Employment Contracts

March 19th, 2019 by James Goudie KC

In North West Anglia NHS Foundation Trust v Dr Andrew Gregg (2019) EWCA Civ 387 it was held that the employer was not entitled to withhold pay during a period of suspension not imposed by way of sanction. Coulson LJ said, at paragraphs 69 and 71, that, in a situation where the contract does not address the issue of pay deduction during suspension, the default position should be that, in the ordinary case, where allegations are disputed, suspension should not attract the deduction of pay.

Coulson LJ also said, at paragraph 85, that it is wrong to equate the implied term of trust and confidence with a duty to act fairly; and at paragraph 107, that an employer considering dismissing an employee or commencing/continuing internal disciplinary proceedings does not generally have to wait for the conclusion of any police/criminal investigations/proceedings.

Lewison and Peter Jackson LJJ agreed.

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