Equal pay claims can be brought in the Court up to six years after dismissal
In a highly publicised claim brought by some ex-employees of Birmingham City Council, the Supreme Court has delivered
the definitive Judgment on time limits and equal pay claims. Following this decision employees are able to bring an equal
pay claim in the High Court up to six years after their employment ends.
The detail
Equal pay claims pursued in the Employment Tribunal must be presented within six months of termination in most cases.
However equal pay claims can also be brought in the High Court although in practice they rarely are. The provisions which
deal with this are described by the Supreme Court as “poorly drafted, and a complex history of ill-thought-out
amendments has contributed nothing to their coherence”. The key question before the Supreme Court was whether the
fact that Tribunals are generally more able to deal with equal pay claims and have a six month time-limit, stopped such
proceedings being issued later in the High Court (but within six years)? No says the majority of the Supreme Court in
Birmingham City Council v Abdulla, the claims can still be pursued in the High Court. Two Lords disagreed and said this
undermined the statutory protection provided for employers by the Tribunal time limits, but as they were in the minority
their views do not alter the law.
What does this mean for me?
This decision only relates to equal pay claims; it does not have wider implications. If you know that there is the potential
for equal pay claims based upon historic arrangements in your organisation, you may get some new claims now and some
which had been stayed may be allowed to proceed. This decision means that any ex-employee can bring an equal pay
claim against you up to six years after they have left. This differs from most time-limits for most employment-related
claims, although it is the same as that for breach of contract claims which can also be brought in the Court up to six years
after the alleged breach.
Comment
This decision is not a great surprise, albeit that having convinced two Lords Birmingham City Council came close to
succeeding with their argument. We would still expect most equal pay claims to be issued in the Employment Tribunal
either during the Claimant’s employment or shortly after its termination. However equal pay claims can be complex and
expensive so do seek advice if this may be important to you.
If this raises any issues for you or your organisation, please speak to your usual contact in the Weightmans' employment
team. You can also contact Phil Allen – Partner at Weightmans on 0161 214 0504 or [email protected]
Weightmans LLP
October 2012
This update does not attempt to provide a full analysis of those matters with which it deals and is provided for general information purposes only
and is not intended to constitute legal advice and should not be treated as a substitute for legal advice. Weightmans accepts no responsibility for
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