UK: Contractual Flexibility Clauses Must Be Clear And Unambiguous To Give An Employer A Right To Make Unilateral Changes

In the case of Norman and others v National Audit Office UKEAT/0276/14, the Employment Appeal Tribunal (“EAT”) confirmed that flexibility clauses in employment contracts which seek to give employers the right to make unilateral changes to the contract’s terms will be interpreted restrictively against employers.

In reaching its decision, the EAT overturned an Employment Tribunal’s decision that the National Audit Office (“NAO”) had the power to unilaterally vary its employees’ contracts in relation to their […]

By | March 11th, 2015 ||

UK: When Is A Shareholder Also An Employee And Entitled To Pay?

A shareholder of a company may also have employment rights, including the right to be paid, when services are carried out for the company.  This was confirmed by the Court of Appeal in its judgment of 5th February 2015 in the case of Stack v Ajar-Tec Ltd.  This is an noteworthy case for anyone interested in the problematic question of employment status.

Ajar-Tec, incorporated in 2005, was in the business of supplying audio-visual equipment.  The […]

By | March 10th, 2015 ||

United States: New Final Rule Looks to the Place of Celebration To Define “Spouse” Under the FMLA

The U.S. Department of Labor has issued a final rule that amends what it means to be a “spouse” for purposes of the Family and Medical Leave Act (FMLA), and provides clarity around when same-sex couples are eligible for this status under the FMLA. In adopting a “place of celebration” rule, and moving away from the existing “state of residence” rule, the amendment makes it clear that if the U.S. jurisdiction in which the […]

By | March 10th, 2015 ||