Release date: 24th September 2002

1st October 2002 will see two sets of regulations implementing the EC Fixed-Term Work Directive come into force. The basic idea of the new fixed-term regulations is to ensure that it is not possible for an employer to "escape" from the regulations by employing fixed-term workers on a part-time basis.

The Fixed-Term Employees (Prevention of Less Favourable Treatment) Regulations 2002 make it unlawful to treat a fixed-term employee less favourably than a comparable non-fixed term employee engaged in similar work. Several other related issues are also covered. Most notably these include automatic conversion of fixed term contracts to contracts of indefinite length after four years; removal of the current ability for an employee to agree that he will not claim statutory redundancy pay on expiry of a fixed term; and making the completion of a task contract count as dismissal for unfair dismissal purposes.

The first amendment will allow individual part-timers to compare themselves to a full-time colleague irrespective of whether either worker’s contract is permanent or fixed-term. The second amendment will remove the limitation on the period of time for which backdated pension rights can be claimed when a part-time employee successfully claims such rights under the Regulations. As recent case law decided, the current two-year limitation is unlawful.

"It is advisable that any employer with staff on fixed term contracts consult with a solicitor in order to avoid falling into unsuspected traps created by the new rules",

said Chris Wiper, Senior Partner at Close Thornton Solicitors.

"This is particularly relevant to employers with staff on fixed term contracts who are not eligible for perks offered to long service employees."

For further information about this news release please contact Close Thornton Solicitors Marketing and Media Department. Tel: 01325 466461 or e-mail.

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