Visteon Engineering Services Ltd v Oliphant and Others (Contract of Employment : Implied Term/Variation/Construction of Term): EAT 7 Aug 2013

EAT CONTRACT OF EMPLOYMENT – Implied term/variation/construction of term
The Employment Judge did not err in construing an agreement reached between Ford, the transferor, and Trade Unions as not including a six year time limit on a term giving transferring employees a contractual entitlement to have their pay terms ‘mirror’ those of Ford employees. There was no basis for reading into a provision which gave them the entitlement ‘for the duration of their employment’ a limitation of six years which was the time within which new bargaining structures for transferred employees would have to be established and after which transferred employees would not be covered by Ford collective bargaining arrangements. However the Employment Judge erred in holding that the pay terms of transferring employees, including ‘mirroring’ were not within the scope of the new bargaining arrangements established by UNITE with the Respondent. The contractual ‘mirroring’ term could be varied or replaced by agreement. However at the time of the hearing before the Employment Judge no such agreement had been reached. Appeal dismissed.

Slade J
[2013] UKEAT 0010 – 13 – 0708
Bailii
England and Wales

Employment

Updated: 18 November 2021; Ref: scu.514292