Being forced to accept new terms and conditions

[Routemaster]

Hi all

I hope someone can help me. I am a lorry driver and have been with my current employer for under a year. On Friday all drivers at the company were handed an envelope which contained a letter and new terms and conditions of employment. I have transcribed the contents of the letter below:

"Variation to your terms and conditions of employment

We have the right to vary your terms and conditions of employment, and we need to do so. I should stress that the intention of this variation is not to be any less generous to you than we currently are, but in order to comply with legal advice that we have received.

I attach your proposed new contract. Please sign and return it to me by 4pm on 22nd August 2014. If you do not sign and return by this time, i regret that it will be necessary for us to terminate your employment."

The variations run to 14 pages! The main concern i have is that they are changing the way that i earn my wages. I currently receive a flat daily wage, plus an bonus of what the vehicle earns and an additional bonus based on the total amount the vehicle earns. Under the proposed changes i will be paid a flat amount per hour. I have made some calculations and the new wage structure will mean that i will be earning £25 a week out of pocket.

I feel as if the company are holding a gun against my head in forcing me to sign the new terms or face the sack. Surely this cannot be right?

Sorry for going on for so long

Tony

[Johnboy007]

Re: Being forced to accept new terms and conditions

You need to check your contract of employment, or if you do not have one, your written statement of employment from your company.

VARYING A CONTRACT OF EMPLOYMENT:

An existing contract of employment can be varied only with the agreement of both parties.
Changes may be agreed on an individual basis or through a collective agreement (ie: agreement between employer and employee or their representatives (trade unions or workforce representatives)).

An employer may ask, “Can I impose a contract unilaterally”? ( apply to all employees )
The answer is,
If you impose a new contract unilaterally you will be in breach of contract and your employees may well:
•make legal claims against the company for constructive dismissal if the breach is fundamental and significant
•claim damages for breach of contract at a civil court
•claim at an employment tribunal for unlawful deduction from wages if the change affects their pay.


So my friend, the company does not have a right to vary your contract of employment, except with your permission.
If the variation affects your pay, then you would have a claim in an employment tribunal for unlawful deductions from wages.
Below is the ACOS guide to varying a contract of employment.
Maybe you should show your employer a copy of it.

[davec1960]

Re: Being forced to accept new terms and conditions

So my friend, the company does not have a right to vary your contract of employment, except with your permission.

The company is asking for his permission to vary the contract.
However if he refuses they will terminate his contract, which is something they can do easily as he has not worked there for two years.
Drivers who have two years service will have the option of taking the employer to an ET but who is to say that the ET will deem the changes to contract unreasonable and hence the dismissal unfair.
I have no doubt that the employer would produce figures that showed that drivers weren't all £25 a week worse off and that some were better off and overall the new contracts were fairer and treated everyone equally.

[Johnboy007]

Re: Being forced to accept new terms and conditions

The company is asking for his permission to vary the contract.
However if he refuses they will terminate his contract, which is something they can do easily as he has not worked there for two years.
Drivers who have two years service will have the option of taking the employer to an ET but who is to say that the ET will deem the changes to contract unreasonable and hence the dismissal unfair.
I have no doubt that the employer would produce figures that showed that drivers weren't all £25 a week worse off and that some were better off and overall the new contracts were fairer and treated everyone equally.

The ET would have no option but to rule that any changes to wages, even if it was just a penny, without the express permission of the employee would be a breach of contract.
It is unlawful to make deductions from wages that have not been authorised by the employee, or by legislation, such as tax and insurance.
So the company would have to prove that every employee was in fact, no worse off or better off with the new terms.
And whether the changes are reasonable or not, is immaterial, if the change effects wages and the employee has not given his/her permission for such a change.

And with regards to the 2 year rule for unfair dismissal, in this case it would not apply.
If the company dismiss the employee, it would be regarded as an Automatically Unfair Reason For Dismissal..
These reasons are as follows.

• pregnancy, including all reasons relating to maternity
• family, including parental leave, paternity leave (birth and adoption), adoption leave or time off for dependants
• acting as an employee representative
• acting as a trade union representative
• acting as an occupational pension scheme trustee
• joining or not joining a trade union
• being a part-time or fixed-term employee
• discrimination, including protection against discrimination on the grounds of age, disability, gender reassignment, marriage and civil partnership, pregnancy and maternity, race, religion or belief, sex and sexual orientation (in Northern Ireland, this also includes political beliefs)
• pay and working hours, including the Working Time Regulations, annual leave and the National Minimum Wage
  

So the employee would be able to take his claim to an ET