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You are here: BAILII >> Databases >> United Kingdom Employment Appeal Tribunal >> Cable News International Inc v Bhatti (TERRITORIAL SCOPE OF LEGISLATION - INTERNATIONAL JURISDICTION - FORUM) [2025] EAT 63 (06 May 2025) URL: https://www.bailii.org/uk/cases/UKEAT/2025/63.html Cite as: [2025] EAT 63 |
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Fetter Lane, London EC4A 1NL |
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B e f o r e :
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CABLE NEWS INTERNATIONAL INC |
Appellant |
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- and - |
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MS SAIMA BHATTI |
Respondent |
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Mr Paras Gorasia and Mr Finnian Clarke (Direct Access) appeared for the Respondent
Hearing dates: 25 and 26 March 2025
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Crown Copyright ©
SUMMARY
TERRITORIAL SCOPE OF LEGISLATION; INTERNATIONAL JURISDICTION; FORUM
The British claimant of Pakistani heritage was employed from 2013 to the end of 2017 as a journalist by the respondent broadcast media organisation domiciled in Atlanta, Georgia, under a contract of employment governed by the law of Georgia, USA. The respondent had a subsidiary based in London, with which the claimant had dealings. She was paid under "play or pay" arrangements and worked on assignments from 2013 to February 2017, mainly but not entirely in Asia.
From March 2017 the claimant moved from her apartment in Bangkok and returned to London, seeking to become London based and while recovering from and receiving treatment for a foot injury sustained in 2014. The respondent declined her request to become London based and after she had worked for one day on an assignment in London in June 2017, instructed the London subsidiary not to deploy her on assignments without permission from the Atlanta headquarters.
The claimant was then dismissed with immediate effect in August 2017 at the London subsidiary's offices; her pass was withdrawn and she was escorted from the premises. She did not work for the respondent again. However, she was paid up to 31 December 2017 under her contract terms. She then brought claims for discrimination of various kinds, victimisation, unfair dismissal, equal pay and outstanding holiday pay.
The judge found that the claims were justiciable in England and Wales as they fell within the scope of the legislation conferring the statutory causes of action, but only in respect of alleged wrongs committed on or after 1 March 2017, when the claimant returned to London. The judge also held that the tribunal had international jurisdiction to determine the claims. On appeal, the respondent contended that the judge was wrong to hold that the claims fell within the territorial scope of the legislation and that the tribunal did not have international jurisdiction to determine them.
The judge had not erred in either respect. The conclusion that the claimant's employment had a sufficient connection with Great Britain from 1 March 2017 onwards was based on his evaluation of the evidence and he did not err in principle or adopt a wrong approach to the evaluative assessment of the evidence. His conclusion that from 1 March 2017, London had displaced the "territorial pull" of Bangkok, the claimant's base for over two years until the end of February 2017, was open to him.
Nor had the judge erred in deciding that the tribunal had international jurisdiction over the claims, in so far as they were within the territorial scope of the legislation. The primary legislation conferred jurisdiction over the claims in so far as they were within the territorial scope of the domestic primary legislation enacting the causes of action and remedies in the tribunal. Rule 8 of the then Rules of Procedure provided that England and Wales, rather than Scotland, was the appropriate tribunal forum.
Further, the (then applicable) Brussels Regulation (EU No. 1215 of 2012) did not assist the respondent because it was not domiciled in the EU. The Regulation did not give a non-EU domiciled defendant the right to be sued in the courts of its non-EU domicile. Further, the judge was entitled to find that the claimant could proceed in London because (per article 21 of the Regulation) she last habitually worked there; and because (per article 20) the dispute arose out of the operations of the London subsidiary, a branch, agency or other establishment of the respondent.
The respondent was not entitled to avoid the international jurisdiction of the tribunal over the claims (in so far as they were within the territorial scope of the legislation) due to non-service of the claim documents on it. The claim documents were sent by the tribunal to the respondent's London subsidiary, which brought them to the attention of the respondent. There were few formal rules about service in the employment tribunal. The relevant rules of procedure made provision for delivery of documents. The respondent had received the claim documents and responded by challenging the tribunal's jurisdiction. There was no procedural irregularity.
THE HONOURABLE MR JUSTICE KERR:
Introduction
The Facts
The Law
The Tribunal's Reasoning and Conclusions
Issues, Reasoning and Conclusions
The territorial scope of the legislation
"not a peripatetic employee, or at least not a UK based peripatetic employee her travel was in Asia so to the extent that she can claim to be a peripatetic employee that was in Asia and with no connection to Great Britain But in any event, even if she was a peripatetic employee, her base was not Great Britain".
"is a matter of law, albeit that it involves an exercise of judgment with which an appellate tribunal will not interfere unless '[the employment tribunal] took into account matters it should not have taken in to account or failed to take into account matters it should have taken into account or made some error or was otherwise wrong' see per Longmore LJ in Jeffery v British Council [2019] ICR 929, para 136."
International jurisdiction
(i) Primary domestic legislation as the source of international jurisdiction?
"Putting the question in the traditional terms of the conflict of laws, what connection between Great Britain and the employment relationship is required to make section 94(1) the appropriate choice of law in deciding whether and in what circumstances an employee can complain that his dismissal was unfair? The answer to this question will also determine the question of jurisdiction, since the Employment Tribunal will have jurisdiction to decide upon the unfairness of the dismissal if (but only if) section 94(1) is the appropriate choice of law."
F
(ii) Rule 8 of the 2013 Rules of Procedure
(iii) Brussels Regulation article 21: habitual place of work or last habitual place of work
(iv) Brussels Regulation article 20: deemed domicile of non-EU domiciled employer where claim arises from operations of a branch, agency or other establishment in a member state
"third parties doing business with the establishment acting as an extension of another company must be able to rely on the appearance thus created and regard that establishment as an establishment of the other company even if, from the point of view of company law, the two companies are independent of each other".
(v) Service of the claim form
"Service out of the jurisdiction where permission is required
3.1 The claimant may serve a claim form out of the jurisdiction with the permission of the court under rule 6.36 where
Claims under various enactments
(20) A claim is made
(a) under an enactment which allows proceedings to be brought and those proceedings are not covered by any of the other grounds referred to in this paragraph."
Conclusion and Disposal
'67. In Simpson v Intralinks [2012] ICR 1343 at [8], Langstaff J (President of the EAT, as he then was) referred to an article by Louise Merrett in the Industrial Law Journal 2010 (pages 355 et seq.) explaining that the word "jurisdiction" can be used in three different contexts:
"First, in all cases where there is a foreign element, the question arises as to whether the English court or tribunal has jurisdiction to hear the case at all or whether it should be heard in a foreign court this is an issue of private international law and will be referred to as international jurisdiction. If the Defendant is domiciled in a Member State of the European Union, the question of international jurisdiction must be determined by applying the rules of the Brussels I Regulation Secondly, [words omitted] Thirdly, even if the court or tribunal has jurisdiction to hear the claim in both the senses described above, and English law applies, in the case of statutory employment rights the Claimant must show that he falls within the scope of the relevant legislation most statutory rights have either express or implied territorial limits which must be satisfied this last issue will be referred to as territorial scope ." (my emphasis)
68. The Jurisdiction Issue I need to decide comprises of two of the above elements: third meaning the Territorial Reach Question, and the first meaning - the International Jurisdiction Question. Dealing with the Territorial Reach Question first.
69. It was accepted by the parties (and I agree) that on the relevant authorities there was no difference in the test the Tribunal must apply in determining the territorial reach of the ERA and the EqA. In other words, if it is found that the Claimant's claims under the ERA fall within the territorial reach of the ERA, the same conclusion must follow with respect to her EqA claim and vice versa4.
[Fn. 4:] For the sake of brevity, I shall refer in this judgment to the ERA only or, when considering all three (ERA, EqA and WTR) - to the Acts.
70. The explanatory note 15 to the EqA states: "As far as territorial application is concerned, in relation to Part 5 (work) and following the precedent of the Employment Rights Act 1996, the Act leaves it to tribunals to determine whether the law applies, depending for example on the connection between the employment relationship and Great Britain". See also, Bates van Winkelhof v Clyde and Co LLP and anor 2013 ICR 883, CA, and R (on the application of Hottak and anor) v Secretary of State for Foreign and Commonwealth Affairs and anor 2016 ICR 975, CA.
71. Equally, there should be no difference in the territorial reach test with respect to various rights in the ERA (in this case s.94(1) and s.13 ERA) see Lawson v Serco Ltd 2006 ICR 250, HL at [14], Bleuse v MBT Transport Ltd and anor 2008 ICR 488, EAT and British Council v Jeffery and another case 2019 ICR 929, CA).
72. The current version of the ERA does not contain any provisions dealing with the territorial reach of the Act. In Lawson v Serco [2006] UKHL 3, [2006] ICR 250, at [7] - [9] Lord Hoffman recounted the history of the legislation concluding that by repealing section 196 of the Act (which stated that the Act did not apply "to any employment where under his contract of employment the employee ordinarily works outside Great Britain").
"Parliament was content to accept the application of established principles of construction to the substantive rights conferred by the Act, whatever the consequences might be".
73. At [6] Lord Hoffman explained the relevant rules of construction citing Lord Wilberforce in Clark v Oceanic Contractors Inc [1983] 2 AC 130, 152, where he said that it
"requires an inquiry to be made as to the person with respect to whom Parliament is presumed, in the particular case, to be legislating. Who, it is to be asked, is within the legislative grasp, or intendment, of the statute under consideration?"
74. It is a well-established principle that Parliament is supreme and can legislate on any issue, including extraterritorially. As Sir Ivor Jennings famously wrote in 1959 "the British Parliament could legally ban smoking on the streets of Paris ", however, as Lord Hoffman said in Lawson at [6]:
"The general principle of construction is, of course, that legislation is prima facie territorial. The United Kingdom rarely purports to legislate for the whole world. Some international crimes, like torture, are an exception. But usually such an exorbitant exercise of legislative power would be both ineffectual and contrary to the comity of nations."
75. In the same judgment at [1] he said that
"It is inconceivable that Parliament was intending to confer rights upon employees working in foreign countries and having no connection with Great Britain",
and went on to formulate the relevant question as:
"Putting the question in the traditional terms of the conflict of laws, what connection between Great Britain and the employment relationship is required to make section 94(1) the appropriate choice of law in deciding whether and in what circumstances an employee can complain that his dismissal was unfair?6 The answer to this question will also determine the question of jurisdiction, since the Employment Tribunal will have jurisdiction to decide upon the unfairness of the dismissal if (but only if) section 94(1) is the appropriate choice of law." (my emphasis)
[Fn 6:] Louise Merrett, in the aforementioned article, criticised this formulation as "potentially confusing" because the issue is not of choice of law in a private international law sense, but of statutory interpretation.
76. While stating at [9] that he did not think
"that any inferences can be drawn from the repeal of section 196 except that Parliament was dissatisfied with the way in which the express provisions were working and preferred to leave the matter to implication. Whether this would result in a widening or narrowing of the scope of the various provisions to which section 196 had applied is a question upon which, in my opinion, the decision to repeal it throws no light",
at [11] Lord Hoffman said:
"The repeal of section 196 means that the courts are no longer rigidly confined to this single litmus test. Nevertheless, the importance which parliament attached to the place of work is a relevant historical fact which retains persuasive force" (my emphasis).
77. Lord Hoffman then went on to formulate the relevant principles, emphasising that these were principles and not rules. At [23] he said:
"In my opinion the question in each case is whether section 94(1) applies to the particular case, notwithstanding its foreign elements. This is a question of the construction of section 94(1) and I believe that it is a mistake to try to formulate an ancillary rule of territorial scope, in the sense of a verbal formula such as section 196 used to provide, which must then itself be interpreted and applied. That is in my respectful opinion what went wrong in the Serco case. Although, as I shall explain, I think that there is much sound sense in the perception that section 94(1) was intended to apply to employment in Great Britain, the judgment gives the impression that it has inserted the words "employed in Great Britain" into section 94(1). The difference between Lord Phillips of Worth Matravers MR and the majority of the court in Crofts v Veta Ltd was about how these words should be construed. But such a question ought not to arise, because the only question is the construction of section 94(1). Of course this question should be decided according to established principles of construction, giving effect to what Parliament may reasonably be supposed to have intended and attributing to Parliament a rational scheme. But this involves the application of principles, not the invention of supplementary rules." (my emphasis)
78. He went on at [24] to say:
"On the other hand, the fact that we are dealing in principles and not rules does not mean that the decision as to whether section 94(1) applies (and therefore, whether the Employment Tribunal has jurisdiction) is an exercise of discretion. The section either applies to the employment relationship in question or it does not and, as I shall explain later, I think that is a question of law, although involving judgment in the application of the law to the facts."
79. At [34] Lord Hoffman said:
" . In my opinion therefore, the question of whether, on given facts, a case falls within the territorial scope of section 94(1) should be treated as a question of law. On the other hand, it is a question of degree on which the decision of the primary fact-finder is entitled to considerable respect. ".
80. In Ravat v Halliburton Manufacturing and Services Ltd 2012 ICR 389, SC, Lord Hope said at [29]:
"But it does not follow that the connection that must be shown in the case of those who are not truly expatriate, because they were not both working and living overseas, must achieve the high standard that would enable one to say that their case was exceptional. The question whether, on given facts, a case falls within the scope of section 94(1) is a question of law, but it is also a question of degree."
81. In British Council v Jeffery and another case 2019 ICR 929, CA, the Court of Appeal considered how the above dicta by Lord Hope in Ravat could be reconciled with what Lord Hoffman said in Lawson at [34]. While the Court did not come to the same view on this question, all judges agreed that there must be evaluation of whether a particular employment has the sufficient connection with Great Britain and British Employment Law before the question of the territorial reach of the Act can be answered. As Underhill LJ put it at [41]
"In the typical case, however, the answer to the former question [whether s.94 ERA applies] will depend entirely on the answer to the latter [whether the sufficient connection requirement is satisfied], with the result that in practice the dispositive issue is one of fact ." (my emphasis).
Peripatetic employees
82. In Lawson at [28 33], Lord Hoffman considered the application of the concept of employment in Great Britain to peripatetic employees, such as mariners, airline pilots, international management consultants, salesmen and so on. In his judgment, he cited with approval the dicta by Lord Denning MR in Todd v British Midland Airways Ltd [1978] ICR 959, 964:
"A man's base is the place where he should be regarded as ordinarily working, even though he may spend days, weeks or months working overseas. I would only make this suggestion. I do not think that the terms of the contract help much in these cases. As a rule, there is no term in the contract about exactly where he is to work. You have to go by the conduct of the parties and the way they have been operating the contract. You have to find at the material time where the man is based."(my emphasis)8
[Fn 8:] This was a notable departure from an earlier decision by the Court of Appeal in Wilson v Maynard Shipbuilding Consultants A.b. [1978] I.C.R 376, where the Court held that the correct approach was "to look at the terms of the contract express and implied [ ] in order to ascertain where, looking at the whole period contemplated by the contract the employee's base is to be". [at 387 F]. Furthermore, the Court said that one must look at the contract terms at the time of the making of the contract, and subsequent conduct of the parties cannot be used as an aid in construing the contract terms. That was pursuant to the longstanding principle on construing contract terms (see James Miller and Partners Ltd v Whitworth Street Estates (Manchester) Ltd [1970] A.C. 583, applied to employment contracts in Keeley v Fosroc International Ltd [2006] EWCA Civ 1277), however since doubted as being correct on a number of occasions see, for example, BCCI v Ali [2002] 1 AC 251 at [31]).
83. Referring to that dicta, at [30], Lord Hoffman said:
"Lord Denning's opinion was rejected as a misguided obiter dictum by the Court of Appeal in Carver's case and it is true that the language of section 196 and the authorities such as Wilson's case insisted upon more attention being paid to the express or implied terms of the contract. But now that section 196 has been repealed, I think that Lord Denning provides the most helpful guidance."(my emphasis)
84. At [31], Lord Hoffman continued:
" Unless, like Lord Phillips of Worth Matravers MR, one regards airline pilots as the flying Dutchmen of labour law, condemned to fly without any jurisdiction in which they can seek redress, I think there is no sensible alternative to asking where they are based. And the same is true of other peripatetic employees". (my emphasis)
85. In Partners Group (UK) Ltd and another v Mulumba [2021] ICR 1501, at [46] and [47] the EAT held:
"46 In cases where the employee moves between different countries, the employment tribunal's evaluation may need to recognise a change in the relevant circumstances. In some cases - such as that of Mr Fuller the connection may remain with the original base (in Mr Fuller's case, the US); in others, the position may change. The assessment must, however, be of the position at the time of the matter of which complaint is made (and see Dhunna v CreditSights Ltd [2015] ICR 105, para 43, per Rimer LJ). In particular, if the relevant act, omission or decision fell within a period of employment outside the territorial reach of British employment law, it will not subsequently fall within scope as a result of the employee later establishing the requisite connection with Great Britain and the statutory protections afforded within this jurisdiction. . [words omitted]
47 Moreover, the fact that the complaint might relate to what is alleged to have been "conduct extending over a period" (for the purposes of section 123(3) of the EqA) does not change this position: it might be part of the relevant background to later matters, which do fall within the territorial scope of the statutory protection, but that cannot confer jurisdiction on the employment tribunal retrospectively (see per Bean J at para 19 of Tradition Securities" (my emphasis).
Employees based abroad
86. In Lawson at [36] Lord Hoffman while accepting that
"[t]he circumstances would have to be unusual for an employee who works and is based abroad to come within the scope of British labour legislation" said that "there are some who do", and:
"I hesitate to describe such cases as coming within an exception or exceptions to the general rule because that suggests a definition more precise than can be imposed upon the many possible combinations of factors, some of which may be unforeseen. Mr Crow submitted that in principle the test was whether, despite the workplace being abroad, there are other relevant factors so powerful that the employment relationship has a closer connection with Great Britain than with the foreign country where the employee works. This may well be a correct description of the cases in which section 94(1) can exceptionally apply to an employee who works outside Great Britain, but like many accurate statements, it is framed in terms too general to be of practical help. I would also not wish to burden tribunals with inquiry into the systems of labour law of other countries. In my view one should go further and try, without drafting a definition, to identify the characteristics which such exceptional cases will ordinarily have." (my emphasis)
87. Lord Hoffman then went on to offer examples of such exceptional cases, first stating that:
" .it would be very unlikely that someone working abroad would be within the scope of section 94(1) unless he was working for an employer based in Great Britain. But that would not be enough. Many companies based in Great Britain also carry on business in other countries and employment in those businesses will not attract British law merely on account of British ownership. The fact that the employee also happens to be British or even that he was recruited in Britain, so that the relationship was "rooted and forged" in this country, should not in itself be sufficient to take the case out of the general rule that the place of employment is decisive. Something more is necessary." (my emphasis)
88. The examples he gave where "[s]omething more can be provided" were an employee posted abroad by a British employer (at [38]) and "an expatriate employee of a British employer who is operating within what amounts for practical purposes to an extra-territorial British enclave in a foreign country" (at [39]). However, at [40] he emphasised that these were just two examples that he could think of and there might be others.
89. Subsequent case law evolved in a way that the Territorial Reach Question was looked at by considering the strength of connection of a particular employment to Great Britain and British employment law, and the two examples given by Lord Hoffman were treated as relevant factors in that
assessment and not as fixed categories of exceptions (see Duncombe v Secretary of State for Children, Schools and Families (No.2) 2011 ICR 1312, SC, and Ravat v Halliburton Manufacturing and Services Ltd 2012 ICR 389, SC).
90. In other words, it is necessary for the employee to show that despite working outside Great Britain, particular features of his or her employment relationship with the employer created that connection, which was sufficiently strong to overcome what Underhill LJ described in Jeffery at [2(4)] as "the territorial pull" of the place of work.
91. Underhill LJ described that approach in Jeffery as "the sufficient connection question", that essentially determines the question of territorial reach of the ERA (see paragraph 81 above).
92. In Duncombe Lady Hale stated at [8] (my emphasis):
"It is therefore clear that the right will only exceptionally cover employees who are working or based abroad. The principle appears to be that the employment must have much stronger connections both with Great Britain and with British employment law than with any other system of law. There is no hard and fast rule and it is a mistake to try and torture the circumstances of one employment to make it fit one of the examples given, for they are merely examples of the application of the general principle."
93. In Jeffery at [2(5) and (6)] Underhill LJ, summarising the relevant legal principles, said:
>
"(5)
.In each case what is required is to compare and evaluate the strength of the competing connections with the place of work on the one hand and with Great Britain on the other. (6) In the case of a worker who is "truly expatriate", in the sense that he or she both lives and works abroad (as opposed, for example, to a "commuting expatriate", which is what Ravat was concerned with), the factors connecting the employment with Great Britain and British employment law will have to be specially strong to overcome the territorial pull of the place of work
.". 94. It appears that the evolution of case law created the situation where the question of statutory construction (i.e., whether the ERA applies to a particular case) essentially became the question of whether an employee, who does not ordinarily work in Great Britain, can discharge the burden of showing that his or her employment relationship with the employer had sufficiently strong connection with Great Britain and British employment law. 95. Whilst that appears to be somewhat at odds with the relevant principle of statutory construction formulated by Lord Hoffman in Lawson (see paragraphs 73 and 77 above), nevertheless all these subsequent cases are binding authorities on this Tribunal. 96. I also note that while in Duncombe Lady Hale said at [8] that "the employment must have much stronger connections both with Great Britain and with British employment law than with any other system of law", in Jeffery, Underhill LJ appears to be treating these two terms as largely interchangeable and referring to the same concept (see paragraph 81 above). 97. Therefore, it appears that if an employee, who is not ordinarily based in Great Britain, can establish factors showing that his or her employment has "much stronger" connection with British employment law than with "any other system of law", that should be sufficient for the Territorial Reach Question to be decided in his/her favour. In other words, having shown that such "much stronger" connection with British employment law exists, the employee is not required to take the second step and show that his/her employment has also "much stronger" connection with Great Britain as a country. Of course, often it will be the territorial connection of the employment to Great Britain that creates that "pull factor", but not necessarily. See, for example, Jeffery. 98. Conversely, just because an employee, who ordinarily works abroad, has strong personal connections to Great Britain outside their employment relationship with the employer (e.g. because he/she happens to be a British citizen, was born and bred in Great Britain, his/her family and friends are in Great Britain, regularly comes to this country for holidays, maintains a home here, etc.) that is very unlikely to be sufficient to overcome the territorial pull of the place of work. The same must be true even if such foreign-based employee with strong personal connections to Great Britain, occasionally comes to Great Britain on short business trips organised by their employer. The "sufficiently strong connection" factor must be evaluated through the "prism" of employment relationship. 99. Additionally,
[words omitted] Governing Law 100. The governing law of the contract is a relevant factor in the analysis (see Duncombe at [16]), although this creates some tension with the wording of s.204 ERA, as acknowledged by the Court of Appeal is Jeffery. 101. In Duncombe at [16] Lady Hale said the governing law was relevant because it creates "the expectation of each party as to the protection which the employees would enjoy". At [17] she also emphasised that people employed locally by a British employer in a foreign country "do not expect to enjoy the same protection as an employee working in Great Britain, although they do expect to enjoy the same protection as an employee working in the country where they work. They do, in fact, have somewhere else to go" (my emphasis). Repeal of s.196 ERA 102. As observed above, the key principle established in Lawson is that the Territorial Reach Question is one of construction of the statute, "giving effect to what Parliament may reasonably be supposed to have intended and attributing to Parliament a rational scheme". 103. In that regard I think it is of some assistance to briefly consider the relevant background leading up to the repeal of s.196 ERA. In Wilson v Maynard Shipbuilding Consultants A.b. [1978] I.C.R 376, the Court of Appeal, when grappling with the meaning of the words "ordinarily works outside Great Britain" (see footnote 8 above) in the predecessor to s.196 ERA, said at [386 C]: "Frankly, we do not think that those who were responsible for this legislation realised the existence of this problem. But we have to try to give guidance how such cases, of which the present case is one, ought to be approached so as to give effect, as sensibly as is possible, to the words of paragraph 9(2).
[words omitted from quoted passage] If amendment or clarification is required, paragraph 11 (2) and (3) of Schedule 1 to the Act of 1974 provides a relatively simple procedure. Let it not be said that the Employment Appeal Tribunal or this court is frustrating the intention of the legislature when both those courts are urging that, if their interpretation of the words used should not give effect to the intention of the legislature, the legislature should be invited urgently, by a simple procedure, to clarify its intention." 104. There was no immediate legislative response, but some years later s.196 ERA was repealed by Parliament by s. 32 and Schedule 9 (9) of the Employment Relation Act 1999. The explanatory note to this section reads: "32: Employment rights outside Great Britain 298.Section 32 repeals section 285(1) of the Trade Union and Labour Relations (Consolidation) Act 1992 and section 196 of the Employment Rights Act 1996. These provisions limit the application of certain employment rights, broadly, to those who ordinarily work in Great Britain. The repeal will remove these limitations." 105. Whilst in Lawson Lord Hoffman thought that the repeal of s.196 "throws no light" on the Territorial Reach Question (see paragraph 76 above), I note that [references to parliamentary materials, Hansard and Pepper v. Hart omitted]
106. It is, of course, debatable whether the repeal of s.196 ERA has achieved the intended simplification of the legislation. However, it appears that at the time the mischief the repeal was seeking to address was the narrow interpretation of the meaning of the phrase "ordinarily works outside Great Britain" in s.196 ERA adopted by the courts by looking solely at the contract terms at the time of the making of the contract ("the contract test") without considering the reality of the situation ("the function test") (see Wilson v Maynard Shipbuilding Consultants A.b. [1978] I.C.R 376). Hence the reference to Carver v Saudi Arabian Airlines [1999] ICR 991, in which a flight attendant was unable to pursue a claim for unfair dismissal against her employer despite working the last six years before dismissal out of Heathrow. In that case the Court of Appeal affirmed the contract test and dismissed Lord Denning's dicta in Todd (see paragraph 82 above), which the Court said had laid the foundation of the function test, as obiter because "enlargement of the Wilson principles was unnecessary for the decision in Todd". However, as noted above (see paragraph 83) in Lawson Lord Hoffman expressly approved Lord Denning's dicta and notably, linked it to the repeal of s.196 ERA. The EAT decision in Mulumba (see paragraph 85 above) appears to confirm that the function test should now be used. 107. I think this background is relevant to the question of statutory construction, because otherwise to "giv[e] effect to what Parliament may reasonably be supposed to have intended" when Parliament said nothing on the subject appears to be a nearly impossible task. [words omitted] 108. This means that in deciding the Territorial Reach Question I must consider where at the material time the Claimant's place of work (or "base") was as a matter of the reality of the situation, and not simply by looking at what her contract terms said about what her place of work/base was or should be when the contract was made by the parties.'
Note 1 From 6 January 2025, rule 8 was replaced by rule 10 of the Employment Tribunal Procedure Rules 2024, in materially the same terms. [Back] Note 2 It was agreed that the claim had been presented before the applicability of the Brussels Regulation had been removed by the relevant Brexit related legislation. [Back]