This week, the Supreme Court handed down judgment in the case of Augustine v Data Cars Limited, which settles a long-running conflict in the case law on the causation test under Regulation 5 of the Part-Time Workers (Prevention of Less Favourable Treatment) Regulations 2000 (PTWRs). Mishcon de Reya represented Data Cars Limited for the appeals to the Court of Appeal and Supreme Court and Mr Augustine was represented by A&O Shearman from the EAT stage onwards. Both sides acted pro bono and agreed not to seek costs, including pro bono costs orders, enabling the parties to fully argue, and achieve certainty on, this issue of general public importance.
Adam McGlynn, Managing Associate in the Employment department and part of the team acting in the case, has commented for People Management on the implications of the judgment for employers. Adam explained that policies and decisions should be applied to comparable staff “equitably and consistently”, in accordance with the pro-rata principle.
“Arrangements that do not comply with the pro-rata principle, such as fixed payments, benefits or deductions that apply to all staff regardless of hours worked and, therefore, have a disproportionate impact on part-time staff, represent a potential compliance risk.”
Adam said employers should consider whether workplace arrangements “proportionately pursue a legitimate business aim” and clearly document their decisions, in light of the fact they now face a greater evidential burden.
Read the article in full