Landmark temps ruling could leave employers paying the price

first_img Comments are closed. Landmark temps ruling could leave employers paying the priceOn 1 May 2003 in Personnel Today Employers are being warned to take more care over the way they treattemporary staff following a court ruling that direct dealings over time couldgive temps an implied employment contract and therefore full employee rights. The Court of Appeal ruling in Franks v (1) Reuters Limited (2) First ResortEmployment Limited could expose firms to employment claims from temps, andpossibly also from contractors working through personal service companies. Franks worked for several years at Reuters as a temp driver and helpdeskoperator. When his assignment ended, he claimed unfair dismissal, redundancypay and breach of contract against Reuters. The Court of Appeal said it was possible he could have a claim if, onconsideration of all the relevant evidence (including what was said and done,as well as any relevant documents), there was an implied contract betweenFranks and Reuters. It said relevant factors could be that Franks had been allowed to stayworking in the same place for several years, during which time he wasredeployed, and effectively treated as a member of the end-user’s workforce. “Therefore dealings between parties over a period of years, as distinctfrom the weeks or months typical of temporary or casual work, are capable ofgenerating an implied contractual relationship,” said Kevin Barrows,partner at Tarlo Lyons. To avoid a similar situation, Barrow advised: “Channel all dealingswith contractors through the staffing company. Do not move temps andcontractors from job to job within your organisation, and do not allow themaccess to general employee benefits, do not, for example, fill in theirmortgage application forms.” Previous Article Next Article Related posts:No related photos.last_img

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