References

Briefing paper number 7783. NHS staff from overseas: statistics. 2018. https://tinyurl.com/y82dyvqq (accessed 12 February 2019)

Department of Health and Social Care. NHS Pension Scheme: proposed changes to scheme regulations. 2018. https://tinyurl.com/y5p2l5ta (accessed 12 February 2019)

HM Courts and Tribunals Service. Mr S Ibrahim v HCA International Ltd: UKEAT/0105/18/BA. 2019. https://tinyurl.com/y7ob3974 (accessed 12 February 2019)

HM Government. EU Settlement Scheme: introduction to the employer toolkit. 2019. https://tinyurl.com/y3t7ra5g (accessed 12 February 2019)

HM Government. Good work plan. 2018. https://tinyurl.com/y9mxrnks (accessed 12 February 2019)

Good work report. 2017. https://tinyurl.com/yaf4fk5e (accessed 12 February 2019)

UK Visas and Immigration and Home Office. Using the ‘EU Exit: ID Document Check’ app. 2018. https://tinyurl.com/y5ooy73y (accessed 12 February 2019)

Walker (Appellant) v Innospec Limited and others (Respondents). 2017;

Employment cases of note (February 2019)

02 March 2019
Volume 24 · Issue 3

Each month brings more changes to the world of employment. While some changes relate to case law, others follow on from regulatory and legislative changes. This article offers an insight into what the healthcare sector needs to be aware of.

Whistleblowing—what is the ‘public interest’ test?

Since 2013, whistleblower protection has only been available to workers who reasonably believe that their disclosure is in the public interest. Can allegations by a worker that they have been defamed ever satisfy this test? The answer is—it all depends on the facts, as was pointed out by the case of Ibrahim v HCA International Limited (HM Courts and Tribunals Service, 2019).

In this case, Mr Ibrahim complained to HCA (a healthcare business) that rumours were circulating that he was responsible for breaches of patient confidentiality. Mr Ibrahim said he needed to ‘clear his name’. HCA investigated his complaint but rejected it. When Mr Ibrahim was later dismissed, he lodged a whistleblowing claim.

For his claim to get off the ground, Mr Ibrahim needed to show that at the time he raised his complaint with HCA, he believed he was acting in the public interest, and his belief was reasonable.

HCA claimed that Mr Ibrahim's complaint could not be in the public interest, because his concerns were only that false rumours had been made about him and about the effect the rumours had on him personally.

Both the Employment Tribunal and the Employment Appeal Tribunal agreed with HCA. All the evidence supported the conclusion that Mr Ibrahim was seeking to protect his personal interest. As a result, his claim failed.

So, what can be learnt from this? To benefit from the special protection afforded to whistleblowers, workers must be able to show that at the time they made their disclosure, they believed it had a connection to the wider public interest. This makes it more difficult for whistleblowing claims to succeed where the alleged disclosure is a breach of the employee's own contract of employment or, as in the case of Mr Ibrahim, alleged defamatory comments by colleagues.

However, the facts of each case are all important. There will be cases where disclosures are both in the public interest and in the private interests of the employee concerned. For example, Mr Ibrahim later alleged that he was concerned about wider data protection issues and that this engaged the public interest. The problem in his case was that there was no evidence that he held this belief at the time that he raised his complaint with HCA.

NHS pension consultation

On 18 December 2018, the Department of Health and Social Care published a consultation on the proposed changes to the NHS pension scheme regulations (Department of Health and Social Care, 2018). While the consultation has now closed and a number of the changes are technical, it is nevertheless worthwhile to point out the proposed changes that may affect workers. In summary, they are as follows:

  • A new contribution rate of 20.6% for employers from 1 April 2019 and a renewal of current employee contribution rates so that the same rates continue to apply beyond 31 March 2019
  • Following the Supreme Court judgment in the case of Walker v Innospec Ltd ([2017] UKSC 47), civil partners and same sex spouses will have the same survivor pension rights as widowed individuals
  • Extending existing forfeiture rules so that the Secretary of State may suspend pension benefits if a member or other beneficiary is charged or convicted with an offence that may lead to all or part of those benefits being forfeited
  • Updating provisions relating to ‘contracting out’ from the second state pension so that these are in line with revised HMRC and Department for Work and Pensions legislation
  • Any pay increases that result from a nationally agreed Agenda for Change pay award are exempted from controls on final pensionable pay
  • Making miscellaneous and consequential amendments to scheme rules, in particular relating to the provision of a statement of estimated pensionable income contributions
  • Making other changes that were presented in a previous consultation in November 2017—removing the nomination requirement to nominate unmarried cohabitees for survivor benefits and miscellaneous corrections and refinements to improve the operation of scheme rules.
  • EU Settlement Scheme to open for more EU nationals

    As Brexit gets closer, the EU Settlement Scheme, which grants immigration status to EU nationals to allow them to continue living here after Brexit, is being rolled out to increasingly larger groups of EU nationals.

    Under the proposed Withdrawal Agreement, EU citizens and their family members who are resident in the UK will need to apply under the EU Settlement Scheme for immigration permission by 31 December 2020 to continue to live here after Brexit.

    The Government is in the process of piloting the EU Settlement Scheme and before December 2018, the pilot was opened to a select group of EU nationals including those working in the higher education, health and social care sectors. From 21 January 2019, the pilot was expanded to a much larger group of EU citizens to enable them to apply for ‘settled’ or ‘pre-settled’ status under the EU Settlement Scheme.

    In order to apply during this next test phase, applicants will need to either be EU nationals who hold passports that contain biometric chips or non-EU nationals who are family members of an EU national and have been issued a biometric residence card by the Home Office. The reason for this restriction is that those applying at this stage must use the EU Exit: ID Document Check app, which is used to verify the applicant's identity by reading the biometric data from their passport or biometric residence card (UK Visas and Immigration and Home Office, 2018). The app is currently only available on tablets and smartphones operating on the Android platform.

    For those who do not hold biometric identity documents or have access to an Android device, the scheme is due to be open fully by 30 March 2019 when other arrangements will be in place for verifying identity. Under the Withdrawal Agreement, the scheme is scheduled to remain open until 30 June 2021.

    For employers, particularly those who employ larger numbers of EU nationals, the widening of the pilot provides an opportunity to take a more proactive approach in supporting their employees. The NHS has about 63 000 staff working in England who are EU nationals (Baker, 2018). For many such individuals, there has been a long period of uncertainty while they wait to find out what their status will be after Brexit, leading to reports that many EU nationals are considering leaving the UK as a result.

    While employers should be careful not to provide immigration advice to their employees (doing so may be a criminal offence), providing additional support to EU employees with applications under the EU Settlement Scheme may help reassure employees in these uncertain times.

    Additional information about the EU Settlement Scheme for employers and employees who are EU citizens is available in the form of the Employer Toolkit produced by HM Government (2019). The toolkit contains guidance for employers, as well as information leaflets aimed at EU nationals who will be applying under the scheme.

    Government proposes biggest reform of employment law in 20 years

    In July 2017, Matthew Taylor published his Good Work report about the implications of new forms of work on worker rights and responsibilities and employer freedoms and obligations (Taylor, 2017). The Government has now published its response, the Good Work Plan, which proposes a number of changes to employment law, and draft legislation for some of the changes has already been released (HM Government, 2018).

    On 6 April 2020, a number of employment law changes will be made as part of the Employment Rights (Employment Particulars and Paid Annual Leave) (Amendment) Regulations 2018. These include:

  • Break in continuity of employment The break between periods of employment that interrupts continuity will be increased from the current 1 week to 4 weeks. This is likely to have the biggest impact on temporary workers as it will be easier for them to accrue the 2-year qualifying service to engage unfair dismissal rights. Employers will need to track temporary employees more closely and take far more care in ending temporary assignments when an individual has qualifying service
  • Holiday pay—calculation of a week's pay For calculating a week's pay for holiday pay purposes, the reference period for variable pay will increase from 12 weeks to 52 weeks. This should be a change welcomed by employers, as holiday pay calculations will be less exposed to short-term variations in pay
  • Agency workers The Agency Workers (Amendment) Regulations 2018 will abolish the exemption that excludes agency workers from the right to equal pay with comparable direct employees if they have an employment contract with their agency that guarantees pay between assignments. In terms of the Employment Rights Regulations 2019, the Government has proposed the following changes as part of the Employment Rights (Miscellaneous Amendments) Regulations 2019, which currently has no universal commencement date
  • Written statement of terms and conditions Employers will be required to provide employees with a written statement of terms and conditions on the first day of work (rather than within 2 months), and this right will also be extended to workers. Employers will need to review their recruitment processes and ensure employment contracts are being issued to employees and workers on or before their first day
  • Aggravated conduct penalties Employment tribunals can currently issue penalties against an employer for aggravating conduct. These are hardly ever imposed. The Government proposes to increase the limit on these penalties from £5000 to £20 000. This will come into force on 6 April 2019
  • Information and consultation thresholds To encourage engagement in the workplace, the percentage of the workforce required for a valid employee request for an information and consultation agreement governing how their employer will consult about economic and employment-related matters will be lowered from 15% to 2%. However, there are other major proposed changes to employment law within the Good Work Plan that are not yet currently part of proposed legislation
  • Test for employment status Currently, the employment tribunals and HMRC take different approaches to considering whether an individual is an employee, worker or self-employed. It is entirely possible that someone might be, for example, a worker for employment law purposes but self-employed for tax purposes. The Government is proposing that the same status test be used for employment law and tax purposes and that these tests be ‘streamlined’. Harmonising and clarifying the employment status tests should hopefully make it easier for employers to determine whether an individual is truly self-employed. Employers will need to review all contracts with supposed ‘contractors’ to determine whether the contractor retains their self-employed status under the new employment status rules. This may lead to more individuals being added to payroll and/or renegotiation of contracts
  • Right to request fixed working pattern The Government is proposing a right to request a fixed working pattern for those who do not have one. Entitlement to the right will be after 26 weeks on a non-fixed pattern. There is likely to be considerable discretion for the employer to refuse the request, akin to flexible working requests. The Government is billing the Good Work Plan as the biggest reform of employment law in 20 years. However, the plan has stayed away from making any detailed proposals regarding the larger changes proposed by Matthew Taylor to tackle the increasing perceived unfairness and unlawfulness within the gig economy and for zero-hours workers. It remains to be seen how the Government will address these pressing employment concerns. At present, the Government's proposed changes represent more of a tinker with existing legislation than any form of wholescale reform.
  • KEY POINTS

  • The latest position on the Government's EU Settlement Status is an opportunity for employers to support employees
  • General changes to employment law are in train and employers would be wise to note how they affect them
  • Whistleblowers may have protections against ‘defamation’ but they need to take care when bringing claims concerning this
  • Changes to NHS pensions are coming and the Government's website should be watched for announcements.