Graysons Restaurants Ltd v Jones & Ors [2019] EWCA Civ 725 (17 April 2019)

Graysons Restaurants Ltd v Jones & Ors [2019] EWCA Civ 725 (17 April 2019)

A claim for equal pay, once established, constitutes 'arrears of pay' within section 184(1)(a) of the Employment Rights Act 1996, and is a debt payable by the Secretary of State upon employer insolvency, subject to statutory limits, because the entitlement is deemed to accrue contractually payday by payday by operation of the equality clause.

Citation
[2019] EWCA Civ 725
Parties
Original Appellant: Graysons Restaurants Ltd; Claimants: Miss C Jones and Others; Interested Party/appellant: Secretary of State for Business, Energy and Industrial Strategy
Jurisdiction
England and Wales
Judgment Date
17 April 2019
Procedural Posture
Appeal From Employment Appeal Tribunal / Court of Appeal Judgment
Outcome
Appeal dismissed
Legal Topics
Equal Pay, Arrears of Pay, Employment Rights Act 1996, TUPE, Statutory Guarantees for Employees, Sex Discrimination
Employment Law Insolvency Law Equality Law Equal Pay Arrears of Pay Employment Rights Act 1996 TUPE Statutory Guarantees for Employees +1 more

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Parties

Graysons Restaurants Ltd

Original Appellant

Miss C Jones and Others

Claimants

Secretary of State for Business, Energy and Industrial Strategy

Interested Party/appellant

Procedural Posture

Appeal From Employment Appeal Tribunal / Court of Appeal Judgment

Legal Issues

  1. 1 Whether an undetermined equal pay claim constitutes 'arrears of pay' under Part XII of the Employment Rights Act 1996 payable by the Secretary of State upon employer insolvency
  2. 2 Whether such claims are debts within the meaning of section 182 of the Act

Ratio Decidendi

A claim for equal pay, once established, constitutes 'arrears of pay' within section 184(1)(a) of the Employment Rights Act 1996, and is a debt payable by the Secretary of State upon employer insolvency, subject to statutory limits, because the entitlement is deemed to accrue contractually payday by payday by operation of the equality clause.

Court Disposition

Appeal dismissed

Orders

  • Secretary of State is required to pay each claimant the amount to which she is entitled in respect of arrears of pay, subject to statutory limits.