Law

Employment Rights Act 1996

United Kingdom · statute

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In force since 2026-10-30, as the publisher states.

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Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.

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Contents: 439 provisions
  1. Title and introductory text
  2. 1 Statement of initial employment particulars.
  3. 2 Statement of initial particulars: supplementary.
  4. 3 Note about disciplinary procedures and pensions.
  5. 4 Statement of changes.
  6. 5 Exclusion from rights to statements.
  7. 6 Reasonably accessible document or collective agreement.
  8. 7 Power to require particulars of further matters.
  9. 7A Use of alternative documents to give particulars
  10. 7B Giving of alternative documents before start of employment
  11. 8 Itemised pay statement.
  12. 9 Standing statement of fixed deductions.
  13. 10 Power to amend provisions about pay and standing statements.
  14. 11 References to employment tribunals.
  15. 12 Determination of references.
  16. 13 Right not to suffer unauthorised deductions.
  17. 14 Excepted deductions.
  18. 15 Right not to have to make payments to employer.
  19. 16 Excepted payments.
  20. 17 Introductory.
  21. 18 Limits on amount and time of deductions.
  22. 19 Wages determined by reference to shortages etc.
  23. 20 Limits on method and timing of payments.
  24. 21 Limit on amount of payments.
  25. 22 Final instalments of wages.
  26. 23 Complaints to employment tribunals.
  27. 24 Determination of complaints.
  28. 25 Determinations: supplementary.
  29. 26 Complaints and other remedies.
  30. 27 Meaning of “wages” etc.
  31. 27A Exclusivity terms unenforceable in zero hours contracts
  32. 27B Power to make further provision in relation to zero hours workers
  33. 27BA Right for qualifying workers to be offered guaranteed hours
  34. 27BB Requirements relating to a guaranteed hours offer
  35. 27BC Requirements relating to a guaranteed hours offer: supplementary
  36. 27BD Guaranteed hours offer: exceptions to duty to make offer and withdrawal of offer
  37. 27BE Acceptance or rejection of a guaranteed hours offer
  38. 27BF Information about rights conferred by Chapter 2
  39. 27BG Complaints to employment tribunals: grounds
  40. 27BH Complaints to employment tribunals: time limits
  41. 27BI Remedies
  42. 27BJ Right to reasonable notice of a shift
  43. 27BK Right to reasonable notice of cancellation of or change to a shift
  44. 27BL Sections 27BJ and 27BK: supplementary
  45. 27BM Interaction with Chapter 4
  46. 27BN Complaints to employment tribunals
  47. 27BO Remedies
  48. 27BP Right to payment for a cancelled, moved or curtailed shift
  49. 27BQ Regulations under section 27BP: supplementary
  50. 27BR Exceptions to duty to make payment for a cancelled, moved or curtailed shift
  51. 27BS Contractual remuneration
  52. 27BT Complaints to employment tribunal
  53. 27BU Remedies
  54. 27BV Agency workers
  55. 27BW Zero hours workers, etc
  56. 27BX Agency workers
  57. 27BY Supplementary provision
  58. 27BZ Regulations
  59. 27BZ1 Interpretation
  60. 27BZ2 Interpretation
  61. 27BZ3 Regulations
  62. 27C Qualifying tips, gratuities and service charges
  63. 27D How tips etc must be dealt with
  64. 27E Non-public places of business
  65. 27F Independent troncs
  66. 27G When tips etc must be dealt with
  67. 27H Agency workers
  68. 27I Written policy
  69. 27J Records
  70. 27K Complaints to employment tribunal about tips etc
  71. 27L Determination of complaints about tips etc
  72. 27M Compensation: dealing with tips etc
  73. 27N Complaints to employment tribunal about information
  74. 27O Determination of complaints about information
  75. 27P Issue of code of practice
  76. 27Q Procedure for issue of code of practice
  77. 27R Consequential revision of code of practice
  78. 27S Revocation of code of practice
  79. 27T Failure to comply with code of practice
  80. 27U No restitution claims by employer
  81. 27V Relationship with contractual rights
  82. 27W Restrictions on contracting out of this Part
  83. 27X Interpretation
  84. 27Y Application
  85. 28 Right to guarantee payment.
  86. 29 Exclusions from right to guarantee payment.
  87. 30 Calculation of guarantee payment.
  88. 31 Limits on amount of and entitlement to guarantee payment.
  89. 32 Contractual remuneration.
  90. 33 Power to modify provisions about guarantee payments.
  91. 34 Complaints to employment tribunals.
  92. 35 Exemption orders.
  93. 36 Protected shop workers and betting workers.
  94. 37 Contractual requirements relating to Sunday work.
  95. 38 Contracts with guaranteed hours.
  96. 39 Reduction of pay etc.
  97. 40 Notice of objection to Sunday working.
  98. 41 Opted-out shop workers and betting workers.
  99. 41A Notice of objection by shop workers to working additional hours on Sunday
  100. 41B Explanatory statement: persons who become shop workers
  101. 41C Explanatory statement: shop workers at commencement date
  102. 41D Failure to give explanatory statement under section 41B or 41C
  103. 42 Explanatory statement : betting workers.
  104. 43 Contractual requirements relating to Sunday work : opting-out notices.
  105. 43ZA Contractual requirements relating to working additional hours on Sundays: objection notices
  106. 43ZB Interpretation
  107. 43A Meaning of “protected disclosure”.
  108. 43B Disclosures qualifying for protection.
  109. 43C Disclosure to employer or other responsible person.
  110. 43D Disclosure to legal adviser.
  111. 43E Disclosure to Minister of the Crown.
  112. 43F Disclosure to prescribed person.
  113. 43FA Prescribed persons: duty to report on disclosures of information
  114. 43G Disclosure in other cases.
  115. 43H Disclosure of exceptionally serious failure.
  116. 43J Contractual duties of confidentiality.
  117. 43K Extension of meaning of “worker” etc. for Part IVA.
  118. 43KA Application of this Part and related provisions to police
  119. 43L Other interpretative provisions.
  120. 43M Jury service
  121. 44 Health and safety cases.
  122. 45 Sunday working for shop and betting workers.
  123. 45ZA Sunday working for shop workers: additional hours
  124. 45A Working time cases.
  125. 46 Trustees of occupational pension schemes.
  126. 47 Employee representatives.
  127. 47A Employees exercising right to time off work for study or training.
  128. 47B Protected disclosures.
  129. 47C Leave for family and domestic reasons.
  130. 47D Tax credits
  131. 47E Flexible working
  132. 47F Study and training
  133. 47G Employee shareholder status
  134. 48 Complaints to employment tribunals.
  135. 49 Remedies.
  136. 49A Application to police of section 44 and related provisions.
  137. 49B Regulations prohibiting discrimination because of protected disclosure
  138. 49D Redundancy or dismissal during a protected period of pregnancy
  139. 49E Section 49D: supplemental
  140. 50 Right to time off for public duties.
  141. 51 Complaints to employment tribunals.
  142. 52 Right to time off to look for work or arrange training.
  143. 53 Right to remuneration for time off under section 52.
  144. 54 Complaints to employment tribunals.
  145. 55 Right to time off for ante-natal care.
  146. 56 Right to remuneration for time off under section 55.
  147. 57 Complaints to employment tribunals.
  148. 57ZA Right to time off for ante-natal care (agency workers)
  149. 57ZB Right to remuneration for time off under section 57ZA
  150. 57ZC Complaint to employment tribunal: agency workers
  151. 57ZD Agency workers: supplementary
  152. 57ZE Right to time off to accompany to ante-natal appointment
  153. 57ZF Complaint to employment tribunal
  154. 57ZG Right to time off to accompany to ante-natal appointment: agency workers
  155. 57ZH Complaint to employment tribunal: agency workers
  156. 57ZI Agency workers: supplementary
  157. 57ZJ Right to paid time off to attend adoption appointments
  158. 57ZK Right to remuneration for time off under section 57ZJ
  159. 57ZL Right to unpaid time off to attend adoption appointments
  160. 57ZM Complaint to employment tribunal
  161. 57ZN Right to paid time off to attend adoption appointments: agency workers
  162. 57ZO Right to remuneration for time off under section 57ZN
  163. 57ZP Right to unpaid time off to attend adoption meetings: agency workers
  164. 57ZQ Complaint to employment tribunal: agency workers
  165. 57ZR Agency workers: supplementary
  166. 57ZS Placement of looked after children with prospective adopters
  167. 57A Time off for dependants.
  168. 57B Complaint to employment tribunal.
  169. 58 Right to time off for pension scheme trustees.
  170. 59 Right to payment for time off under section 58.
  171. 60 Complaints to employment tribunals.
  172. 61 Right to time off for employee representatives.
  173. 62 Right to remuneration for time off under section 61.
  174. 63 Complaints to employment tribunals.
  175. 63A Right to time off for young person in Wales or Scotland for study or training.
  176. 63B Right to remuneration for time off under section 63A.
  177. 63C Complaints to employment tribunals.
  178. 63D Statutory right to make request in relation to study or training
  179. 63E Section 63D application: supplementary
  180. 63F Employer's duties in relation to application
  181. 63G Regulations about dealing with applications
  182. 63H Employee's duties in relation to agreed study or training
  183. 63I Complaints to employment tribunals
  184. 63J Remedies
  185. 63K Supplementary
  186. 64 Right to remuneration on suspension on medical grounds.
  187. 65 Exclusions from right to remuneration.
  188. 66 Meaning of suspension on maternity grounds.
  189. 67 Right to offer of alternative work.
  190. 68 Right to remuneration.
  191. 68A Meaning of ending the supply of an agency worker on maternity grounds
  192. 68B Right to offer of alternative work
  193. 68C Right to remuneration
  194. 68D Agency workers: supplementary
  195. 69 Calculation of remuneration.
  196. 69A Calculation of remuneration (agency workers)
  197. 70 Complaints to employment tribunals.
  198. 70A Complaints to employment tribunals: agency workers
  199. 71
  200. 72 Compulsory maternity leave.
  201. 73 Additional maternity leave.
  202. 74 Redundancy and dismissal.
  203. 75 Sections 71 to 73: supplemental.
  204. 75A Ordinary adoption leave
  205. 75B Additional adoption leave
  206. 75C Redundancy and dismissal
  207. 75D Chapter 1A: supplemental
  208. 75E Entitlement to shared parental leave: birth
  209. 75F Entitlement to leave under section 75E: further provision
  210. 75G Entitlement to shared parental leave: adoption
  211. 75H Entitlement to leave under section 75G: further provision
  212. 75I Rights during and after shared parental leave
  213. 75J Redundancy and dismissal
  214. 75K Chapter 1B: supplemental
  215. 76 Entitlement to parental leave.
  216. 77 Rights during and after parental leave.
  217. 78 Special cases.
  218. 79 Supplemental.
  219. 80 Complaint to employment tribunal.
  220. 80A Entitlement to ... paternity leave: birth
  221. 80AA Entitlement to additional paternity leave: birth
  222. 80B Entitlement to ... paternity leave: adoption
  223. 80BB Entitlement to additional paternity leave: adoption
  224. 80C Rights during and after paternity leave
  225. 80D Special cases
  226. 80E Chapter 3: supplemental
  227. 80EA Parental bereavement Bereavement leave
  228. 80EB Rights during and after bereavement leave
  229. 80EC Special cases
  230. 80ED Chapter 4: supplemental
  231. 80EE Application in relation to stillbirths
  232. 80EF Neonatal care leave
  233. 80EG Rights during and after neonatal care leave
  234. 80EH Special cases
  235. 80EI Chapter 5: supplemental
  236. 80F Statutory right to request contract variation
  237. 80G Employer’s duties in relation to application under section 80F
  238. 80H Complaints to employment tribunals
  239. 80I Remedies
  240. 80J Carer’s leave
  241. 80K Rights during and after carer’s leave
  242. 80L Special cases
  243. 80M Part 8B: supplemental
  244. 80N Complaint to employment tribunal
  245. 86 Rights of employer and employee to minimum notice.
  246. 87 Rights of employee in period of notice.
  247. 88 Employments with normal working hours.
  248. 89 Employments without normal working hours.
  249. 90 Short-term incapacity benefit , contributory employment and support allowance and industrial injury benefit.
  250. 91 Supplementary.
  251. 92 Right to written statement of reasons for dismissal.
  252. 93 Complaints to employment tribunal.
  253. 94 The right.
  254. 95 Circumstances in which an employee is dismissed.
  255. 96 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
  256. 97 Effective date of termination.
  257. 98 General.
  258. 98ZA No normal retirement age: dismissal before 65
  259. 98ZB No normal retirement age: dismissal at or after 65
  260. 98ZC Normal retirement age: dismissal before retirement age
  261. 98ZD Normal retirement age 65 or higher: dismissal at or after retirement age
  262. 98ZE Normal retirement age below 65: dismissal at or after retirement age
  263. 98ZF Reason for dismissal: particular matters
  264. 98ZG Retirement dismissals: fairness
  265. 98ZH Interpretation
  266. 98A Procedural fairness
  267. 98B Jury service
  268. 99 Leave for family reasons.
  269. 100 Health and safety cases.
  270. 101 Shop workers and betting workers who refuse Sunday work.
  271. 101ZA Shop workers who refuse to work additional hours on Sunday
  272. 101A Working time cases.
  273. 102 Trustees of occupational pension schemes.
  274. 103 Employee representatives.
  275. 103A Protected disclosure.
  276. 104 Assertion of statutory right.
  277. 104A The national minimum wage.
  278. 104B Tax credits
  279. 104C Flexible working
  280. 104D Pension enrolment
  281. 104E Study and training
  282. 104F Blacklists
  283. 104G Employee shareholder status
  284. 104I Contracts of employment: restricted variations
  285. 104J Contracts of employment: variations that are not restricted variations
  286. 104K Redundancy: replacement of employees with people who are not employees
  287. 105 Redundancy.
  288. 106 Replacements.
  289. 107 Pressure on employer to dismiss unfairly.
  290. 108 Qualifying period of employment.
  291. 109 Upper age limit.
  292. 110 Dismissal procedures agreements.
  293. 111 Complaints to employment tribunal.
  294. 111A Confidentiality of negotiations before termination of employment
  295. 112 The remedies: orders and compensation.
  296. 113 The orders.
  297. 114 Order for reinstatement.
  298. 115 Order for re-engagement.
  299. 116 Choice of order and its terms.
  300. 117 Enforcement of order and compensation.
  301. 118 General.
  302. 119 Basic award.
  303. 120 Basic award: minimum in certain cases.
  304. 121 Basic award of two weeks’ pay in certain cases.
  305. 122 Basic award: reductions.
  306. 123 Compensatory award.
  307. 124 Limit of compensatory award etc.
  308. 124A Adjustments under the Employment Act 2002
  309. 125 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
  310. 126 Acts which are both unfair dismissal and discrimination.
  311. 127 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
  312. 127A Internal appeal procedures.
  313. 127B . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
  314. 128 Interim relief pending determination of complaint.
  315. 129 Procedure on hearing of application and making of order.
  316. 130 Order for continuation of contract of employment.
  317. 131 Application for variation or revocation of order.
  318. 132 Consequence of failure to comply with order.
  319. 133 Death of employer or employee.
  320. 134 Teachers in aided schools.
  321. 134A Application to police.
  322. 135 The right.
  323. 136 Circumstances in which an employee is dismissed.
  324. 137 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
  325. 138 No dismissal in cases of renewal of contract or re-engagement.
  326. 139 Redundancy.
  327. 140 Summary dismissal.
  328. 141 Renewal of contract or re-engagement.
  329. 142 Employee anticipating expiry of employer’s notice.
  330. 143 Strike during currency of employer’s notice.
  331. 144 Provisions supplementary to section 143.
  332. 145 The relevant date.
  333. 146 Provisions supplementing sections 138 and 141.
  334. 147 Meaning of “lay-off” and “short-time”.
  335. 148 Eligibility by reason of lay-off or short-time.
  336. 149 Counter-notices.
  337. 150 Resignation.
  338. 151 Dismissal.
  339. 152 Likelihood of full employment.
  340. 153 The relevant date.
  341. 154 Provisions supplementing sections 148 and 152.
  342. 155 Qualifying period of employment.
  343. 156 Upper age limit.
  344. 157 Exemption orders.
  345. 158 Pension rights.
  346. 159 Public offices etc.
  347. 160 Overseas government employment.
  348. 161 Domestic servants.
  349. 162 Amount of a redundancy payment.
  350. 163 References to employment tribunals.
  351. 164 Claims for redundancy payment.
  352. 165 Written particulars of redundancy payment.
  353. 166 Applications for payments.
  354. 167 Making of payments.
  355. 168 Amount of payments.
  356. 169 Information relating to applications for payments.
  357. 170 References to employment tribunals.
  358. 171 Employment not under contract of employment.
  359. 172 Termination of employment by statute.
  360. 173 Employees paid by person other than employer.
  361. 174 Death of employer: dismissal.
  362. 175 Death of employer: lay-off and short-time.
  363. 176 Death of employee.
  364. 177 References to employment tribunals.
  365. 178 Old statutory compensation schemes.
  366. 179 Notices.
  367. 180 Offences.
  368. 181 Interpretation.
  369. 182 Employee’s rights on insolvency of employer.
  370. 183 Insolvency.
  371. 184 Debts to which Part applies.
  372. 185 The appropriate date.
  373. 186 Limit on amount payable under section 182.
  374. 187 Role of relevant officer.
  375. 188 Complaints to employment tribunals.
  376. 189 Transfer to Secretary of State of rights and remedies.
  377. 190 Power to obtain information.
  378. 191 Crown employment.
  379. 192 Armed forces.
  380. 193 National security.
  381. 194 House of Lords staff.
  382. 195 House of Commons staff.
  383. 196 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
  384. 197 Fixed-term contracts.
  385. 198 Short-term employment.
  386. 199 Mariners.
  387. 200 Police officers.
  388. 201 Power to extend employment legislation to offshore employment.
  389. 202 National security.
  390. 202A Contractual duties of confidentiality relating to harassment and discrimination
  391. 203 Restrictions on contracting out.
  392. 204 Law governing employment.
  393. 205 Remedy for infringement of certain rights.
  394. 205A Employee shareholders
  395. 206 Institution or continuance of tribunal proceedings.
  396. 207 Rights and liabilities accruing after death.
  397. 207A Extension of time limits because of mediation in certain cross-border disputes
  398. 207B Extension of time limits to facilitate conciliation before institution of proceedings
  399. 208 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
  400. 209 Powers to amend Act.
  401. 210 Introductory.
  402. 211 Period of continuous employment.
  403. 212 Weeks counting in computing period.
  404. 213 Intervals in employment.
  405. 214 Special provisions for redundancy payments.
  406. 215 Employment abroad etc.
  407. 216 Industrial disputes.
  408. 217 Reinstatement after military service.
  409. 218 Change of employer.
  410. 219 Reinstatement or re-engagement of dismissed employee.
  411. 220 Introductory.
  412. 221 General.
  413. 222 Remuneration varying according to time of work.
  414. 223 Supplementary.
  415. 224 Employments with no normal working hours.
  416. 225 Rights during employment.
  417. 226 Rights on termination.
  418. 227 Maximum amount.
  419. 228 New employments and other special cases.
  420. 229 Supplementary.
  421. 230 Employees, workers etc.
  422. 231 Associated employers.
  423. 232 Shop workers.
  424. 233 Betting workers
  425. 234 Normal working hours.
  426. 235 Other definitions.
  427. 236 Orders and regulations.
  428. 237 Financial provisions.
  429. 238 Reciprocal arrangements with Northern Ireland.
  430. 239 Reciprocal arrangements with Isle of Man.
  431. 240 Consequential amendments.
  432. 241 Transitionals, savings and transitory provisions.
  433. 242 Repeals and revocations.
  434. 243 Commencement.
  435. 244 Extent.
  436. 245 Short title.
  437. SCHEDULE 1 Consequential amendments
  438. SCHEDULE 2 Transitional provisions, savings and transitory provisions
  439. SCHEDULE 3 Repeals and revocations

Proposed changes to this act

No one has proposed a change to this act yet.

439 provisions

27BI Remedies

(1) Where an employment tribunal finds a complaint under section 27BG well-founded, the tribunal— (a) must make a declaration to that effect, and (b) may make an award of compensation to be paid by the employer to the worker. (2) The amount of compensation under subsection (1)(b) is to be such amount, not exceeding the permitted maximum, as the tribunal considers just and equitable in all the circumstances to compensate the worker for any financial loss sustained by the worker which is attributable to the matter complained of. (3) In ascertaining the financial loss sustained, the tribunal must apply the same rule concerning the duty of a person to mitigate their loss as applies to damages recoverable under the common law of England and Wales or (as the case may be) Scotland. (4) For the purposes of subsection (2), “the permitted maximum” is— (a) where the complaint is under section 27BG(1), (2), (3), (7) or (8), such number of weeks’ pay as the Secretary of State may specify in regulations; (b) where the complaint is under section 27BG(4) or (5), such amount as the Secretary of State may specify in regulations. (5) In calculating a week’s pay for the purposes of determining the permitted maximum for an award of compensation to a worker who is not an employee, Chapter 2 of Part 14 is to apply as if— (a) references in that Chapter and in section 234 (normal working hours) to an employee were references to a worker; (b) references in that Chapter and in section 234 to a contract of employment were references to a worker’s contract; (c) “week” meant— (i) in relation to a worker whose remuneration is calculated weekly by a week ending with a day other than a Saturday, a week ending with that other day, and (ii) in relation to any other worker, a week ending with Saturday.

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27BJ Right to reasonable notice of a shift

(1) An employer must give to a worker reasonable notice of a shift that the employer requests or requires the worker to work if— (a) the worker is (or is to be) employed by the employer under a zero hours contract, or (b) the worker is (or is to be) employed by the employer under a worker’s contract of a specified description that requires the employer to make some work available to the worker but does not provide on what days and at what times, or in accordance with what pattern of days and times, that work is to be done by the worker, and the shift is to be worked under the contract referred to in paragraph (a) or (b). (2) An employer must give to a worker reasonable notice of a shift that the employer requests or requires the worker to work if— (a) the worker is (or is to be) employed by the employer under a worker’s contract of a specified description that requires the employer to make some work available to the worker, (b) the contract provides on what days and at what times, or in accordance with what pattern of days and times, that work, or some of that work, is to be done by the worker, and (c) the shift is to be worked under that contract but no part of it corresponds to the time of a shift provided for by the contract as described in paragraph (b). (3) An employer must give to an individual reasonable notice of a shift that the employer requests the individual to work if— (a) the individual would, if they worked the shift, be employed by the employer under a worker’s contract, and (b) the worker’s contract would be entered into in accordance with a zero hours arrangement that is in place between the employer and the individual. (4) It is to be presumed, unless the contrary is shown, that notice of a shift is not reasonable notice for the purposes of subsections (1) to (3) if it is given less than a specified amount of time before the shift is due to start. (5) Regulations under subsection (1)(b) or (2)(a)may, in particular, specify a description of worker’s contract by reference to— (a) it being a worker’s contract that entitles a worker to be paid no more than a specified amount; (b) it being a worker’s contract that requires an employer to make work available to a worker for no more than a specified number of hours. (6) Where— (a) the conditions in subsection (2)(a) and (b) are met in relation to a worker and a worker’s contract, (b) the worker is to work (or is working) a shift under that contract all or part of which corresponds to the time of a shift (a “guaranteed shift”) provided for by the contract as described in subsection (2)(b), (c) the employer requests or requires the worker to start earlier, or end later, than is provided for by the contract (as described in subsection (2)(b)) in relation to the guaranteed shift, and (d) the earlier start or later end is to result in an additional number of hours being worked above the number of hours to be worked in the guaranteed shift, the additional hours are to be treated for the purposes of this Chapter as a separate shift (and accordingly as one that meets the condition in subsection (2)(c)). (7) For the purposes of this Chapter— “employer”, in relation to an individual and a shift, includes a person by whom the individual would be (or would have been) employed if the individual worked the shift; “worker”, in relation to a shift, includes an individual who would be (or would have been) a worker if the individual worked the shift. (8) In this section, “notice of a shift” means notice of how many hours are to be worked and when the shift is to start and end.

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27BK Right to reasonable notice of cancellation of or change to a shift

(1) Subsection (2) applies in relation to an employer and a worker where— (a) the employer has given notice of a shift to the worker, (b) the shift is one that the worker was entitled to reasonable notice of under section 27BJ(1), (2) or (3), and (c) where the shift is one that the employer has requested (rather than required) the worker to work, the worker has agreed to work it. (2) The employer must give reasonable notice to the worker of— (a) the cancellation of the shift by the employer; (b) any change requested or required by the employer consisting of— (i) a change to when the shift is to start or end; (ii) a reduction in the number of hours to be worked during the shift because of a break in the shift; (but this is subject to section 27BM). (3) It is to be presumed, unless the contrary is shown, that— (a) notice of the cancellation of a shift is not reasonable notice for the purposes of subsection (2) if it is given less than a specified amount of time before the shift would have started (if the shift had not been cancelled); (b) notice of a change to when a shift is to start is not reasonable notice for the purposes of subsection (2) if it is given less than a specified amount of time before the earlier of— (i) when the shift would have started (if the shift had not been changed), and (ii) when the shift is due to start (having been changed); (c) notice of any other change to a shift is not reasonable notice for the purposes of subsection (2) if it is given— (i) less than a specified amount of time before the shift is due to start; (ii) on or after the start of the shift. (4) In this section, “notice of a shift” has the same meaning as in section 27BJ.

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27BL Sections 27BJ and 27BK: supplementary

(1) None of the duties imposed by sections 27BJ and 27BK applies in relation to a shift that would be (or would have been) worked, or is being worked, by a worker as an agency worker (but see Part 2 of Schedule A1 for provision about rights of agency workers to reasonable notice in relation to shifts). (2) Where a worker suggests working a shift and the employer agrees to the suggestion— (a) the duties imposed by section 27BJ(1), (2) and (3) do not apply in relation to the shift as suggested by the worker, but (b) the duty imposed by section 27BK(2) applies (even though the conditions in section 27BK(1) have not been met). (3) Section 27BJ(6) applies for the purposes of subsection (2) of this section as if section 27BJ(6)(c) referred to what the worker suggests rather than what the employer requests or requires. (4) In sections 27BJ and 27BK, references to a request to work a shift made by an employer to a worker include a request (a “multi-worker request”) made by the employer to the worker and one or more others in circumstances where the employer does not need the shift to be worked by all of those to whom the request is made. (5) For the purposes of section 27BK, where an employer has made a multi-worker request to a worker in relation to a shift, references to the cancellation of the shift include the worker not being needed to work the shift because one or more others have agreed to work it. (6) The Secretary of State may by regulations make provision about— (a) the form and manner in which notice under sections 27BJ and 27BK must be given; (b) when notice under those sections is to be treated as having been given.

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27BM Interaction with Chapter 4

(1) Where an employer— (a) is required to make a payment to a worker under section 27BP in relation to a shift that the employer cancels, moves or curtails at short notice, or (b) would have been required to make such a payment in relation to the shift but for provision made under section 27BR(1)(c), nothing in section 27BK(2) is to be taken to have applied in relation to the cancellation, movement or curtailment of the shift that gave rise to, or would have given rise to, the requirement to make the payment. (2) Terms used in this section have the same meaning as in section 27BP.

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27BN Complaints to employment tribunals

(1) A worker may present a complaint to an employment tribunal that the worker’s employer has failed to comply with a duty imposed by section 27BJ or 27BK. (2) Where, in determining whether a complaint under this section is well-founded, the tribunal must determine whether reasonable notice has been given, the tribunal must have regard, in particular, to such of the specified matters as are appropriate in the circumstances. (3) An employment tribunal must not consider a complaint under this section unless it is presented before the end of the period of six months beginning with— (a) where the complaint is that the employer failed to comply with a duty imposed by section 27BJ(1), (2) or (3) in relation to a shift, the day on which the shift was due to start; (b) where the complaint is that the employer failed to comply with the duty imposed by section 27BK(2) in relation to the cancellation of a shift, the day on which the shift would have started (if the shift had not been cancelled); (c) where the complaint is that the employer failed to comply with the duty imposed by section 27BK(2) in relation to a change to a shift, the day on which the shift as changed was due to start or, where the shift was changed on or after its start, the day on which the shift started. (4) But, if the employment tribunal is satisfied that it was not reasonably practicable for a complaint to be presented before the end of the relevant period of six months, the tribunal may consider the complaint if it is presented within such further period as the tribunal considers reasonable. (5) Section 207B (extension of time limits to facilitate conciliation before institution of proceedings) applies for the purposes of subsection (3).

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27BO Remedies

(1) Where an employment tribunal finds a complaint under section 27BN well-founded, the tribunal— (a) must make a declaration to that effect, and (b) may make an award of compensation to be paid by the employer to the worker. (2) The amount of compensation under subsection (1)(b) in relation to a complaint is to be such amount, not exceeding the specified amount, as the tribunal considers just and equitable in all the circumstances to compensate the worker for any financial loss sustained by the worker which is attributable to the matter complained of. (3) In ascertaining the financial loss sustained, the tribunal must apply the same rule concerning the duty of a person to mitigate their loss as applies to damages recoverable under the common law of England and Wales or (as the case may be) Scotland.

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27BP Right to payment for a cancelled, moved or curtailed shift

(1) An employer must make a payment of a specified amount to a worker each time that the employer cancels, moves or curtails at short notice a qualifying shift— (a) that the employer has informed the worker they are required to work, (b) that the employer has requested the worker to work and the worker has agreed to work, or (c) that the worker has suggested working and the employer has agreed to the worker working, (but see section 27BR for exceptions to this duty). (2) A shift is a “qualifying shift”, in relation to a worker and an employer, if it would be (or would have been) worked, or is being worked, by the worker for the employer under— (a) a zero hours contract, (b) a worker’s contract entered into in accordance with a zero hours arrangement, or (c) a worker’s contract of a specified description that requires the employer to make some work available to the worker but does not provide on what days and at what times, or in accordance with what pattern of days and times, that work is to be done by the worker. (3) A shift is also a “qualifying shift”, in relation to a worker and an employer, if— (a) it would be (or would have been) worked, or is being worked, by the worker for the employer under a worker’s contract of a specified description that requires the employer to make some work available to the worker, (b) the contract provides on what days and at what times, or in accordance with what pattern of days and times, that work, or some of that work, is to be done by the worker, and (c) no part of the shift corresponds to the time of a shift provided for by the contract as described in paragraph (b). (4) Where— (a) the conditions in subsection (3)(a) and (b) are met in relation to a shift, (b) all or part of the shift corresponds to the time of a shift (a “guaranteed shift”) provided for by the contract as described in subsection (3)(b), (c) the employer requests or requires, or the worker suggests, that the worker starts earlier, or ends later, than is provided for by the contract (as described in subsection (3)(b)) in relation to the guaranteed shift, and (d) the earlier start or later end is to result in an additional number of hours being worked above the number of hours to be worked in the guaranteed shift, the additional hours are to be treated for the purposes of this Chapter as a separate shift (and accordingly as a “qualifying shift”). (5) A payment that an employer is required to make under subsection (1) must be made by no later than the specified day. (6) For the purposes of this Chapter, “short notice” means— (a) in relation to the cancellation of a shift, notice given less than a specified amount of time before the shift would have started (if the shift had not been cancelled); (b) in relation to the movement of a shift, or the movement and curtailment (at the same time) of a shift, notice given— (i) less than a specified amount of time before the earlier of when the shift would have started (if the shift had not been moved, or moved and curtailed) and when the shift is due to start (having been moved, or moved and curtailed); (ii) on or after the start of the shift; (c) in relation to the curtailment of a shift where there is a change to when the shift is to start (but there is no movement of the shift), notice given less than a specified amount of time before the earlier of— (i) when the shift would have started (if there had not been the change), and (ii) when the shift is due to start (the change having been made); (d) in relation to the curtailment of a shift where there is no change to when the shift is to start, notice given— (i) less than a specified amount of time before the shift is due to start; (ii) on or after the start of the shift. (7) The Secretary of State may by regulations make provision about when notice of the cancellation, movement or curtailment of a shift is to be treated as having been given by an employer to a worker. (8) For the purposes of this Chapter— “employer”, in relation to an individual and a shift, includes a person by whom the individual would be (or would have been) employed if the individual worked the shift; “worker”, in relation to a shift, includes an individual who would be (or would have been) a worker if the individual worked the shift. (9) For the purposes of this Chapter, references to the movement of a shift (however expressed)— (a) are to any change to the time at which the shift is to start that is a change of more than a specified amount of time; (b) include— (i) where a shift is in two or more parts, a change of more than a specified amount of time to the time at which the second (or a subsequent) part is to start, and (ii) a division of a shift into two or more parts where the time between the parts is more than a specified amount of time, but only if the change or division (as the case may be) results in the shift ending later. (10) In this Chapter, references to a request to work a shift made by an employer to a worker include a request (a “multi-worker request”) made by the employer to the worker and one or more others in circumstances where the employer does not need the shift to be worked by all of those to whom the request is made. (11) For the purposes of this Chapter, where an employer has made a multi-worker request to a worker in relation to a shift, references to the cancellation of the shift (however expressed) include the worker not being needed to work the shift because one or more others have agreed to work it.

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27BQ Regulations under section 27BP: supplementary

(1) Regulations under section 27BP(1) may not specify an amount to be paid to a worker in relation to the cancellation, movement or curtailment of a shift that exceeds— (a) where the shift is cancelled, the amount of remuneration to which the worker would have been entitled had they worked the hours that will not be worked because of the cancellation; (b) where the shift is moved, or moved and curtailed (at the same time), and no part of the shift as moved, or as moved and curtailed, corresponds to the time of the shift (“the original shift”) before it was moved, or moved and curtailed, the amount of remuneration to which the worker would have been entitled had they worked the original shift; (c) where the shift is moved, or moved and curtailed (at the same time), and part of the shift as moved, or as moved and curtailed, corresponds to the time of the original shift (but part does not), the amount of remuneration to which the worker would have been entitled had they worked the part of the original shift that does not correspond to the shift as moved, or as moved and curtailed; (d) where the shift is— (i) curtailed but not moved, or (ii) moved and curtailed (at the same time) and the shift as moved and curtailed is to start and end within the time of the original shift, the amount of remuneration to which the worker would have been entitled had they worked the hours that will not be worked because of the curtailment, or the movement and curtailment. (2) Regulations under section 27BP(1) may, in particular, include provision specifying different amounts depending on the amount of notice that was given of the cancellation, movement or curtailment. (3) Regulations under section 27BP(2)(c) or (3)(a) may, in particular, specify a description of worker’s contract by reference to— (a) it being a worker’s contract that entitles a worker to be paid no more than a specified amount; (b) it being a worker’s contract that requires an employer to make work available to a worker for no more than a specified number of hours. (4) Regulations under section 27BP(6) may not specify an amount of time that exceeds 7 days.

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27BR Exceptions to duty to make payment for a cancelled, moved or curtailed shift

(1) The requirement to make a payment under section 27BP(1) does not apply— (a) in relation to a shift that would be (or would have been) worked, or is being worked, by a worker as an agency worker (but see Part 3 of Schedule A1 for provision about rights of agency workers to payment for cancelled, moved and curtailed shifts); (b) in relation to the cancellation, movement or curtailment of a shift that an employer has requested a worker to work, unless the worker reasonably believed, whether on agreeing to work the shift or at some later time before the cancellation, movement or curtailment, that they would be needed to work the shift; (c) in other specified circumstances. (2) Where, by virtue of regulations made under subsection (1)(c), an employer is not required to make a payment to a worker in relation to a shift under section 27BP(1), the employer must give a notice to the worker that— (a) states which provision of the regulations has produced the effect that the employer is not required to make the payment, and (b) explains why the employer was entitled to rely on that provision. (3) But subsection (2)(b) does not require an employer to disclose— (a) any information the disclosure of which by the employer would contravene the data protection legislation (but in determining whether a disclosure would do so, the duty imposed by that subsection is to be taken into account); (b) any information that is commercially sensitive; (c) any information the disclosure of which by the employer would constitute a breach of a duty of confidentiality owed by the employer to any other person. (4) In subsection (3)(a) “the data protection legislation” has the same meaning as in the Data Protection Act 2018 (see section 3(9) of that Act). (5) The Secretary of State may by regulations make provision about— (a) the form and manner in which a notice under this section must be given; (b) the day on or before which it must be given; (c) when a notice under this section is to be treated as having been given. (6) The duty in subsection (2) is to be taken not to have applied if— (a) the employer pays to the worker an amount in relation to a number of hours that is at least equal to the amount of the payment that the employer would have been required to make to the worker under section 27BP(1) in relation to the same number of hours but for regulations made under subsection (1)(c), and (b) the payment is made on or before the day on which the payment under section 27BP(1) would have had to be made if the employer had been required to make it. (7) Subsection (4) of section 27BS applies for the purposes of subsection (6) of this section as it applies for the purposes of subsections (2) and (3) of that section.

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27BS Contractual remuneration

(1) The right of a worker to receive a payment from an employer under section 27BP(1) does not affect any right of the worker in relation to remuneration under a worker’s contract entered into between the worker and the employer (“contractual remuneration”). (2) Any contractual remuneration paid to a worker by an employer in relation to a number of hours goes towards discharging any liability of the employer to make a payment to the worker under section 27BP(1) in relation to the same hours. (3) Any payment made by an employer to a worker under section 27BP(1) in relation to a number of hours goes towards discharging any liability of the employer to pay contractual remuneration to the worker in relation to the same hours. (4) For the purposes of subsections (2) and (3), the hours to which a payment under section 27BP(1) relates are— (a) where a shift has been cancelled, the hours that would have been worked if the shift had not been cancelled; (b) where a shift has been moved, or moved and curtailed (at the same time), and no part of the shift as moved, or as moved and curtailed, corresponds to the time of the shift (“the original shift”) before it was moved, or moved and curtailed, the hours that would have been worked during the original shift; (c) where a shift has been moved, or moved and curtailed (at the same time), and part of the shift as moved, or as moved and curtailed, corresponds to the time of the original shift (but part does not), the hours that would have been worked during the part of the original shift that does not correspond to the shift as moved, or as moved and curtailed; (d) where a shift has been— (i) curtailed but not moved, or (ii) moved and curtailed (at the same time) and the shift as moved and curtailed is to start and end within the time of the original shift, the hours that would have been worked if the shift had not been curtailed, or moved and curtailed.

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27BT Complaints to employment tribunal

(1) A worker may present a complaint to an employment tribunal that the worker’s employer— (a) has failed to make the whole or any part of a payment that the employer is liable to make to the worker under section 27BP(1); (b) has unreasonably failed to give to the worker a notice under section 27BR(2); (c) has given to the worker a notice in purported compliance with section 27BR(2) that— (i) does not refer to any provision of the regulations; (ii) does not contain an explanation or contains an explanation that is inadequate or untrue. (2) An employment tribunal must not consider a complaint under subsection (1)(a) relating to a payment unless it is presented before the end of the period of six months beginning with the day after the day on or before which the payment should have been made (see section 27BP(5)). (3) An employment tribunal must not consider a complaint under subsection (1)(b) relating to a notice unless it is presented before the end of the period of six months beginning with the day after the day on or before which the notice should have been given (see section 27BR(5)(b)). (4) An employment tribunal must not consider a complaint under subsection (1)(c) relating to a notice unless it is presented before the end of the period of six months beginning with the day after the day on which the notice is given. (5) But, if the employment tribunal is satisfied that it was not reasonably practicable for a complaint under this section to be presented before the end of the relevant period of six months, the tribunal may consider the complaint if it is presented within such further period as the tribunal considers reasonable. (6) Section 207B (extension of time limits to facilitate conciliation before institution of proceedings) applies for the purposes of subsections (2) to (4).

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27BU Remedies

(1) Where an employment tribunal finds a complaint under section 27BT(1)(a) well-founded, the tribunal must— (a) make a declaration to that effect, and (b) order the employer to pay to the worker the amount of the payment under section 27BP(1) which it finds is due to the worker. (2) Where an employment tribunal finds a complaint under section 27BT(1)(b) or (c) well-founded, the tribunal— (a) must make a declaration to that effect, and (b) may order the employer to make a payment to the worker of such amount, not exceeding the specified amount, as the tribunal considers just and equitable in all the circumstances. (3) But an employment tribunal may not make an order under subsection (2)(b) relating to a notice given in purported compliance with section 27BR(2) if the tribunal makes an order under subsection (1)(b) relating to the same payment to which the notice related. (4) In determining— (a) whether to make an order under subsection (2)(b), and (b) if so, how much to order the employer to pay, an employment tribunal must have regard, in particular, to the seriousness of the matter complained of.

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27BV Agency workers

(1) In this Part, “agency worker” means an individual— (a) who has a worker’s contract or an arrangement with a work-finding agency by virtue of which the individual is (or is to be) supplied to work for and under the supervision and direction of another person, (b) who does not do (or is not to do) the work under a worker’s contract with the other person, and (c) who is not (or is not to be) a party to a contract under which the individual undertakes to do the work for another party to the contract whose status is, by virtue of the contract, that of a client or customer of any profession or business undertaking carried on by the individual. (2) In this Part— (a) references to an agency worker include, where the context requires, a former agency worker, and (b) where that is the case, references in relation to the agency worker to a work-finding agency, and references (however expressed) to a person for and under the supervision and direction of whom the agency worker works, are to be read accordingly. (3) An individual is an “agency worker” for the purposes of this Part— (a) whether the individual is (or is to be) supplied to work for and under the supervision and direction of another person— (i) by the work-finding agency referred to in subsection (1)(a), or (ii) by a person other than the work-finding agency; (b) whether the individual is (or is to be) paid, for work done for and under the supervision and direction of another person— (i) by the work-finding agency referred to in subsection (1)(a), or (ii) by a person other than the work-finding agency. (4) In this Part, “work-finding agency” means a person carrying on the business (whether or not with a view to profit and whether or not in conjunction with any other business) of finding, or seeking to find, work for individuals to do for and under the supervision and direction of other persons (but not in the employment of those other persons). (5) Part 1 of Schedule A1 contains provision about guaranteed hours and agency workers. (6) Part 2 of Schedule A1 contains provision about rights of agency workers to reasonable notice in relation to shifts. (7) Part 3 of Schedule A1 contains provision about rights of agency workers to payment for shifts that are cancelled, moved or curtailed at short notice.

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27BW Zero hours workers, etc

(1) This section applies in relation to— (a) a duty imposed on an employer in respect of a worker, and (b) a right conferred on a worker in respect of an employer, by or under any provision of Chapter 2, 3 or 4. (2) The duty or right is excluded if— (a) the worker is employed by the employer under a worker’s contract (“the contract”), (b) a relevant collective agreement contains— (i) terms that expressly exclude the duty or right, and (ii) terms that expressly replace the excluded duty or right, (c) the terms within paragraph (b)(ii) are incorporated into the contract, and (d) the employer notifies the worker in writing of the incorporation and effect of those terms. (3) A relevant collective agreement is a collective agreement that is— (a) in writing, and (b) made by or on behalf of— (i) one or more trade unions which each have a certificate of independence, and (ii) the worker’s employer.

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27BX Agency workers

(1) This section applies in relation to— (a) a duty imposed on a hirer or a work-finding agency in respect of an agency worker, and (b) a right conferred on an agency worker in respect of a hirer or a work-finding agency, by or under any provision of Chapter 5 (including Schedule A1). (2) The duty or right is excluded if— (a) the agency worker is supplied to work for and under the supervision and direction of the hirer by virtue of a worker’s contract (“the contract”) that the agency worker has with another person (“the other party”), (b) a relevant collective agreement contains— (i) terms that expressly exclude the duty or right, and (ii) terms that expressly replace the excluded duty or right, (c) the terms within paragraph (b)(ii) are incorporated into the contract, and (d) the other party notifies the agency worker in writing of the incorporation and effect of those terms. (3) A relevant collective agreement is a collective agreement that is— (a) in writing, and (b) made by or on behalf of— (i) one or more trade unions which each have a certificate of independence, and (ii) the other party.

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27BY Supplementary provision

(1) For the purposes of sections 27BW and 27BX, it does not matter whether— (a) terms in a collective agreement that expressly replace a duty or right relate to the same subject matter as the duty or right, or (b) a collective agreement ceases to be in force after the terms mentioned in section 27BW(2)(b)(ii) or 27BX(2)(b)(ii) are incorporated into the contract (within the meaning of section 27BW or 27BX, as the case may be), provided the terms continue to be incorporated. (2) Where the duty to make a guaranteed hours offer under Chapter 2 or 5 is excluded by virtue of terms that are incorporated into a contract with a worker or, as the case may be, an agency worker, as mentioned in section 27BW(2)(c) or 27BX(2)(c), during the offer period, the duty ceases to apply. (3) Where— (a) the duty to make a guaranteed hours offer under Chapter 2 or 5 is excluded by virtue of terms that are incorporated into a contract with a worker or, as the case may be, an agency worker, as mentioned in section 27BW(2)(c) or 27BX(2)(c), (b) a guaranteed hours offer has already been made in compliance with the duty, and (c) the worker or agency worker has not accepted the offer, the person who made the offer may withdraw it during the response period by giving a notice to the worker or agency worker. (4) The notice must include a statement to the effect that the offer is withdrawn in consequence of the exclusion of the duty to make a guaranteed hours offer as a result of the incorporation into the worker’s or agency worker’s contract, as mentioned in section 27BW(2)(c) or 27BX(2)(c), of terms contained in a collective agreement that expressly replace that duty. (5) A worker or an agency worker to whom a notice is given in reliance on subsection (3) may present a complaint to an employment tribunal that subsection (3) did not permit the notice to be given. (6) Where a complaint is presented under subsection (5)— (a) by a worker, sections 27BH and 27BI apply in relation to the complaint as they apply in relation to a complaint under section 27BG(7)(b); (b) by an agency worker, paragraphs 10 and 11 of Schedule A1 apply in relation to the complaint as they apply in relation to a complaint under paragraph 8(7)(b) of that Schedule. (7) Subsection (8) applies where— (a) the duty to make a guaranteed hours offer under Chapter 2 or 5 is excluded by virtue of terms that are incorporated into a contract with a worker or, as the case may be, an agency worker, as mentioned in section 27BW(2)(c) or 27BX(2)(c), and (b) the duty ceases to be excluded as a result of the terms ceasing to be incorporated into the contract (including where the contract ceases to be in force). (8) In applying Chapter 2 or 5 for the purposes of the duty after it has ceased to be excluded— (a) in any case where there was a reference period in relation to the duty as it had effect before being excluded, that reference period is to be disregarded; (b) in relation to a worker and the worker’s employer— (i) section 27BA(5)(a) has effect as if for sub-paragraphs (i) and (ii) there were substituted— (i) where the worker is employed by the employer on the day (“the effective day”) after the day on which terms cease to be incorporated as mentioned in section 27BY(7)(b), the effective day, or (ii) where the worker is not so employed, the first day after the effective day on which the worker is employed by the employer, and ; (ii) section 27BF(3) has effect as if for paragraphs (a) and (b) there were substituted— (a) where the worker is employed by the employer on the day (“the effective day”) after the day on which terms cease to be incorporated as mentioned in section 27BY(7)(b), the effective day, or (b) where the worker is not so employed, the first day after the effective day on which the worker is employed by the employer. ; (c) in relation to an agency worker and a hirer for and under the supervision and direction of whom the agency worker works, paragraph 1(5)(a) of Schedule A1 has effect as if for sub-paragraphs (i) and (ii) there were substituted— (i) where the agency worker is working for and under the supervision and direction of the hirer on the day (“the effective day”) after the day on which terms cease to be incorporated as mentioned in section 27BY(7)(b), the effective day, or (ii) where the agency worker is not so working, the first day after the effective day on which the agency worker is working for and under the supervision and direction of the hirer, and ; (d) in relation to an agency worker and the work-finding agency with which the agency worker has a worker’s contract or an arrangement by virtue of which the agency worker is (or is to be) supplied to work for and under the supervision and direction of a hirer, paragraph 7(3) of Schedule A1 has effect as if for paragraphs (a) and (b) there were substituted— (a) where the worker’s contract or arrangement is in force on the day (“the effective day”) after the day on which terms cease to be incorporated as mentioned in section 27BY(7)(b), the effective day, or (b) where it is not in force on the effective day, the first day after the effective day on which it is in force.

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27BZ Regulations

(1) The Secretary of State may by regulations make further provision for the purposes of section 27BW or 27BX. (2) The regulations may, in particular, make provision about— (a) the effect on a duty in Chapters 2 to 5 of terms being or ceasing to be incorporated as mentioned in section 27BW(2)(c) or 27BX(2)(c), (b) the form and manner in which a notice under section 27BY(3) is to be given, and (c) when a notice under section 27BY(3) is to be treated as having been given.

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27BZ1 Interpretation

(1) Terms used in this Chapter that are used in— (a) Chapters 2 to 4 (rights relating to zero hours workers, etc), or (b) Chapter 5 (including Schedule A1) (rights relating to agency workers), have the same meaning as in those Chapters or that Chapter (including that Schedule). (2) In this Chapter, “certificate of independence” means a certificate issued under section 6 of the Trade Union and Labour Relations (Consolidation) Act 1992.

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27BZ2 Interpretation

(1) In this Part— “agency worker” has the meaning given by section 27BV; “arrangement” (when used by itself and not as part of the expression “zero hours arrangement”) means an arrangement (whether contractual or non-contractual) other than a worker’s contract; “specified” means specified in, or determined in accordance with, regulations made by the Secretary of State; “work-finding agency” has the meaning given by section 27BV; “zero hours arrangement” means an arrangement under which— an employer and an individual agree terms on which the individual will do any work where the employer makes it available to the individual and the individual agrees to do it, but the employer is not required to make any work available to the individual, nor the individual required to accept it, and in this Part “employer”, in relation to a zero hours arrangement, is to be read accordingly; “zero hours contract” means a contract of employment or other worker’s contract under which— the undertaking to do work is an undertaking to do so conditionally on the employer making work available to the worker, and there is no certainty that any such work will be made available to the worker. (2) For the purposes of this Part— (a) a person who is, or is treated as, an employer makes work available to a worker or other individual if they request or require the individual to do it; (b) references to work and doing work include references to services and performing them.

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27BZ3 Regulations

(1) Regulations under this Part may— (a) make different provision for different purposes; (b) make provision subject to exceptions. (2) Regulations under this Part may provide that a reference in the regulations to a provision of legislation is to be read as a reference to that provision as amended from time to time.

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27C Qualifying tips, gratuities and service charges

(1) This Part makes provision for— (a) how employers must deal with qualifying tips, gratuities and service charges, and (b) the Secretary of State to issue a code of practice to promote fairness and transparency in relation to the distribution of qualifying tips, gratuities and service charges. (2) In this Part “qualifying tips, gratuities and service charges” means— (a) employer-received tips, and (b) worker-received tips which— (i) are subject to employer control, or (ii) are connected with any other worker-received tips which are subject to employer control. (3) An “employer-received tip” is an amount paid by a customer of an employer by way of a tip, gratuity or service charge (however described) which— (a) is received upon its payment or subsequently by the employer or an associated person, or (b) is received upon its payment by a person under a payment arrangement made between the employer and that person. (4) A “worker-received tip” is an amount paid by a customer of an employer by way of a tip, gratuity or service charge (however described) which— (a) is received upon its payment by a worker of the employer, and (b) is not subsequently received by the employer or an associated person. (5) For the purposes of subsection (2)(b)— (a) a worker-received tip is subject to employer control if the employer or an associated person exercises control or significant influence over the allocation of the tip; (b) a worker-received tip (“tip A”) is connected with another worker-received tip which is subject to employer control (“tip B”) if— (i) both tips are paid at, or are otherwise attributable to, the same place of business, and (ii) tip A is paid later in the week, or in the week following the week, in which tip B is paid. (6) In this section the “amount paid by a customer of an employer by way of a tip, gratuity or service charge” means the actual amount paid by the customer (and accordingly any deductions from the amount paid, whether deducted by the employer or any other person, are to be disregarded when determining the amount paid by the customer). (7) An amount paid by a customer of an employer is not paid by way of a tip, gratuity or service charge to the extent that the amount represents payment of value added tax. (8) If an amount is not paid in money, it can be a qualifying tip, gratuity or service charge only if it is paid in the form of a voucher, stamp, token or similar item which is— (a) of a fixed value expressed in monetary terms, and (b) capable of being exchanged (whether on its own or together with other vouchers, stamps, tokens or items, and whether immediately or only after a time) for money, goods or services (or for any combination of two or more of those things). (9) In this section— “payment arrangement” means an arrangement between an employer and another person under which payments made by customers of the employer are to be received by the other person instead of the employer; “week” means any period of seven days beginning with a Monday (and ending with a Sunday).

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27D How tips etc must be dealt with

(1) An employer must ensure that the total amount of the qualifying tips, gratuities and service charges paid at, or otherwise attributable to, a place of business of the employer is allocated fairly between workers of the employer at that place of business. (2) Where a worker is allocated an amount of employer-received tips in accordance with subsection (1), that amount is payable to the worker by the employer. (3) In determining what would be a fair allocation of qualifying tips, gratuities and service charges under this section or section 27E (non-public places of business), regard must be had to the relevant provisions of any code of practice issued under this Part. (4) See also sections 27E (non-public places of business) and 27F (independent troncs).

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27E Non-public places of business

(1) This section applies where— (a) qualifying tips, gratuities and service charges are paid at, or are otherwise attributable to, a non-public place of business of an employer (the “non-public tips”), and (b) the employer also has one or more public places of business. (2) The employer may comply with the requirement in section 27D(1) to ensure that the total amount of the non-public tips is allocated fairly between workers of the employer at the non-public place of business by instead ensuring that the total amount of the non-public tips is allocated fairly between both— (a) workers of the employer at the non-public place of business, and (b) workers of the employer at one or more public places of business of the employer. (3) In this section— “non-public place of business” means a place of business that is not a public place of business; “public place of business” means a place of business where interaction between— customers of the employer, and workers of the employer, occurs wholly or mainly face-to-face.

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27F Independent troncs

(1) In this section “relevant tips” means the qualifying tips, gratuities and service charges that— (a) are paid at, or are otherwise attributable to, a place of business of an employer, and (b) are paid during a reference period. (2) Where— (a) the employer makes arrangements for the total amount of the relevant tips to be allocated between workers of the employer at the place of business by an independent tronc operator, and (b) it is fair for the employer to make those arrangements, the employer is to be treated as having ensured that the total amount of the relevant tips is allocated fairly between workers of the employer at the place of business in accordance with section 27D(1). (3) Where— (a) the employer makes arrangements for a part of the total amount of the relevant tips to be allocated between workers of the employer at the place of business by an independent tronc operator, and (b) it is fair for the employer to make those arrangements, the employer is to be treated as having ensured that that part of the total amount of the relevant tips is allocated fairly between workers of the employer at the place of business in accordance with section 27D(1). (4) In determining whether it would be fair for an employer to make the arrangements mentioned in subsection (2) or (3), regard must be had to the relevant provisions of any code of practice issued under this Part. (5) Section 27D(2) does not apply to an amount which— (a) by virtue of subsection (2) or (3), is treated as having been allocated fairly between workers, and (b) is payable to the worker by the independent tronc operator. (6) For the purposes of this section “an independent tronc operator” is a person who the employer reasonably considers to be operating, or intending to operate, independently of the employer, arrangements under which— (a) the total amount of qualifying tips, gratuities and service charges subject to the arrangements is allocated between workers of the employer at the relevant place of business by the person, (b) such allocated qualifying tips, gratuities and service charges are payable to such workers by the person or by the employer (or partly by the person and partly by the employer), (c) amounts payable to workers by the person in accordance with paragraph (b) are not subject to unauthorised deductions by the person, and (d) all payments made to workers in accordance with paragraph (b) are payments to which paragraph 5(1) of Part 10 of Schedule 3 to the Social Security (Contributions) Regulations 2001 (S.I. 2001/1004) (payments disregarded in the calculation of earnings)— (i) applies by virtue of the payments meeting the condition in paragraph 5(3) of that Part, or (ii) would apply by virtue of the payments meeting the condition in paragraph 5(3) of that Part if the modifications in subsection (7) were made to paragraph 5 of that Part. (7) The modifications are— (a) each reference to a “secondary contributor” is to be read as a reference to an “employer”; (b) each reference to an “earner” is to be read as a reference to a “worker”. (8) The Secretary of State may by regulations— (a) amend the definition of “independent tronc operator” in this section in consequence of the making of social security contributions regulations, and (b) consequentially amend any other provision of this Part. (9) In this section— “reference period” means a period of at least one day, as determined by the employer from time to time; “social security contributions regulations” means any regulations making provision related to social security contributions of employers or workers; “unauthorised deduction” means a deduction that is not required or authorised to be made by virtue of a statutory provision.

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27G When tips etc must be dealt with

The employer must— (a) ensure that a qualifying tip, gratuity or service charge is allocated in accordance with section 27D(1), and (b) make any payment that the employer is required to make to a worker under section 27D(2) as a result of that allocation, no later than the end of the month following the month in which the tip, gratuity or service charge was paid by the customer.

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27H Agency workers

(1) In this Part an “eligible agency worker” is an individual— (a) who is supplied by a person (the “agent”) to do work for another person (the “principal”) under a contract or other arrangements made between the agent and the principal, but (b) who is not, as respects that work, a worker of the principal because of the absence of a worker’s contract between the individual and the principal, and (c) who is not a party to a contract under which the individual undertakes to do the work for another party to the contract whose status is, by virtue of the contract, that of a client or customer of any profession or business undertaking carried on by the individual. (2) Where an eligible agency worker does work for the principal at a place of business of the principal, this Part applies as if— (a) the eligible agency worker were a worker of the principal, and (b) the principal were the employer of the eligible agency worker. (3) Where an amount is payable to an eligible agency worker under section 27D(2)— (a) the amount may instead be paid to the agent (within the period specified in section 27G); (b) the employer must not make any unauthorised deductions from the amount (whether or not the amount is paid to the agent under paragraph (a)). (4) Where an amount is paid to the agent under subsection (3)— (a) the amount becomes payable to the eligible agency worker by the agent before the end of the month after the month in which the agent is paid the amount under subsection (3), and (b) the agent must not make any unauthorised deductions from the amount. (5) In this section “unauthorised deduction” means a deduction that is not required or authorised to be made by virtue of a statutory provision. (6) In this Part a reference to an eligible agency worker includes, where the context requires, a reference to a former eligible agency worker.

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27I Written policy

(1) Where qualifying tips, gratuities and service charges are paid at, or are otherwise attributable to, a place of business of an employer on more than an occasional and exceptional basis, the employer must have a written policy on dealing with qualifying tips, gratuities and service charges for the place of business. (2) A written policy for a place of business must include the following information— (a) whether the employer requires or encourages customers to pay tips, gratuities and service charges at the place of business; (b) how the employer ensures that all qualifying tips, gratuities and service charges paid at, or otherwise attributable to, the place of business are dealt with in accordance with this Part, including how the employer allocates qualifying tips, gratuities and service charges between workers at the place of business. (3) Where an employer is required by this section to have a written policy for a place of business, the employer must make the written policy available to all workers of the employer at the place of business. (4) Subsection (5) applies in a case where— (a) an employer is not required by this section to have a written policy for a place of business, but (b) the employer would be required by this section to have such a written policy if worker-received tips paid at, or otherwise attributable to, the place of business were qualifying tips, gratuities and service charges. (5) In that case, the employer must make the following information available to all workers of the employer at the place of business— (a) the fact that the employer is not required by this section to have a written policy for the place of business, and (b) the reasons why the employer is not required by this section to have such a written policy. (6) Where— (a) an employer makes a written policy available to workers at a place of business under this section, and (b) the employer subsequently amends that policy, the employer must make the amended version of the policy available to all workers of the employer at the place of business.

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27J Records

(1) Where qualifying tips, gratuities and service charges are paid at, or are otherwise attributable to, a place of business of an employer on more than an occasional and exceptional basis, the employer must— (a) create a record of how every qualifying tip, gratuity and service charge paid at, or otherwise attributable to, the place of business has been dealt with in accordance with this Part, and (b) maintain that record for a period of three years beginning with the date on which the qualifying tip, gratuity or service charge was paid. (2) The record required by subsection (1) must include— (a) the amount of qualifying tips, gratuities and service charges paid at, or otherwise attributable to, the place of business; (b) the amount of those qualifying tips, gratuities and service charges— (i) that the employer allocated to workers of the employer at the place of business; (ii) that the employer arranged to be allocated to workers of the employer at the place of business by an independent tronc operator in accordance with section 27F. (3) A worker of an employer may make a written request for the employer to provide the following records for a period specified in the request in relation to a place of business of the employer that the worker worked at— (a) the amount of qualifying tips, gratuities and service charges paid at, or otherwise attributable to, the place of business; (b) the amount of those qualifying tips, gratuities and service charges— (i) that the employer allocated to the worker; (ii) that the employer arranged to be allocated to workers of the employer at the place of business by an independent tronc operator in accordance with section 27F. (4) Where— (a) an employer receives a request from a worker under subsection (3) for records in relation to a place of business of the employer, and (b) the employer is required by this section to maintain those records, the employer must, within the response period, provide the worker with the requested records in respect of the period specified in the request or a substantially similar period. (5) Subsection (6) applies in a case where— (a) an employer receives a request from a worker under subsection (3) for records in relation to a place of business of the employer, (b) the employer is not required by this section to maintain those records, but (c) the employer would be required by this section to maintain those records if worker-received tips paid at, or otherwise attributable to, the place of business were qualifying tips, gratuities and service charges. (6) In that case, the employer must, within the response period, notify the worker— (a) that the employer is not required by this section to maintain the requested records, and (b) of the reasons why the employer is not required by this section to maintain those records. (7) A worker may request records under this section in respect of a period only if— (a) the period is a period of one month or two or more consecutive months, (b) the period begins no more than three years before the date of the request, (c) the period ends before the date of the request, and (d) the worker worked for the employer at any time during each month that forms part of the request. (8) A worker may not make more than one request for records under this section in any three month period. (9) Except as provided by subsection (10), a disclosure of information required by subsection (4) does not breach— (a) any obligation of confidence owed by the person making the disclosure, or (b) any other restriction on the disclosure of information (however imposed). (10) Subsection (4) does not require a disclosure of information that would contravene the data protection legislation (but in determining whether a disclosure would do so, the duty imposed by that subsection is to be taken into account). (11) In this section— “the data protection legislation” has the same meaning as in the Data Protection Act 2018 (see section 3(9) of that Act); “date of the request” means the date that the request is received by the employer; “response period” means the period of four weeks beginning with the date of the request.

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27K Complaints to employment tribunal about tips etc

(1) A worker may present a complaint to an employment tribunal that the worker’s employer has failed to comply with— (a) section 27D (how tips etc must be dealt with), or (b) section 27G (when tips etc must be dealt with), in relation to the worker. (2) An eligible agency worker may also present a complaint to an employment tribunal that an agent has failed to comply with the requirement to make a payment to the eligible agency worker that the agent was required to make under section 27H(4). (3) An employment tribunal must not consider a complaint under this section unless it is presented before the end of the period of twelve months beginning with the date of the failure to comply. (4) But, if the employment tribunal is satisfied that it was not reasonably practicable for a complaint to be presented before the end of the relevant period of twelve months, the tribunal may consider the complaint if it is presented within such further period as the tribunal considers reasonable. (5) If a complaint is presented under this section in respect of a series of failures to comply, the reference in subsection (3) to the date of the failure to comply is to the date of the last failure in the series. (6) An eligible agency worker may present a complaint under subsection (2) whether or not the eligible agency worker also presents a complaint under subsection (1). (7) Section 207B (extension of time limits to facilitate conciliation before institution of proceedings) applies for the purposes of subsection (3).

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27L Determination of complaints about tips etc

(1) If an employment tribunal finds a complaint under section 27K well founded— (a) it must make a declaration to that effect, and (b) it may— (i) in the case of a complaint under section 27K(1), make an order requiring the employer to deal with qualifying tips, gratuities and service charges that were paid at, or were otherwise attributable to, a place of business of the employer in accordance with this Part; (ii) in the case of a complaint under section 27K(2), make an order requiring the agent to make a payment to the eligible agency worker of the amount that the agent was required under section 27H to pay to the eligible agency worker. (2) An order made under subsection (1)(b)(i) may in particular— (a) require the employer to revise an allocation made by the employer under section 27D; (b) make a recommendation to the employer regarding that allocation; (c) require the employer to make a payment to one or more workers of the employer in accordance with this Part (including a worker who is not the complainant). (3) A recommendation made under subsection (2)(b) is not binding on an employer, but is to be admissible in evidence in proceedings before an employment tribunal; and any provision of the recommendation which appears to the tribunal to be relevant to any question arising in the proceedings is to be taken into account in determining that question. (4) An order made under subsection (1)(b)(i) following a complaint presented by a worker does not prevent a different worker from presenting a complaint under this Part in relation to the same employer or the same qualifying tips, gratuities and service charges.

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27M Compensation: dealing with tips etc

(1) If an employment tribunal makes a declaration under section 27L(1)(a), it may order the employer or agent (as the case may be) to pay to the complainant such amount, not exceeding £5,366, as the tribunal considers appropriate in all the circumstances to compensate the complainant for any financial loss sustained by the complainant which is attributable to the matter complained of. (2) The tribunal may make an order under this section whether or not an order under section 27L(1)(b) has been made.

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27N Complaints to employment tribunal about information

(1) A worker may present a complaint to an employment tribunal that the worker’s employer has failed to comply with a requirement in section 27I (written policy) or 27J (records). (2) An employment tribunal must not consider a complaint under this section unless it is presented before the end of the period of six months beginning with the date of the failure to comply. (3) But, if the employment tribunal is satisfied that it was not reasonably practicable for a complaint to be presented before the end of the relevant period of six months, the tribunal may consider the complaint if it is presented within such further period as the tribunal considers reasonable. (4) Section 207B (extension of time limits to facilitate conciliation before institution of proceedings) applies for the purposes of subsection (2).

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27O Determination of complaints about information

(1) If an employment tribunal finds a complaint under section 27N well founded— (a) it must make a declaration to that effect, and (b) it may make an order requiring the employer to comply with the requirement in accordance with section 27I or 27J. (2) If an employment tribunal makes a declaration under subsection (1)(a), it may order the employer to pay to the worker such amount, not exceeding £5,366, as the tribunal considers appropriate in all the circumstances to compensate the worker for any financial loss sustained by the worker which is attributable to the matter complained of. (3) The tribunal may make an order under subsection (2) whether or not an order referred to in subsection (1)(b) has been made.

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27P Issue of code of practice

(1) The Secretary of State may issue a code of practice under section 27Q for the purpose of promoting fairness and transparency in the distribution of qualifying tips, gratuities and service charges. (2) The Secretary of State may from time to time revise the whole or any part of a code of practice and issue that revised code of practice under section 27Q.

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27Q Procedure for issue of code of practice

(1) If the Secretary of State proposes to issue a code of practice under this section the Secretary of State must— (a) consult ACAS; (b) publish a draft of the code of practice; (c) consider any representations made about the draft code of practice and modify the draft code of practice accordingly. (2) If the Secretary of State decides to proceed with the draft code of practice, the Secretary of State must— (a) lay it before both Houses of Parliament, and (b) if it is approved by resolution of each House, issue the code of practice in the form of the draft. (3) A code of practice issued under this section comes into effect on such day as the Secretary of State may by regulations appoint.

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27R Consequential revision of code of practice

(1) A code of practice issued under section 27Q may be revised by the Secretary of State in accordance with this section for the purpose of bringing it into conformity with subsequent statutory provisions by the making of consequential amendments and the omission of obsolete passages. (2) In this section “subsequent statutory provisions” means provisions made by or under an Act of Parliament and coming into force after the code of practice was issued. (3) If the Secretary of State proposes to revise a code of practice under this section, the Secretary of State must lay a draft of the revised code of practice before each House of Parliament. (4) If within the period of 40 days beginning with the day on which the draft is laid before Parliament, or, if copies are laid before the two Houses on different days, with the later of the two days, either House so resolves, no further proceedings are to be taken thereon, but without prejudice to the laying before Parliament of a new draft. (5) In reckoning the period of 40 days no account is to be taken of any period during which Parliament is dissolved or prorogued or during which both Houses are adjourned for more than four days. (6) If no such resolution is passed, the Secretary of State must issue the code of practice in the form of the draft and it comes into effect on such day as the Secretary of State may by regulations appoint.

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27S Revocation of code of practice

A code of practice issued under this Part may be revoked by the Secretary of State by regulations.

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27T Failure to comply with code of practice

(1) In proceedings before an employment tribunal, a code of practice issued under this Part is to be admissible in evidence, and any provision of the code of practice which appears to the tribunal to be relevant to any question arising in the proceedings is to be taken into account in determining that question. (2) A failure on the part of an employer to observe any provision of a code of practice issued under this Part does not of itself render the employer liable to any proceedings.

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27U No restitution claims by employer

(1) This section applies where— (a) a worker is allocated an amount of qualifying tips, gratuities and service charges in accordance with section 27D(1) (the “original allocation”), (b) the employment tribunal makes an order under section 27L(1)(b)(i) that has the effect of requiring the employer to revise that allocation, (c) the employer subsequently revises the amount of qualifying tips, gratuities and service charges allocated to the worker (the “revised allocation”), and (d) the amount of the revised allocation is less than the amount of the original allocation. (2) The difference between the amount of the revised allocation and the amount of the original allocation is not payable by the worker to the employer (and accordingly the employer may not bring proceedings in a court or tribunal to recover from the worker or an agent (as the case may be) the difference between such amounts based wholly or partly on the employment tribunal order). (3) For the meaning of “agent”, see section 27H.

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