Energy company to appeal tribunal ruling

​BRITISH Energy is to appeal a tribunal ruling which could affect hundreds of staff employed by the company at its Gloucestershire operation.

The judgment at Bristol employment tribunal (judgment delivered 12 July 2010) means workers currently described as ‘contractors’ might be entitled to employment rights and benefits such as holiday and sick pay and maternity benefits.

The company is estimated to have as many 1,700 staff at its Barnwood site with in the region of 200 contractors.

The tribunal claim was brought by Mrs Sarah Lucas of Gloucester against British Energy Generation Limited.

William Morse, employment law partner at Willans, said: “This is a very significant judgment, not only for my client, but also potentially for a great many other workers labelled as contractors.

“It is possible that a number of workers at the British Energy sites may be entitled to the same recognition of their employment status and to the statutory entitlements that go with it, such as accumulated holiday and sick pay.”

A spokesman for British Energy, which became part of EDF in 2009, said: “We are disappointed with the decision of the tribunal hearing. We believe we have good grounds for, and will be lodging, an appeal. In view of this it would be inappropriate to comment further.”

Mrs Lucas worked as an administrator for the company for more than six years until June 2009 and subsequently brought a claim for unfair dismissal and equal pay.

At the hearing, British Energy and Morson Human Resources Limited, a British Energy service provider, claimed that Sarah Lucas was not an employee of British Energy but merely provided work for them as an independent contractor,

They argued that her status as a contractor, for some of the time providing her services through a limited company, had been confirmed by written agreements.

However, in reaching its decision, the tribunal unanimously concluded that, as a matter of law, the working relationship between Sarah Lucas and British Energy had in fact “become a relationship of employer and employee”.

This means that Mrs Lucas, who was represented by Cheltenham law firm Willans LLP, can now proceed with her employment claims.