• Facebook
  • Twitter
  • LinkedIn
Call us now: 01243 836 840   [email protected]
Pure Employment Law
  • Who We Are
    • Nicola Brown
    • Peter Stevens
    • Elena Elsam
    • David Jones
    • Linda Nye
    • Brenda Cherry
  • For Employers
    • Advice on HR and People issues
    • Investigations, Hearings and Appeals
    • Restructuring and Redundancy
    • Defending Employment Tribunal Claims
    • Dismissal of Senior Executives
    • Contracts, Handbooks and Policies
    • Employment Law Training
  • For Employees
    • Settlement Agreements
    • Workplace Issues including Disciplinary and Grievance
    • Bringing an Employment Tribunal Claim
  • Employment Law Events
  • Legal Updates
  • Testimonials
  • Vacancies
  • Contact us
  • Search
  • Menu Menu

Staff Handbooks: to be or not to be contractual?

27th May 2016/in News /by Nicola Brown

In the recent case of Department for Transport v Sparks and others (2016) the crux of the matter was whether specific terms in a staff handbook (relating to absence management and the ‘trigger point’ at which disciplinary procedures would be invoked) were contractual or non contractual.

The Department for Transport (DfT) had, after failing to reach agreement with employees, imposed a new absence management procedure, under which the first ‘trigger point’ would be 5 days or three occasions of absence within a rolling 12 month period. The employees argued that the existing provisions were contractual, and so the DfT could not impose the new terms without their agreement.

The handbook was divided into two parts, A and B. Whilst Part A expressly stated that all parts which apply to the employee and which are “apt for incorporation” will be incorporated into their contract of employment, Part B was stated to contain procedure and guidance. The existing absence management provisions were contained in Part A.

The handbook also stated that the DfT had to consult with employees before making changes to contractual terms and, if agreement could not be reached, it could only make unilateral changes if they were not detrimental to the employees. The DfT imposed the changes to the absence management procedure without the employees’ agreement and several of the employees applied to the High Court for a declaration of their rights.

The High Court held that the existing trigger point provisions were “apt for incorporation”, even though many of the surrounding provisions were not. The new provisions, which were detrimental to the employees, were not effective in varying the contract and were not therefore contractually binding on them. If the new provisions were applied to any of the employees then this would be a breach of contract.

The DfT appealed to the Court of Appeal. The Court of Appeal looked at the specific wording in the handbook and upheld the findings of the High Court. The Court of Appeal found that is was possible for a sickness management procedure consisting largely of guidance and good practice to contain specific provisions which have contractual force.

Whether terms are in fact incorporated into the contract of employment will always be very fact specific. It is an important issue for employers to consider because of the risks of imposing detrimental changes to contractual terms without employees’ agreement.

The Court of Appeal also commented how unsatisfactory it was that the handbook only existed in electronic form and previous relevant provisions had been ‘lost for all time’. It would be prudent to keep records of any changes or prior versions of procedures in the event of a dispute.

Why does it matter?

If the terms have contractual force, then the employer will need the employees’ consent to make changes, unless there contract makes specific provision for such changes (and even if it does, that is no guarantee that employers can rely on such clauses). Whilst there is unlikely to be an issue if the changes are beneficial to the employees, it will be potentially more difficult where the changes are detrimental. Click here for our previous article Q&A – Changing terms of employment which discusses the options available to employers needing to make changes to contractual terms.

We can help draft and review contracts of employment, service agreements, policies and staff handbooks to ensure that you have clear documentation which protects your organisation and reduces the risk of dispute. If you are changing terms and conditions and/or employee benefits, we can guide you through what can be a complex process.

If you would like to talk through a situation you are dealing with, or if you need advice on any aspect of employment law, please contact any member of the Pure Employment Law team (01243 836840 or [email protected]).

Please note that this update is not intended to be exhaustive or be a substitute for legal advice. The application of the law in this area will often depend upon the specific facts and you are advised to seek specific advice on any given scenario.
Share this article
  • Share on Facebook
  • Share on Twitter
  • Share on WhatsApp
  • Share on LinkedIn
  • Share on Reddit
  • Share by Mail
https://www.pureemploymentlaw.co.uk/wp-content/uploads/2019/02/Pure-Employment-Law-logo.jpg 0 0 Nicola Brown https://www.pureemploymentlaw.co.uk/wp-content/uploads/2019/02/Pure-Employment-Law-logo.jpg Nicola Brown2016-05-27 09:01:112016-05-31 08:59:29Staff Handbooks: to be or not to be contractual?

Join our mailing list

* = required field
Mailing Lists


Recent Legal Updates

  • FAQs about COT3s 18th December 2020
  • Can an employer withdraw a notice of redundancy? 18th December 2020
  • Will employers be able to insist that staff have the Covid-19 vaccination? 18th December 2020
  • Furlough over Christmas? 18th December 2020
  • Update – Furlough scheme extended 18th December 2020
Link to: Contact Us

Any questions? Why not get in touch!

Our advice is always given in plain English without any waffle, and we focus on providing practical solutions to our clients’ problems.

Contact us

LEGAL INFORMATION

Pure Employment Law | 1 Little London, Chichester, West Sussex, PO19 1PH
[email protected] | Tel: 01243 836840

Pure Employment Law is the trading name of Pure Employment Law Limited, registered in England and Wales with company number 07134294 and whose registered office is 1 Little London, Chichester, West Sussex, PO19 1PH. Pure Employment Law Limited is authorised and regulated by the Solicitors Regulation Authority with registration number 533794. A list of the company’s directors is available for inspection at the registered office

DISCLAIMER

The information contained in this website is for general information purposes only. The information is provided by Pure Employment Law and while we endeavour to keep the information up to date and correct, we make no representations or warranties of any kind, express or implied, about the completeness, accuracy, reliability, suitability or availability with respect to the website or the information, products, services, or related graphics contained on the website for any purpose. Any reliance you place on such information is therefore strictly at your own risk.

Privacy Policy | Cookies Policy | Terms & Conditions | How to make a complaint | Sitemap

© Pure Employment Law 2021

Scroll to top

This site uses cookies. By continuing to browse the site, you are agreeing to our use of cookies as defined in our cookie policy.

Accept Cookie Policy

Cookie and Privacy Settings



How we use cookies

We may request cookies to be set on your device. We use cookies to let us know when you visit our websites, how you interact with us, to enrich your user experience, and to customize your relationship with our website.

Click on the different category headings to find out more. You can also change some of your preferences. Note that blocking some types of cookies may impact your experience on our websites and the services we are able to offer.

Essential Website Cookies

These cookies are strictly necessary to provide you with services available through our website and to use some of its features.

Because these cookies are strictly necessary to deliver the website, refuseing them will have impact how our site functions. You always can block or delete cookies by changing your browser settings and force blocking all cookies on this website. But this will always prompt you to accept/refuse cookies when revisiting our site.

We fully respect if you want to refuse cookies but to avoid asking you again and again kindly allow us to store a cookie for that. You are free to opt out any time or opt in for other cookies to get a better experience. If you refuse cookies we will remove all set cookies in our domain.

We provide you with a list of stored cookies on your computer in our domain so you can check what we stored. Due to security reasons we are not able to show or modify cookies from other domains. You can check these in your browser security settings.

Google Analytics Cookies

These cookies collect information that is used either in aggregate form to help us understand how our website is being used or how effective our marketing campaigns are, or to help us customize our website and application for you in order to enhance your experience.

If you do not want that we track your visit to our site you can disable tracking in your browser here:

Other external services

We also use different external services like Google Webfonts, Google Maps, and external Video providers. Since these providers may collect personal data like your IP address we allow you to block them here. Please be aware that this might heavily reduce the functionality and appearance of our site. Changes will take effect once you reload the page.

Google Webfont Settings:

Google Map Settings:

Google reCaptcha Settings:

Vimeo and Youtube video embeds:

Other cookies

The following cookies are also needed - You can choose if you want to allow them:

Privacy Policy

You can read about our cookies and privacy settings in detail on our Privacy Policy Page.

Privacy Policy
Accept settingsHide notification only