in so far as it applies where the reason (or, if more than one, the principal reason) for which an employee was selected for dismissal was that specified in section 101A(d) and

(h) this Part and Parts XIV and XV (so far as relating to any of the provisions in paragraphs (a) to (g)).

Contracting out etc. and remedies

Restrictions on contracting out

203

(1) Any provision in an agreement (whether a contract of employment or not) is void in so far as it purports—

(a) to exclude or limit the operation of any provision of this Act, or

(b) to preclude a person from bringing any proceedings under this Act before an employment tribunal.

(2) Subsection (1)—

(a) does not apply to any provision in a collective agreement excluding rights under section 28 if an order under section 35 is for the time being in force in respect of it,

(b) does not apply to any provision in a dismissal procedures agreement excluding the right under section 94 if that provision is not to have effect unless an order under section 110 is for the time being in force in respect of it,

(c) does not apply to any provision in an agreement if an order under section 157 is for the time being in force in respect of it,

(d) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(e) does not apply to any agreement to refrain from instituting or continuing proceedings where a conciliation officer has taken action under any of sections 18A to 18C of the Employment Tribunals Act 1996, and

(f) does not apply to any agreement to refrain from instituting or continuing . . . any proceedings within

(3) For the purposes of subsection (2)(f) the conditions regulating settlement agreements under this Act are that—

(a) the agreement must be in writing,

(b) the agreement must relate to the particular proceedings,

(c) the employee or worker must have received advice from a relevant independent adviser as to the terms and effect of the proposed agreement and, in particular, its effect on his ability to pursue his rights before an employment tribunal,

(d) there must be in force, when the adviser gives the advice, a contract of insurance, or an indemnity provided for members of a profession or professional body, covering the risk of a claim by the employee or worker in respect of loss arising in consequence of the advice,

(e) the agreement must identify the adviser, and

(f) the agreement must state that the conditions regulating settlement agreements under this Act are satisfied.

(3A) A person is a relevant independent adviser for the purposes of subsection (3)(c)—

(a) if he is a qualified lawyer,

(b) if he is an officer, official, employee or member of an independent trade union who has been certified in writing by the trade union as competent to give advice and as authorised to do so on behalf of the trade union,

(c) if he works at an advice centre (whether as an employee or a volunteer) and has been certified in writing by the centre as competent to give advice and as authorised to do so on behalf of the centre, or

(d) if he is a person of a description specified in an order made by the Secretary of State.

(3B) But a person is not a relevant independent adviser for the purposes of subsection (3)(c) in relation to the employee or worker—

(a) if he is, is employed by or is acting in the matter for the employer or an associated employer,

(b) in the case of a person within subsection (3A)(b) or (c), if the trade union or advice centre is the employer or an associated employer,

(c) in the case of a person within subsection (3A)(c), if the employee or worker makes a payment for the advice received from him, or

(d) in the case of a person of a description specified in an order under subsection (3A)(d), if any condition specified in the order in relation to the giving of advice by persons of that description is not satisfied.

(4) In subsection (3A)(a) “ qualified lawyer ” means—

(a) as respects England and Wales, a person who, for the purposes of the Legal Services Act 2007, is an authorised person in relation to an activity which constitutes the exercise of a right of audience or the conduct of litigation (within the meaning of that Act), and

(b) as respects Scotland, an advocate (whether in practice as such or employed to give legal advice), or a solicitor who holds a practising certificate.

(5) An agreement under which the parties agree to submit a dispute to arbitration—

(a) shall be regarded for the purposes of subsection (2)(e) and (f) as being an agreement to refrain from instituting or continuing proceedings if—

(i) the dispute is covered by a scheme having effect by virtue of an order under section 212A of the Trade Union and Labour Relations (Consolidation) Act 1992, and

(ii) the agreement is to submit it to arbitration in accordance with the scheme, but

(b) shall be regarded as neither being nor including such an agreement in any other case.

Law governing employment

204

(1) For the purposes of this Act it is immaterial whether the law which (apart from this Act) governs any person’s employment is the law of the United Kingdom, or of a part of the United Kingdom, or not.

(2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Remedy for infringement of certain rights

205

(1) The remedy of an employee for infringement of any of the rights conferred by section 8, Part III, Parts V to VIII, Part 8B, section 92, Part X and Part XII is, where provision is made for a complaint or the reference of a question to an employment tribunal, by way of such a complaint or reference and not otherwise.

(1YA) In relation to the right conferred by section 44(1A), the reference in subsection (1) to an employee has effect as a reference to a worker.

(1A) In relation to the right conferred by section 47B, the reference in subsection (1) to an employee has effect as a reference to a worker.

(1ZA) In relation to the right conferred by section 45A, the reference in subsection (1) to an employee has effect as a reference to a worker.

(2) The remedy of a worker in respect of any contravention of section 13, 15, 18(1) or 21(1) is by way of a complaint under section 23 and not otherwise.

General provisions about death of employer or employee

Institution or continuance of tribunal proceedings

206

(1) Where an employer has died, any tribunal proceedings arising under any of the provisions of this Act to which this section applies may be defended by a personal representative of the deceased employer.

(2) This section and section 207 apply to—

(a) Part I, so far as it relates to itemised pay statements,

(b) Part III,

(d) Part VI, apart from sections 58 to 60,

(e) Parts VII and VIII,

(ea) Part 8B,

(f) in Part IX, sections 92 and 93, and

(g) Parts X to XII.

(3) Where an employee has died, any tribunal proceedings arising under any of the provisions of this Act to which this section applies may be instituted or continued by a personal representative of the deceased employee.

(4) If there is no personal representative of a deceased employee, any tribunal proceedings arising under any of the provisions of this Act to which this section applies may be instituted or continued on behalf of the estate of the deceased employee by any appropriate person appointed by the employment tribunal.

(5) In subsection (4) “appropriate person” means a person who is—

(a) authorised by the employee before his death to act in connection with the proceedings, or

(b) the widow or widower, surviving civil partner, child, parent or brother or sister of the deceased employee;

and in Part XI and the following provisions of this section and section 207 references to a personal representative include a person appointed under subsection (4).

(6) In a case where proceedings are instituted or continued by virtue of subsection (4), any award made by the employment tribunal shall be—

(a) made in such terms, and

(b) enforceable in such manner,

as the Secretary of State may by regulations provide.

(7) Any reference in the provisions of this Act to which this section applies to the doing of anything by or in relation to an employer or employee includes a reference to the doing of the thing by or in relation to a personal representative of the deceased employer or employee.

(8) Any reference in the provisions of this Act to which this section applies to a thing required or authorised to be done by or in relation to an employer or employee includes a reference to a thing required or authorised to be done by or in relation to a personal representative of the deceased employer or employee.

(9) Subsections (7) and (8) do not prevent a reference to a successor of an employer including a personal representative of a deceased employer.

Rights and liabilities accruing after death

207

(1) Any right arising under any of the provisions of this Act to which this section applies which accrues after the death of an employee devolves as if it had accrued before his death.

(2) Where an employment tribunal determines under any provision of Part XI that an employer is liable to pay to a personal representative of a deceased employee—

(a) the whole of a redundancy payment to which he would have been entitled but for some provision of Part XI or section 206, or

(b) such part of such a redundancy payment as the tribunal thinks fit,

the reference in subsection (1) to a right includes any right to receive it.

(3) Where—

(a) by virtue of any of the provisions to which this section applies a personal representative is liable to pay any amount, and

(b) the liability has not accrued before the death of the employer,

it shall be treated as a liability of the deceased employer which had accrued immediately before his death.

Modifications of Act

Review of limits

208

Powers to amend Act

209

(1) The Secretary of State may by order—

(a) provide that any provision of this Act, other than any to which this paragraph does not apply, which is specified in the order shall not apply to persons, or to employments, of such classes as may be prescribed in the order,

(b) provide that any provision of this Act, other than any to which this paragraph does not apply, shall apply to persons or employments of such classes as may be prescribed in the order subject to such exceptions and modifications as may be so prescribed, or

(2) Subsection (1)(a) does not apply to—

(a) Parts II and IV,

(b) in Part V, sections 45 and 46, and sections 48 and 49 so far as relating to those sections,

(d) in Part IX, sections 87(3), 88 to 90, 91(1) to (4) and (6) and 92(6) to (8),

(e) in Part X, sections 95, 97(1) to (5), 98(1) to (4) and (6), 100, 101, 101A, 102, 103, 105, 107, 110, 111, 120(2), 124(1), (2) and (5), 125(7) and 134,

(f) in Part XI, sections 143, 144, 160(2) and (3), 166 to 173 and 177 to 180,

(g) in Part XIII, sections . . . . . .,

(h) Chapter I of Part XIV, or

(j) in Part XV, section 236(3) so far as relating to sections 120(2), 124(2) and 125(7).

(3) Subsection (1)(b) does not apply to—

(a) any of the provisions to which subsection (1)(a) does not apply,

(b) sections 1 to 7, or

(4) The provision which may be made by virtue of paragraph (b) of subsection (1) in relation to section 94 does not include provision for application subject to exceptions or modifications; but this subsection does not prejudice paragraph (a) of that subsection.

(5) Subsection (1)(c) applies to sections 29(2), 65(2), 86(5), 92(3), 108(1), . . . 159, 160(1), 196(2), (3) and (5) and 199(1), (2), (4) and (5).

(6) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(7) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(8) The provisions of this section are without prejudice to any other power of the Secretary of State to amend, vary or repeal any provision of this Act or to extend or restrict its operation in relation to any person or employment.

Part XIV — Interpretation

Chapter I — Continuous employment

Introductory

210

(1) References in any provision of this Act to a period of continuous employment are (unless provision is expressly made to the contrary) to a period computed in accordance with this Chapter.

(2) In any provision of this Act which refers to a period of continuous employment expressed in months or years—

(a) a month means a calendar month, and

(b) a year means a year of twelve calendar months.

(3) In computing an employee’s period of continuous employment for the purposes of any provision of this Act, any question—

(a) whether the employee’s employment is of a kind counting towards a period of continuous employment, or

(b) whether periods (consecutive or otherwise) are to be treated as forming a single period of continuous employment,

shall be determined week by week; but where it is necessary to compute the length of an employee’s period of employment it shall be computed in months and years of twelve months in accordance with section 211.

(4) Subject to sections 215 to 217, a week which does not count in computing the length of a period of continuous employment breaks continuity of employment.

(5) A person’s employment during any period shall, unless the contrary is shown, be presumed to have been continuous.

Period of continuous employment

211

(1) An employee’s period of continuous employment for the purposes of any provision of this Act—

(a) (subject to subsection (3)) begins with the day on which the employee starts work, and

(b) ends with the day by reference to which the length of the employee’s period of continuous employment is to be ascertained for the purposes of the provision.

(2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(3) If an employee’s period of continuous employment includes one or more periods which (by virtue of section 215, 216 or 217) while not counting in computing the length of the period do not break continuity of employment, the beginning of the period shall be treated as postponed by the number of days falling within that intervening period, or the aggregate number of days falling within those periods, calculated in accordance with the section in question.

Weeks counting in computing period

212

(1) Any week during the whole or part of which an employee’s relations with his employer are governed by a contract of employment counts in computing the employee’s period of employment.

(2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(3) Subject to subsection (4), any week (not within subsection (1)) during the whole or part of which an employee is—

(a) incapable of work in consequence of sickness or injury,

(b) absent from work on account of a temporary cessation of work, or

(c) absent from work in circumstances such that, by arrangement or custom, he is regarded as continuing in the employment of his employer for any purpose, . . .

(d) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

counts in computing the employee’s period of employment.

(4) Not more than twenty-six weeks count under subsection (3)(a) . . . between any periods falling under subsection (1).

Intervals in employment

213

(1) Where in the case of an employee a date later than the date which would be the effective date of termination by virtue of subsection (1) of section 97 is treated for certain purposes as the effective date of termination by virtue of subsection (2) or (4) of that section, the period of the interval between the two dates counts as a period of employment in ascertaining for the purposes of section 108(1) or 119(1) the period for which the employee has been continuously employed.

(2) Where an employee is by virtue of section 138(1) regarded for the purposes of Part XI as not having been dismissed by reason of a renewal or re-engagement taking effect after an interval, the period of the interval counts as a period of employment in ascertaining for the purposes of section 155 or 162(1) the period for which the employee has been continuously employed (except so far as it is to be disregarded under section 214 or 215).

(3) Where in the case of an employee a date later than the date which would be the relevant date by virtue of subsections (2) to (4) of section 145 is treated for certain purposes as the relevant date by virtue of subsection (5) of that section, the period of the interval between the two dates counts as a period of employment in ascertaining for the purposes of section 155 or 162(1) the period for which the employee has been continuously employed (except so far as it is to be disregarded under section 214 or 215).

Special provisions for redundancy payments

214

(1) This section applies where a period of continuous employment has to be determined in relation to an employee for the purposes of the application of section 155 or 162(1).

(2) The continuity of a period of employment is broken where—

(a) a redundancy payment has previously been paid to the employee (whether in respect of dismissal or in respect of lay-off or short-time), and

(b) the contract of employment under which the employee was employed was renewed (whether by the same or another employer) or the employee was re-engaged under a new contract of employment (whether by the same or another employer).

(3) The continuity of a period of employment is also broken where—

(a) a payment has been made to the employee (whether in respect of the termination of his employment or lay-off or short-time) in accordance with a scheme under section 1 of the Superannuation Act 1972 or arrangements falling within section 177(3), and

(b) he commenced new, or renewed, employment.

(4) The date on which the person’s continuity of employment is broken by virtue of this section—

(a) if the employment was under a contract of employment, is the date which was the relevant date in relation to the payment mentioned in subsection (2)(a) or (3)(a), and

(b) if the employment was otherwise than under a contract of employment, is the date which would have been the relevant date in relation to the payment mentioned in subsection (2)(a) or (3)(a) had the employment been under a contract of employment.

(5) For the purposes of this section a redundancy payment shall be treated as having been paid if—

(a) the whole of the payment has been paid to the employee by the employer,

(b) a tribunal has determined liability and found that the employer must pay part (but not all) of the redundancy payment and the employer has paid that part, or

Employment abroad etc

215

(1) This Chapter applies to a period of employment—

(a) (subject to the following provisions of this section) even where during the period the employee was engaged in work wholly or mainly outside Great Britain, and

(b) even where the employee was excluded by or under this Act from any right conferred by this Act.

(2) For the purposes of sections 155 and 162(1) a week of employment does not count in computing a period of employment if the employee—

(a) was employed outside Great Britain during the whole or part of the week, and

(b) was not during that week an employed earner for the purposes of the Social Security Contributions and Benefits Act 1992 in respect of whom a secondary Class 1 contribution was payable under that Act (whether or not the contribution was in fact paid).

(3) Where by virtue of subsection (2) a week of employment does not count in computing a period of employment, the continuity of the period is not broken by reason only that the week does not count in computing the period; and the number of days which, for the purposes of section 211(3), fall within the intervening period is seven for each week within this subsection.

(4) Any question arising under subsection (2) whether—

(a) a person was an employed earner for the purposes of the Social Security Contributions and Benefits Act 1992, or

(b) if so, whether a secondary Class 1 contribution was payable in respect of him under that Act,

shall be determined by an officer of the Commissioners of Inland Revenue.

(5) Part II of the Social Security Contributions (Transfer of Functions, etc.) Act 1999 (decisions and appeals) shall apply in relation to the determination of any issue by the Inland Revenue under subsection (4) as if it were a decision falling within section 8(1) of that Act.

(6) Subsection (2) does not apply in relation to a person who is—

(a) employed as a master or seaman in a British ship, and

(b) ordinarily resident in Great Britain.

Industrial disputes

216

(1) A week does not count under section 212 if during the week, or any part of the week, the employee takes part in a strike.

(2) The continuity of an employee’s period of employment is not broken by a week which does not count under this Chapter (whether or not by virtue only of subsection (1)) if during the week, or any part of the week, the employee takes part in a strike; and the number of days which, for the purposes of section 211(3), fall within the intervening period is the number of days between the last working day before the strike and the day on which work was resumed.

(3) The continuity of an employee’s period of employment is not broken by a week if during the week, or any part of the week, the employee is absent from work because of a lock-out by the employer; and the number of days which, for the purposes of section 211(3), fall within the intervening period is the number of days between the last working day before the lock-out and the day on which work was resumed.

Reinstatement after military service

217

(1) If a person who is entitled to apply to his former employer under the Reserve Forces (Safeguard of Employment) Act 1985 enters the employment of the employer not later than the end of the six month period mentioned in section 1(4)(b) of that Act, his period of service in the armed forces of the Crown in the circumstances specified in section 1(1) of that Act does not break his continuity of employment.

(2) In the case of such a person the number of days which, for the purposes of section 211(3), fall within the intervening period is the number of days between the last day of his previous period of employment with the employer (or, if there was more than one such period, the last of them) and the first day of the period of employment beginning in the six month period.

Change of employer

218

(1) Subject to the provisions of this section, this Chapter relates only to employment by the one employer.

(2) If a trade or business, or an undertaking (whether or not established by or under an Act), is transferred from one person to another—

(a) the period of employment of an employee in the trade or business or undertaking at the time of the transfer counts as a period of employment with the transferee, and

(b) the transfer does not break the continuity of the period of employment.

(3) If by or under an Act (whether public or local and whether passed before or after this Act) a contract of employment between any body corporate and an employee is modified and some other body corporate is substituted as the employer—

(a) the employee’s period of employment at the time when the modification takes effect counts as a period of employment with the second body corporate, and

(b) the change of employer does not break the continuity of the period of employment.

(4) If on the death of an employer the employee is taken into the employment of the personal representatives or trustees of the deceased—

(a) the employee’s period of employment at the time of the death counts as a period of employment with the employer’s personal representatives or trustees, and

(b) the death does not break the continuity of the period of employment.

(5) If there is a change in the partners, personal representatives or trustees who employ any person—

(a) the employee’s period of employment at the time of the change counts as a period of employment with the partners, personal representatives or trustees after the change, and

(b) the change does not break the continuity of the period of employment.

(6) If an employee of an employer is taken into the employment of another employer who, at the time when the employee enters the second employer’s employment, is an associated employer of the first employer—

(a) the employee’s period of employment at that time counts as a period of employment with the second employer, and

(b) the change of employer does not break the continuity of the period of employment.

(7) If an employee of the governing body of a school maintained by a local authority is taken into the employment of the authority or an employee of a local authority is taken into the employment of the governing body of a school maintained by the authority—

(a) his period of employment at the time of the change of employer counts as a period of employment with the second employer, and

(b) the change does not break the continuity of the period of employment.

(8) If a person employed in relevant employment by a health service employer is taken into relevant employment by another such employer, his period of employment at the time of the change of employer counts as a period of employment with the second employer and the change does not break the continuity of the period of employment.

(9) For the purposes of subsection (8) employment is relevant employment if it is employment of a description—

(a) in which persons are engaged while undergoing professional training which involves their being employed successively by a number of different health service employers, and

(b) which is specified in an order made by the Secretary of State.

(10) The following are health service employers for the purposes of subsections (8) and (9)—

(za) NHS England,

(zb) an integrated care board established under section 14Z25 of the National Health Service Act 2006,

(a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(b) Special Health Authorities established under section 28 of the National Health Service Act 2006 or section 22 of the National Health Service (Wales) Act 2006 ,

(bb) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(c) National Health Service trusts established under the National Health Service Act 2006 or the National Health Service (Wales) Act 2006 ,

(ca) NHS foundation trusts,

(cb) Local Health Boards established under section 11 of the National Health Service (Wales) Act 2006,

(cc) the National Institute for Health and Care Excellence,

(cd) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(ce) the Health Services Safety Investigations Body.

(d) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(dd) ......

(e) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(11) In subsection (7) “ local authority ” has the meaning given by section 579(1) of the Education Act 1996.

Reinstatement or re-engagement of dismissed employee

219

(1) Regulations made by the Secretary of State may make provision—

(a) for preserving the continuity of a person’s period of employment for the purposes of this Chapter or for the purposes of this Chapter as applied by or under any other enactment specified in the regulations, or

(b) for modifying or excluding the operation of section 214 subject to the recovery of any such payment as is mentioned in that section,

in cases where . . . a dismissed employee is reinstated , re-engaged or otherwise re-employed by his employer or by a successor or associated employer of that employer in any circumstances prescribed by the regulations.

(2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(3) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Chapter II — A week’s pay

Introductory

220

The amount of a week’s pay of an employee shall be calculated for the purposes of this Act in accordance with this Chapter.

Employments with normal working hours

General

221

(1) This section and sections 222 and 223 apply where there are normal working hours for the employee when employed under the contract of employment in force on the calculation date.

(2) Subject to section 222, if the employee’s remuneration for employment in normal working hours (whether by the hour or week or other period) does not vary with the amount of work done in the period, the amount of a week’s pay is the amount which is payable by the employer under the contract of employment in force on the calculation date if the employee works throughout his normal working hours in a week.

(3) Subject to section 222, if the employee’s remuneration for employment in normal working hours (whether by the hour or week or other period) does vary with the amount of work done in the period, the amount of a week’s pay is the amount of remuneration for the number of normal working hours in a week calculated at the average hourly rate of remuneration payable by the employer to the employee in respect of the period of twelve weeks ending—

(a) where the calculation date is the last day of a week, with that week, and

(b) otherwise, with the last complete week before the calculation date.

(4) In this section references to remuneration varying with the amount of work done includes remuneration which may include any commission or similar payment which varies in amount.

(5) This section is subject to sections 227 and 228.

Remuneration varying according to time of work

222

(1) This section applies if the employee is required under the contract of employment in force on the calculation date to work during normal working hours on days of the week, or at times of the day, which differ from week to week or over a longer period so that the remuneration payable for, or apportionable to, any week varies according to the incidence of those days or times.

(2) The amount of a week’s pay is the amount of remuneration for the average number of weekly normal working hours at the average hourly rate of remuneration.

(3) For the purposes of subsection (2)—

(a) the average number of weekly hours is calculated by dividing by twelve the total number of the employee’s normal working hours during the relevant period of twelve weeks, and

(b) the average hourly rate of remuneration is the average hourly rate of remuneration payable by the employer to the employee in respect of the relevant period of twelve weeks.

(4) In subsection (3) “the relevant period of twelve weeks” means the period of twelve weeks ending—

(a) where the calculation date is the last day of a week, with that week, and

(b) otherwise, with the last complete week before the calculation date.

(5) This section is subject to sections 227 and 228.

Supplementary

223

(1) For the purposes of sections 221 and 222, in arriving at the average hourly rate of remuneration, only—

(a) the hours when the employee was working, and

(b) the remuneration payable for, or apportionable to, those hours,

shall be brought in.

(2) If for any of the twelve weeks mentioned in sections 221 and 222 no remuneration within subsection (1)(b) was payable by the employer to the employee, account shall be taken of remuneration in earlier weeks so as to bring up to twelve the number of weeks of which account is taken.

(3) Where—

(a) in arriving at the average hourly rate of remuneration, account has to be taken of remuneration payable for, or apportionable to, work done in hours other than normal working hours, and

(b) the amount of that remuneration was greater than it would have been if the work had been done in normal working hours (or, in a case within section 234(3), in normal working hours falling within the number of hours without overtime),

account shall be taken of that remuneration as if the work had been done in such hours and the amount of that remuneration had been reduced accordingly.

Employments with no normal working hours

224

(1) This section applies where there are no normal working hours for the employee when employed under the contract of employment in force on the calculation date.

(2) The amount of a week’s pay is the amount of the employee’s average weekly remuneration in the period of twelve weeks ending—

(a) where the calculation date is the last day of a week, with that week, and

(b) otherwise, with the last complete week before the calculation date.

(3) In arriving at the average weekly remuneration no account shall be taken of a week in which no remuneration was payable by the employer to the employee and remuneration in earlier weeks shall be brought in so as to bring up to twelve the number of weeks of which account is taken.

(4) This section is subject to sections 227 and 228.

The calculation date

Rights during employment

225

(A1) Where the calculation is for the purposes of section 27BI, the calculation date is—

(a) where the complaint is under section 27BG(1), (2), (3) or (7), the latest day of the reference period to which the complaint relates on which the worker was employed by the employer under a worker’s contract;

(b) where the complaint is under section 27BG(8)—

(i) the date on which the complaint was presented to the employment tribunal, or

(ii) if the worker was not employed by the employer under a worker’s contract on that date, the latest day before that date on which the worker was so employed.

(B1) Where the calculation is for the purposes of section 27BI as applied by section 27BY(6)(a) in relation to a complaint under section 27BY(5), the calculation date is the latest day of the reference period to which the complaint relates on which the worker was employed by the employer under a worker’s contract.

(1) Where the calculation is for the purposes of section 30, the calculation date is—

(a) where the employee’s contract has been varied, or a new contract entered into, in connection with a period of short-time working, the last day on which the original contract was in force, and

(b) otherwise, the day in respect of which the guarantee payment is payable.

(2) Where the calculation is for the purposes of section 53 or 54, the calculation date is the day on which the employer’s notice was given.

(3) Where the calculation is for the purposes of section 56, the calculation date is the day of the appointment.

(3A) Where the calculation is for the purposes of section 57ZF, the calculation date is the day of the appointment.

(3B) Where the calculation is for the purposes of section 57ZK or 57ZM, the calculation date is the day of the appointment.

(4) Where the calculation is for the purposes of section 62, the calculation date is the day on which the time off was taken or on which it is alleged the time off should have been permitted.

(4A) Where the calculation is for the purposes of section 63B, the calculation date is the day on which the time off was taken or on which it is alleged the time off should have been permitted.

(4B) Where the calculation is for the purposes of section 63J, the calculation date is the day on which the section 63D application was made.

(5) Where the calculation is for the purposes of section 69—

(a) in the case of an employee suspended on medical grounds, the calculation date is the day before that on which the suspension begins, and

(b) in the case of an employee suspended on maternity grounds, the calculation date is—

(i) where the day before that on which the suspension begins falls during a period of ordinary or additional maternity leave, the day before the beginning of that period,

(ii) otherwise, the day before that on which the suspension begins.

(6) Where the calculation is for the purposes of section 80I, the calculation date is the day on which the application under section 80F was made.

Rights on termination

226

(1) Where the calculation is for the purposes of section 88 or 89, the calculation date is the day immediately preceding the first day of the period of notice required by section 86(1) or (2).

(2) Where the calculation is for the purposes of section 93, 117 or 125, the calculation date is—

(a) if the dismissal was with notice, the date on which the employer’s notice was given, and

(b) otherwise, the effective date of termination.

(3) Where the calculation is for the purposes of section 112, 119, 120 , 121 or 124 , the calculation date is—

(a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(b) if by virtue of subsection (2) or (4) of section 97 a date later than the effective date of termination as defined in subsection (1) of that section is to be treated for certain purposes as the effective date of termination, the effective date of termination as so defined, and

(4) Where the calculation is for the purposes of section 147(2), the calculation date is the day immediately preceding the first of the four, or six, weeks referred to in section 148(2).

(5) Where the calculation is for the purposes of section 162, the calculation date is—

(a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(b) if by virtue of subsection (5) of section 145 a date is to be treated for certain purposes as the relevant date which is later than the relevant date as defined by the previous provisions of that section, the relevant date as so defined, and

(6) The date referred to in subsections (3)(c) and (5)(c) is the date on which notice would have been given had—

(a) the contract been terminable by notice and been terminated by the employer giving such notice as is required by section 86 to terminate the contract, and

(b) the notice expired on the effective date of termination, or the relevant date,

(whether or not those conditions were in fact fulfilled).

Maximum amount of week’s pay

Maximum amount

227

(1) For the purpose of calculating—

(zza) an award of compensation under section 63J(1)(b),

(za) an award of compensation under section 80I(1)(b),

(a) a basic award of compensation for unfair dismissal,

(b) an additional award of compensation for unfair dismissal,

(ba) an award under section 112(5), or

the amount of a week’s pay shall not exceed £751.

(2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(3) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Miscellaneous

New employments and other special cases

228

(1) In any case in which the employee has not been employed for a sufficient period to enable a calculation to be made under the preceding provisions of this Chapter, the amount of a week’s pay is the amount which fairly represents a week’s pay.

(2) In determining that amount the employment tribunal—

(a) shall apply as nearly as may be such of the preceding provisions of this Chapter as it considers appropriate, and

(b) may have regard to such of the considerations specified in subsection (3) as it thinks fit.

(3) The considerations referred to in subsection (2)(b) are—

(a) any remuneration received by the employee in respect of the employment in question,

(b) the amount offered to the employee as remuneration in respect of the employment in question,

(d) the remuneration received by other persons engaged in relevant comparable employment with other employers.

(4) The Secretary of State may by regulations provide that in cases prescribed by the regulations the amount of a week’s pay shall be calculated in such manner as may be so prescribed.

Supplementary

229

(1) In arriving at—

(a) an average hourly rate of remuneration, or

(b) average weekly remuneration,

under this Chapter, account shall be taken of work for a former employer within the period for which the average is to be taken if, by virtue of Chapter I of this Part, a period of employment with the former employer counts as part of the employee’s continuous period of employment.

(2) Where under this Chapter account is to be taken of remuneration or other payments for a period which does not coincide with the periods for which the remuneration or other payments are calculated, the remuneration or other payments shall be apportioned in such manner as may be just.

Chapter III — Other interpretation provisions

Employees, workers etc

230

(1) In this Act “employee” means an individual who has entered into or works under (or, where the employment has ceased, worked under) a contract of employment.

(2) In this Act “contract of employment” means a contract of service or apprenticeship, whether express or implied, and (if it is express) whether oral or in writing.

(3) In this Act “worker” (except in the phrases “shop worker” and “betting worker”) means an individual who has entered into or works under (or, where the employment has ceased, worked under)—

(a) a contract of employment, or

(b) any other contract, whether express or implied and (if it is express) whether oral or in writing, whereby the individual undertakes to do or perform personally any work or services for another party to the contract whose status is not by virtue of the contract that of a client or customer of any profession or business undertaking carried on by the individual;

and any reference to a worker’s contract shall be construed accordingly.

(4) In this Act “employer”, in relation to an employee or a worker, means the person by whom the employee or worker is (or, where the employment has ceased, was) employed.

(5) In this Act “employment”—

(a) in relation to an employee, means (except for the purposes of section 171) employment under a contract of employment, and

(b) in relation to a worker, means employment under his contract;

and “employed” shall be construed accordingly.

(6) This section has effect subject to sections 43K , 47B(3) and 49B(10); and for the purposes of Part XIII so far as relating to Part IVA or section 47B, “ worker ”, “ worker’s contract ” and, in relation to a worker, “ employer ”, “ employment ” and “ employed ” have the extended meaning given by section 43K.

(7) This section has effect subject to section 75K(3) and (5).

Associated employers

231

For the purposes of this Act any two employers shall be treated as associated if—

(a) one is a company of which the other (directly or indirectly) has control, or

(b) both are companies of which a third person (directly or indirectly) has control;

and “associated employer” shall be construed accordingly.

Shop workers

232

(1) In this Act “shop worker” means an employee who, under his contract of employment, is or may be required to do shop work.

(2) In this Act “shop work” means work in or about a shop . . . on a day on which the shop is open for the serving of customers.

(3) Subject to subsection (4), in this Act “shop” includes any premises where any retail trade or business is carried on.

(4) Where premises are used mainly for purposes other than those of retail trade or business and would not (apart from subsection (3)) be regarded as a shop, only such part of the premises as—

(a) is used wholly or mainly for the purposes of retail trade or business, or

(b) is used both for the purposes of retail trade or business and for the purposes of wholesale trade and is used wholly or mainly for those two purposes considered together,

is to be regarded as a shop for the purposes of this Act.

(5) In subsection (4)(b) “wholesale trade” means the sale of goods for use or resale in the course of a business or the hire of goods for use in the course of a business.

(6) In this section “retail trade or business” includes—

(a) the business of a barber or hairdresser,

(b) the business of hiring goods otherwise than for use in the course of a trade or business, and

but does not include catering business or the sale at theatres and places of amusement of programmes, catalogues and similar items.

(7) In subsection (6) “catering business” means—

(a) the sale of meals, refreshments or alcohol... for consumption on the premises on which they are sold, or

(b) the sale of meals or refreshments prepared to order for immediate consumption off the premises; except that in Scotland “alcohol” has the meaning given in section 2 of the Licensing (Scotland) Act 2005

and in paragraph (a) “alcohol” has the same meaning as in the Licensing Act 2003 .

(8) In this Act—

“notice period”, in relation to an opted-out shop worker, has the meaning given by section 41(3),

“opted-out”, in relation to a shop worker, shall be construed in accordance with section 41(1) and (2),

“opting-in notice”, in relation to a shop worker, has the meaning given by section 36(6),

“opting-out notice”, in relation to a shop worker, has the meaning given by section 40(2), and

“protected”, in relation to a shop worker, shall be construed in accordance with section 36(1) to (5).

Betting workers

233

(1) In this Act “ betting worker ” means an employee who under his contract of employment is or may be required to do betting work.

(2) In this Act “ betting work ” means—

(a) work which consists of or includes dealing with betting transactions at a track in England or Wales and which is carried out for a person who holds a general betting operating licence, a pool betting operating licence or a horse-race pool betting operating licence, and

(b) work on premises in respect of which a betting premises licence has effect at a time when the premises are used for betting transactions.

(3) In subsection (2) “ betting transactions ” includes the collection or payment of winnings.

(4) Expressions used in this section and in the Gambling Act 2005 have the same meaning in this section as in that Act.

(5) In this Act—

“ notice period ”, in relation to an opted-out betting worker, has the meaning given by section 41(3),

“ opted-out ”, in relation to a betting worker, shall be construed in accordance with section 41(1) and (2),

“ opting-in notice ”, in relation to a betting worker, has the meaning given by section 36(6),

“ opting-out notice ”, in relation to a betting worker, has the meaning given by section 40(2), and

“ protected ”, in relation to a betting worker, shall be construed in accordance with section 36(1) to (5).

Normal working hours

234

(1) Where an employee is entitled to overtime pay when employed for more than a fixed number of hours in a week or other period, there are for the purposes of this Act normal working hours in his case.

(2) Subject to subsection (3), the normal working hours in such a case are the fixed number of hours.

(3) Where in such a case—

(a) the contract of employment fixes the number, or minimum number, of hours of employment in a week or other period (whether or not it also provides for the reduction of that number or minimum in certain circumstances), and

(b) that number or minimum number of hours exceeds the number of hours without overtime,

the normal working hours are that number or minimum number of hours (and not the number of hours without overtime).

Other definitions

235

(1) In this Act, except in so far as the context otherwise requires—

“act” and “action” each includes omission and references to doing an act or taking action shall be construed accordingly,

“basic award of compensation for unfair dismissal” shall be construed in accordance with section 118,

“bereavement leave” means leave under section 80EA;

“business” includes a trade or profession and includes any activity carried on by a body of persons (whether corporate or unincorporated),

“carer’s leave” means leave under section 80J,

“childbirth” means the birth of a living child or the birth of a child whether living or dead after twenty-four weeks of pregnancy,

“collective agreement” has the meaning given by section 178(1) and (2) of the Trade Union and Labour Relations (Consolidation) Act 1992,

“conciliation officer” means an officer designated by the Advisory, Conciliation and Arbitration Service under section 211 of that Act,

“dismissal procedures agreement” means an agreement in writing with respect to procedures relating to dismissal made by or on behalf of one or more independent trade unions and one or more employers or employers’ associations,

“employers’ association” has the same meaning as in the Trade Union and Labour Relations (Consolidation) Act 1992,

“expected week of childbirth” means the week, beginning with midnight between Saturday and Sunday, in which it is expected that childbirth will occur,

“guarantee payment” has the meaning given by section 28,

“independent trade union” means a trade union which—is not under the domination or control of an employer or a group of employers or of one or more employers’ associations, andis not liable to interference by an employer or any such group or association (arising out of the provision of financial or material support or by any other means whatever) tending towards such control,

“job”, in relation to an employee, means the nature of the work which he is employed to do in accordance with his contract and the capacity and place in which he is so employed,

“local authority”, in relation to the placement of children under section 22C of the Children Act 1989, has the same meaning as in that Act (see section 105(1) of that Act);

“local authority foster parent” has the same meaning as in the Children Act 1989 (see section 22C(12) section 105(1) of that Act);

“neonatal care leave” means leave under section 80EF,

“parental bereavement leave” means leave under section 80EA;

“paternity leave” means leave under section 80A or 80B,

“position”, in relation to an employee, means the following matters taken as a whole— his status as an employee,the nature of his work, andhis terms and conditions of employment,

“protected disclosure” has the meaning given by section 43A,

“redundancy payment” has the meaning given by Part XI,

“relevant date” has the meaning given by sections 145 and 153,

“renewal” includes extension, and any reference to renewing a contract or a fixed term shall be construed accordingly,

“section 63D application” has the meaning given by section 63D(2);

“shared parental leave” means leave under section 75E or 75G,

“statutory provision” means a provision, whether of a general or a special nature, contained in, or in any document made or issued under, any Act, whether of a general or special nature,

“successor”, in relation to the employer of an employee, means (subject to subsection (2)) a person who in consequence of a change occurring (whether by virtue of a sale or other disposition or by operation of law) in the ownership of the undertaking, or of the part of the undertaking, for the purposes of which the employee was employed, has become the owner of the undertaking or part,

“trade union” has the meaning given by section 1 of the Trade Union and Labour Relations (Consolidation) Act 1992,

“week”— in Chapter I of this Part means a week ending with Saturday, andotherwise, except in sections 27C, 75F, 75H, 80A, 80B , 80EA , 80EF , 80J and 86 and paragraph 11 of Schedule A1, means, in relation to an employee whose remuneration is calculated weekly by a week ending with a day other than Saturday, a week ending with that other day and, in relation to any other employee, a week ending with Saturday.

(2) The definition of “successor” in subsection (1) has effect (subject to the necessary modifications) in relation to a case where—

(a) the person by whom an undertaking or part of an undertaking is owned immediately before a change is one of the persons by whom (whether as partners, trustees or otherwise) it is owned immediately after the change, or

(b) the persons by whom an undertaking or part of an undertaking is owned immediately before a change (whether as partners, trustees or otherwise) include the persons by whom, or include one or more of the persons by whom, it is owned immediately after the change,

as it has effect where the previous owner and the new owner are wholly different persons.

(2A) For the purposes of this Act a contract of employment or other worker’s contract is a “limited-term contract” if—

(a) the employment under the contract is not intended to be permanent, and

(b) provision is accordingly made in the contract for it to terminate by virtue of a limiting event.

(2B) In this Act, “limiting event”, in relation to a contract of employment or other worker’s contract means—

(a) in the case of a contract for a fixed-term, the expiry of the term,

(b) in the case of a contract made in contemplation of the performance of a specific task, the performance of the task, and

(c) in the case of a contract which provides for its termination on the occurrence of an event (or the failure of an event to occur), the occurrence of the event (or the failure of the event to occur).

(3) References in this Act to redundancy, dismissal by reason of redundancy and similar expressions shall be construed in accordance with section 139.

(4) In sections 136(2), 154 and 216(3) and paragraph 14 of Schedule 2 “lock-out” means—

(a) the closing of a place of employment,

(b) the suspension of work, or

done with a view to compelling persons employed by the employer, or to aid another employer in compelling persons employed by him, to accept terms or conditions of or affecting employment.

(5) In sections 91(2), 140(2) and (3), 143(1), 144(2) and (3), 154 and 216(1) and (2) and paragraph 14 of Schedule 2 “strike” means—

(a) the cessation of work by a body of employed persons acting in combination, or

(b) a concerted refusal, or a refusal under a common understanding, of any number of employed persons to continue to work for an employer in consequence of a dispute,

done as a means of compelling their employer or any employed person or body of employed persons, or to aid other employees in compelling their employer or any employed person or body of employed persons, to accept or not to accept terms or conditions of or affecting employment.

Part XV — General and supplementary

General

Orders and regulations

236

(1) Any power conferred by any provision of this Act to make any order (other than an Order in Council) or regulations is exercisable by statutory instrument.

(2) A statutory instrument made under any power conferred by this Act to make an Order in Council or other order or regulations, except—

(a) an Order in Council or other order or regulations to which subsection (3) applies,

(aa) regulations under section 27R,

(b) an order under section 35 or Part II of Schedule 2, or

is subject to annulment in pursuance of a resolution of either House of Parliament.

(3) No recommendation shall be made to Her Majesty to make an Order in Council under section 192(3), and no order or regulations shall be made under section 27B, 27BA(3)(a)(ii) or (d), (6) or (16), 27BB(2), (5) or (9)(c), 27BD(6), 27BJ(1)(b), (2)(a) or (4), 27BK(3), 27BP(1), (2)(c), (3)(a), (6) or (9), 27BR(1)(c), 27BU(2), 27BZ, 27F, 27S, 41A that include provision under subsection (4)(c) of that section, 43FA (but see subsection (3A)),43K(4), 47C, 49B, 49D, 63D, 63F(7), 71, 72, 73, 75A, 75B, 75E, 75F(16), 75G, 75H(16), (17) or (18) 76, 80A, ... 80B , 80EA, 80EF, ... 80G 80J, 99, 104I, 104J(5)(f), 104K(7)(d), 120(2), 124(2) , 125(7) , 202A or 205A(11) or (12) or (subject to subsection (4)) section 209, or under paragraph 1(3)(b), (6) or (11), 2(2), (5) or (7)(c), 5(6), 12(1), 13(3), 14(2), 15(3), 16(4), 22(1), (3) or (5), 24(1)(c) or (2), 26(9), 27(2) or 28(2) of Schedule A1, unless a draft of the Order in Council , order or regulations has been laid before Parliament and approved by a resolution of each House of Parliament.

(3A) Subsection (3) does not apply to regulations under section 43FA that contain only the provision mentioned in section 43FA(2), (3) or (4).

(4) Subsection (3) does not apply to an order under section 209(1)(b) which specifies only provisions contained in Part XI.

(4A) A statutory instrument containing an order or regulations under this Act to which subsection (3) applies may include an order or regulations under this Act to which subsection (3) would not otherwise apply.

(4B) In such a case, the statutory instrument is to be proceeded with as if all of the orders and regulations contained in it were orders or regulations to which subsection (3) applies.

(5) Any power conferred by this Act which is exercisable by statutory instrument includes power to make such incidental, supplementary or transitional provisions as appear to the authority exercising the power to be necessary or expedient.

Financial provisions

237

There shall be paid out of the National Insurance Fund into the Consolidated Fund sums equal to the amount of—

(a) any expenses incurred by the Secretary of State in consequence of Part XI, and

(b) any expenses incurred by the Secretary of State (or by persons acting on his behalf) in exercising his functions under Part XII.

Reciprocal arrangements

Reciprocal arrangements with Northern Ireland

238

(1) If provision is made by Northern Ireland legislation for purposes corresponding to any of the purposes of this Act, other than an excepted provision, the Secretary of State may, with the consent of the Treasury, make reciprocal arrangements with the appropriate Northern Ireland authority for co-ordinating the relevant provisions of this Act with the corresponding provisions of the Northern Ireland legislation so as to secure that they operate, to such extent as may be provided by the arrangements, as a single system.

(2) The following provisions of this Act are excepted provisions for the purposes of subsection (1)—

(a) in Part I, sections 1 to 7,

(b) Parts II and IV,

(d) in Part VI, sections 58 to 60,

(e) in Part IX, sections 86 to 91, and

(f) in Part X, sections 101 and 102.

(3) The Secretary of State may make regulations for giving effect to any arrangements made under subsection (1).

(4) Regulations under subsection (3) may make different provision for different cases.

(5) Such regulations may provide that the relevant provisions of this Act have effect in relation to persons affected by the arrangements subject to such modifications and adaptations as may be specified in the regulations, including provision—

(a) for securing that acts, omissions and events having any effect for the purposes of the Northern Ireland legislation have a corresponding effect for the purposes of this Act (but not so as to confer a right to double payment in respect of the same act, omission or event), and

(b) for determining, in cases where rights accrue both under this Act and under the Northern Ireland legislation, which of those rights is available to the person concerned.

(6) In this section “the appropriate Northern Ireland authority” means such authority as may be specified in the Northern Ireland legislation.

Reciprocal arrangements with Isle of Man

239

(1) If an Act of Tynwald is passed for purposes similar to the purposes of Part XI, the Secretary of State may, with the consent of the Treasury, make reciprocal arrangements with the appropriate Isle of Man authority for co-ordinating the provisions of Part XI with the corresponding provisions of the Act of Tynwald so as to secure that they operate, to such extent as may be provided by the arrangements, as a single system.

(2) For the purposes of giving effect to any arrangements made under subsection (1) the Secretary of State may, in conjunction with the appropriate Isle of Man authority, make any necessary financial adjustments between the National Insurance Fund and any fund established under the Act of Tynwald.

(3) The Secretary of State may make regulations for giving effect to any arrangements made under subsection (1).

(4) Regulations under subsection (3) may provide that Part XI has effect in relation to persons affected by the arrangements subject to such modifications and adaptations as may be specified in the regulations, including provision—

(a) for securing that acts, omissions and events having any effect for the purposes of the Act of Tynwald have a corresponding effect for the purposes of Part XI (but not so as to confer a right to double payment in respect of the same act, omission or event), and

(b) for determining, in cases where rights accrue both under this Act and under the Act of Tynwald, which of those rights is available to the person concerned.

(5) In this section “the appropriate Isle of Man authority” means such authority as may be specified in an Act of Tynwald.

Final provisions

Consequential amendments

240

Schedule 1 (consequential amendments) shall have effect.

Transitionals, savings and transitory provisions

241

Schedule 2 (transitional provisions, savings and transitory provisions) shall have effect.

Repeals and revocations

242

The enactments specified in Part I of Schedule 3 are repealed, and the instruments specified in Part II of that Schedule are revoked, to the extent specified in the third column of that Schedule.

Commencement

243

This Act shall come into force at the end of the period of three months beginning with the day on which it is passed.

Extent

244

(1) Subject to the following provisions, this Act extends to England and Wales and Scotland but not to Northern Ireland.

(2) Sections 36(2) and (4), 37(1) and (5), 38 and 39 extend to England and Wales only.

(3) Sections 201 and 238 (and sections 236 and 243, this section and section 245) extend to Northern Ireland (as well as to England and Wales and Scotland).

(4) Sections 240 and 242 and Schedules 1 and 3 have the same extent as the provisions amended or repealed by this Act.

Short title

245

This Act may be cited as the Employment Rights Act 1996.

SCHEDULE 1

The Equal Pay Act 1970 (c. 41)

1

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The Atomic Energy Authority Act 1971 (c. 11)

2

(1) Section 10 of the Atomic Energy Authority Act 1971 is amended as follows.

(2) In subsection (2)—

(a) in paragraph (a), for “the said sections 1 to 4” substitute “ sections 1 to 7 of the Employment Rights Act 1996 ”, and

(b) in paragraph (b)—

(i) for “section 5 of the said Act of 1978” substitute “ the Employment Rights Act 1996 ”, and

(ii) for “subsection (1) of that section” substitute “section 1 of that Act”.

(3) In subsection (3)—

(a) for “the Employment Protection (Consolidation) Act 1978” substitute “ the Employment Rights Act 1996 ”, and

(b) for “sections 1 to 4” substitute “ section 1 ”.

(4) In subsection (4)—

(a) for “ Schedule 13 to the said Act of1978” substitute “ Chapter 1 of Part XIV of the Employment Rights Act 1996 ”, and

(b) for the words from “sub-paragraph (2)” to “that sub-paragraph” substitute “ subsection (2) of section 218 of that Act, be taken to be such a transfer of an undertaking as is mentioned in that subsection ”.

The Attachment of Earnings Act 1971 (c. 32)

3

Paragraph 3 of Part I of Schedule 3 to the Attachment of Earnings Act 1971 shall continue to have effect with the substitution (originally made by paragraph 4 of Schedule 4 to the Wages Act 1986) of the following paragraph for paragraph (c)—

(c) amounts deductible under any enactment, or in pursuance of a request in writing by the debtor, for the purposes of a superannuation scheme, namely any enactment, rules, deed or other instrument providing for the payment of annuities or lump sums— (i) to the persons with respect to whom the instrument has effect on their retirement at a specified age or on becoming incapacitated at some earlier age, or (ii) to the personal representatives or the widows, relatives or dependants of such persons on their death or otherwise, whether with or without any further or other benefits.

The British Library Act 1972 (c. 54)

4

In paragraph 13(3)(a) of the Schedule to the British Library Act 1972, for “the Employment Protection (Consolidation) Act 1978” substitute “ the Employment Rights Act 1996 ”.

The Health and Safety at Work etc. Act 1974 (c. 37)

5

In section 80(2A) of the Health and Safety at Work etc. Act 1974, for “the Employment Protection (Consolidation) Act 1978 which re-enact” substitute “ the Employment Rights Act 1996 or the Trade Union and Labour Relations (Consolidation) Act 1992 which derive from provisions of the Employment Protection (Consolidation) Act 1978 which re-enacted ”.

The Sex Discrimination Act 1975 (c. 65)

6

(1) The Sex Discrimination Act 1975 is amended as follows.

(2) In section 85A(2)—

(a) for “section 139 of the Employment Protection (Consolidation) Act 1978” substitute “ section 195 of the Employment Rights Act 1996 ”, and

(b) for “subsections (4) to (9)” substitute “ subsections (6) to (12) ”.

(3) In section 85B(2)—

(a) for “section 139A of the Employment Protection (Consolidation) Act 1978” substitute “ section 194 of the Employment Rights Act 1996 ”, and

(b) for “subsection (6)” substitute “ subsection (7) ”.

The Scottish Development Agency Act 1975 (c. 69)

7

In paragraph 6 of Schedule 3 to the Scottish Development Agency Act 1975, for “the Employment Protection (Consolidation) Act 1978” substitute “ the Employment Rights Act 1996 ”.

The Welsh Development Agency Act 1975 (c. 70)

8

In paragraph 7 of Schedule 2 to the Welsh Development Agency Act 1975, for “the Employment Protection (Consolidation) Act 1978” substitute “ the Employment Rights Act 1996 ”.

The Lotteries and Amusements Act 1976 (c. 32)

9

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The Race Relations Act 1976 (c. 74)

10

(1) The Race Relations Act 1976 is amended as follows.

(2) In section 75A(2)—

(a) for “section 139 of the Employment Protection (Consolidation) Act 1978” substitute “ section 195 of the Employment Rights Act 1996 ”, and

(b) for “subsections (4) to (9)” substitute “ subsections (6) to (12) ”.

(3) In section 75B(2)—

(a) for “section 139A of the Employment Protection (Consolidation) Act 1978” substitute “ section 194 of the Employment Rights Act 1996 ”, and

(b) for “subsection (6)” substitute “ subsection (7) ”.

(4) In paragraph 11(4) of Schedule 2, for paragraphs (a) and (c) substitute—

(a) the Employment Rights Act 1996 except Part XI; (b) the Trade Union and Labour Relations (Consolidation) Act 1992; and

The Development of Rural Wales Act 1976 (c. 75)

11

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The New Towns (Scotland) Act 1977 (c. 16)

12

In section 3(6) of the New Towns (Scotland) Act 1977, for “Parts I, IV, V and VI of the Employment Protection (Consolidation) Act 1978” substitute “ Parts I and IX to XI of the Employment Rights Act 1996 ”.

The National Health Service (Scotland) Act 1978 (c. 29)

13

In section 12C(3) of the National Health Service (Scotland) Act 1978—

(a) for “Part VI of the Employment Protection (Consolidation) Act 1978” substitute “ Part XI of the Employment Rights Act 1996 ”, and

(b) for “Part VI of that Act” substitute “ that Part of that Act ”.

The House of Commons (Administration) Act 1978 (c. 36)

14

In paragraph 1 of Schedule 2 to the House of Commons (Administration) Act 1978, for “section 139 of the Employment Protection (Consolidation) Act 1978” substitute “ section 195 of the Employment Rights Act 1996 ”.

The New Towns Act 1981 (c. 64)

15

In section 54(5) of the New Towns Act 1981, for “Schedule 13 to the Employment Protection (Consolidation) Act 1978” substitute “ Chapter I of Part XIV of the Employment Rights Act 1996 ”.

The Wildlife and Countryside Act 1981 (c. 69)

16

In paragraph 8(4) of Schedule 13 to the Wildlife and Countryside Act 1981, for the words from “Schedule” to “continuous)” substitute “ Chapter I of Part XIV of the Employment Rights Act 1996 ”.

The Hops Marketing Act 1982 (c. 5)

17

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The Oil and Gas (Enterprise) Act 1982 (c. 23)

18

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The Local Government Finance Act 1982 (c. 32)

19

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The Administration of Justice Act 1982 (c. 53)

20

In section 10(d) of the Administration of Justice Act 1982—

(a) for “the Employment Protection (Consolidation) Act 1978” substitute “ the Employment Rights Act 1996 ”, and

(b) for “section 81” substitute “ section 135 ”.

21

In paragraph 23 of Part II of Schedule 3 to the Health and Social Services and Social Security Adjudications Act 1983, for “the Employment Protection (Consolidation) Act 1978” substitute “ the Employment Rights Act 1996 ”.

The National Audit Act 1983 (c. 44)

22

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The National Heritage Act 1983 (c. 47)

23

In—

(a) paragraph 5(5) of Part I of Schedule 1,

(b) paragraph 15(5) of Part II of Schedule 1,

(d) paragraph 35(5) of Part IV of Schedule 1,

(e) paragraph 2(5) of Schedule 2, and

(f) paragraph 5(5) of Schedule 3,

to the National Heritage Act 1983, for “the Employment Protection (Consolidation) Act 1978” substitute “ the Employment Rights Act 1996 ”.

The National Heritage (Scotland) Act 1985 (c. 16)

24

In—

(a) paragraph 5(5) of Part I, and

(b) paragraph 16(5) of Part II,

of Schedule 1 to the National Heritage (Scotland) Act 1985, for “the Employment Protection (Consolidation) Act 1978” substitute “ the Employment Rights Act 1996 ”.

The Prosecution of Offences Act 1985 (c. 23)

25

(1) The Prosecution of Offences Act 1985 is amended as follows.

(2) In section 11(5), for “Schedule 13 to the Employment Protection (Consolidation) Act 1978” substitute “ Chapter I of Part XIV of the Employment Rights Act 1996 ”.

(3) In section 15(6), for the words from “be treated as” to “shall not be so treated” substitute “ not be treated as transferred functions ”.

The Local Government Act 1985 (c. 51)

26

(1) The Local Government Act 1985 is amended as follows.

(2) In section 54(2), for “Schedule 13 to the said Act of 1978” substitute “ Chapter I of Part XIV of the Employment Rights Act 1996 ”.

(3) In section 105(1), for “the Employment Protection (Consolidation) Act 1978” substitute “ the Employment Rights Act 1996 ”.

The Trustee Savings Banks Act 1985 (c. 58)

27

In section 3(7) of the Trustee Savings Banks Act 1985, for “paragraph 17(3) of Schedule 13 to the Employment Protection (Consolidation) Act 1978” substitute “ section 218(3) of the Employment Rights Act 1996 ”.

The Housing (Consequential Provisions) Act 1985 (c. 71)

28

In paragraph 7(2)(b) of Schedule 4 to the Housing (Consequential Provisions) Act 1985, for “Schedule 13 to that Act” substitute “ Chapter I of Part XIV of the Employment Rights Act 1996 ”.

The Insolvency Act 1986 (c. 45)

29

In paragraph 13 of Schedule 6 to the Insolvency Act 1986, for sub-paragraph (2) substitute—

(2) An amount falls within this sub-paragraph if it is— (a) a guarantee payment under Part III of the Employment Rights Act 1996 (employee without work to do); (b) any payment for time off under section 53 (time off to look for work or arrange training) or section 56 (time off for ante-natal care) of that Act or under section 169 of the Trade Union and Labour Relations (Consolidation) Act 1992 (time off for carrying out trade union duties etc.); (c) remuneration on suspension on medical grounds, or on maternity grounds, under Part VII of the Employment Rights Act 1996; or (d) remuneration under a protective award under section 189 of the Trade Union and Labour Relations (Consolidation) Act 1992 (redundancy dismissal with compensation).

The Legal Aid (Scotland) Act 1986 (c. 47)

30

In paragraph 10(1) of Schedule 1 to the Legal Aid (Scotland) Act 1986, for “the Employment Protection (Consolidation) Act 1978” substitute “ the Employment Rights Act 1996 ”.

The Debtors (Scotland) Act 1987 (c. 18)

31

In section 73(3)(g) of the Debtors (Scotland) Act 1987, for “section 81(1) of the Employment Protection (Consolidation) Act 1978” substitute “ the Employment Rights Act 1996 ”.

The Pilotage Act 1987 (c. 21)

32

In section 25(6) of the Pilotage Act 1987, for “Schedule 13 to the Employment Protection (Consolidation) Act 1978” substitute “ Chapter I of Part XIV of the Employment Rights Act 1996 ”.

The Housing (Scotland) Act 1987 (c. 26)

33

In paragraph 10(2)(b) of Schedule 22 to the Housing (Scotland) Act 1987, for “Schedule 13 to that Act” substitute “ Chapter I of Part XIV of the Employment Rights Act 1996 ”.

The Consumer Protection Act 1987 (c. 43)

34

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The Income and Corporation Taxes Act 1988 (c. 1)

35

(1) The Income and Corporation Taxes Act 1988 is amended as follows.

(2) In section 579—

(a) in subsections (3)(a) and (5)(a) and in subsection (4)(a) as it has effect for the purposes of corporation tax, for the words from “by which” to “rebate” substitute “ of the redundancy payment or the corresponding amount of the other employer’s payment ”, and

(b) in subsection (6), for “section 106 of the Employment Protection (Consolidation) Act 1978” substitute “ section 166 of the Employment Rights Act 1996 ”.

(3) In section 580(1)—

(a) in paragraph (a), for “, “employer’s payment” and “rebate” have the same meaning as in the Employment Protection (Consolidation) Act 1978 (“the 1978 Act”)” substitute “ and “employer’s payment” have the same meaning as in Part XI of the Employment Rights Act 1996 ”,

(b) in paragraph (b), for the words “of the relevant redundancy payment” onwards substitute “ which would have been payable as a redundancy payment had one been payable; ”, and

(4) In—

(a) paragraph 19(a) of Part III of Schedule 9, and

(b) paragraph 2 of Schedule 10,

for “the Employment Protection (Consolidation) Act 1978” substitute “ the Employment Rights Act 1996 ”.

The Legal Aid Act 1988 (c. 34)

36

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The Education Reform Act 1988 (c. 40)

37

(1) The Education Reform Act 1988 is amended as follows.

(2) In section 174(2), for “Schedule 13 to that Act” substitute “ Chapter I of Part XIV of the Employment Rights Act 1996 ”.

(3) In section 203(7), for “section 55 of the Employment Protection (Consolidation) Act 1978” substitute “ Part X of the Employment Rights Act 1996 ”.

(4) In section 221(2)(b), for “section 81 of the Employment Protection (Consolidation) Act 1978” substitute “ section 135 of the Employment Rights Act 1996 ”.

(5) In section 235—

(a) in subsection (1), for “the Employment Protection (Consolidation) Act 1978” substitute “ the Employment Rights Act 1996 ”, and

(b) in subsection (2)(f), for “section 81 of the Employment Protection (Consolidation) Act 1978” substitute “ section 139 of the Employment Rights Act 1996 ”.

The Local Government Finance Act 1988 (c. 41)

38

In paragraph 6(4) of Schedule 11 to the Local Government Finance Act 1988, for “the Employment Protection (Consolidation) Act 1978” substitute “ the Employment Rights Act 1996 ”.

The Housing (Scotland) Act 1988 (c. 43)

39

In paragraph 12(1) of Schedule 1 to the Housing (Scotland) Act 1988, for “the Employment Protection (Consolidation) Act 1978” substitute “ the Employment Rights Act 1996 ”.

The Health and Medicines Act 1988 (c. 49)

40

In section 18 of the Health and Medicines Act 1988, for “the Employment Protection (Consolidation) Act 1978” substitute “ the Employment Rights Act 1996 ”.

The Housing Act 1988 (c. 50)

41

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The Dock Work Act 1989 (c. 13)

42

In section 6(3) of the Dock Work Act 1989—

(a) for “the 1978 Act” substitute “ the Employment Rights Act 1996 ”,

(b) for “section 151 of, and Schedule 13 to,” substitute “ Chapter I of Part XIV of ”,

(d) for “paragraph 4 of that Schedule” substitute “ section 212(1) of that Act ”.

The Electricity Act 1989 (c. 29)

43

(1) The Electricity Act 1989 is amended as follows.

(2) In section 56(3), for “Schedule 13 to the said Act of 1978” substitute “ Chapter I of Part XIV of the Employment Rights Act 1996 ”.

(3) In—

(a) paragraph 4(1) of Schedule 14, and

(b) paragraph 4(1) of Schedule 15,

for the words from the beginning to “continuous” substitute “ Chapter I of Part XIV of the Employment Rights Act 1996 ”.

The Local Government and Housing Act 1989 (c. 42)

44

In section 10 of the Local Government and Housing Act 1989—

(a) in subsection (1), for “subsection (4) of section 29 of the Employment Protection (Consolidation) Act 1978” substitute “ section 50(4) of the Employment Rights Act 1996 ”, and

(b) in subsection (2)—

(i) for “the Employment Protection (Consolidation) Act 1978” substitute “ the Employment Rights Act 1996 ”, and

(ii) for “subsection (1) of section 29” substitute “ subsection (2) of section 50 ”.

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