Definition from the XpertHR glossary.
This week's case of the week, provided by DLA Piper, covers pay agreements.
In Rosenbladt v Oellerking Gebäudereinigungsges mbH  IRLR 51 ECJ, the ECJ held that art.6(1) of the Equal Treatment Framework Directive does not necessarily preclude domestic legislation that permits the use of automatic termination clauses based on the retirement age, or the use of such clauses in collective agreements. The crucial issue is whether or not such measures are objectively justified.
In Malone and others v British Airways Plc  IRLR 32 CA, the Court of Appeal held that the provisions of a collective agreement that purported to set "minimum" cabin crew numbers for different routes and types of aircraft were not incorporated into individual employees' contracts of employment. The provisions amounted to a collective undertaking to operate with minimum numbers so as to protect jobs and guard against excessive workloads, and were binding in honour only.
The Court of Appeal has dismissed an appeal by British Airways cabin crew against the High Court's decision that BA was not in breach of contract by reducing crew complements on flights.
The European Court of Justice has held that a German law allowing employers to agree with employees under a collective agreement that they must retire when they become entitled to a pension could be justified.
In Malone and others v British Airways plc  IRLR 431 HC, the High Court held that the provisions of a collective agreement purporting to set "minimum" cabin crew numbers for different routes and types of craft were not incorporated into individual employees' contracts of employment. In any event, an injunction would not be granted to restrain the employer from reducing cabin crew numbers below the levels specified, and, even if there had been a breach of contract, any award for damages would be for a nominal amount only.
In Parkwood Leisure Ltd v Alemo-Herron and others  EWCA Civ 24 CA, the Court of Appeal held that, where the transfer of an undertaking occurs, and the transferring employees' contracts contain a clause referring to a collective agreement between the transferor and the relevant union, the transferee is not obliged to recognise wage increases agreed by the transferor and the union after the transfer has occurred resulting from negotiations to which the transferee was not a party.
The High Court has held that provisions regarding minimum crew complements, contained in collective agreements, were not legally incorporated into employees’ contracts of employment, and those employees could not rely on them. In any event an injunction sought by the employees, to restrain British Airways (BA) from crewing planes other than in accordance with that collective agreement, could not possibly be justified.
HR and legal information and guidance relating to collective bargaining and agreements.