The government last week issued guidance for businesses who offer work experience, placements and internships, which makes clear when someone is entitled to be paid the National Minimum Wage (NMW).
As well as express terms, contracts of employment also contain implied terms, such as the term of trust and confidence. In McBride v Falkirk Football & Athletic Club, the Employment Appeal Tribunal (EAT) said that employers cannot defend a breach of the implied term of trust and confidence by arguing that it’s alright to treat an employee badly because that’s how everyone in the industry is treated.
When a clause in a contract is not clear, Tribunals can make a ruling as to what the clause means. In Driver v Air India Ltd, the Court of Appeal held that where a contractual entitlement to overtime payments was challenged because no specific rate or method for authorisation had been expressly specified or implemented, the law may imply a reasonable sum.