At the Tribunal | |
On 24 May 2019 | |
Before
THE HONOURABLE MR JUSTICE LAVENDER
(SITTING ALONE)
UKEAT/0094/18/LA
APPELLANT | |
(2). NATIONAL GRID PLC |
RESPONDENT |
Transcript of Proceedings
JUDGMENT
For the Appellant | MR DESHPAL PANESAR (of counsel) Adecco Group Legal Services Millenium Bridge House 2 Lambeth Hill London EC4V 4BG |
For the Respondents | No appearance or representation by or on behalf of the Respondents |
SUMMARY
PRACTICE AND PROCEDURE - Amendment
There was no error of law on the part of the Employment Tribunal in deciding to permit the amendment of the claim form and the addition of a second respondent to:
(1) the original claim, which was brought in time against the original respondent; and
(2) a new claim, which the Employment Tribunal found was brought in time against both respondents.
THE HONOURABLE MR JUSTICE LAVENDER
Introduction
(2) Background
(1) On a number of occasions in October 2016 the Claimant: (i) failed to attend National Grid's premises as agreed; and (ii) displayed an uncooperative attitude and behaviour.
(2) There was a meeting on 1 November 2016 attended by Annette Edmonds and Kirsten Pickering of National Grid and a representative of Pontoon. The Claimant was rude and aggressive and was asked to refrain from his duties and to leave National Grid's premises.
(2)(a) The Letter Before Action
(1) Even if the Claimant had made a protected disclosure, his assignment was not terminated as a result of a protected disclosure.
(2) "We are advised that there are a number of contributing factors which led to the termination of your assignment. However, the salient factors were; (a) your poor timekeeping, (b) your habit of promoting your own company during working hours rather than focussing on your work, (c) uncooperative attitude and behaviour towards National Grid staff and (d) the fact that a full time member of staff became available to assume your duties."
(3) Pontoon terminated the Assignment upon National Grid's request by giving the Claimant two weeks' notice, which Pontoon claimed was in accordance with the Contract.
(2)(b) The Alleged Blacklisting
(1) He did not believe that this comment by one employee was sufficient to support a claim against Pontoon.
(2) He was not aware until May 2017 of the connection between Pontoon and the Adecco Group.
(3) Documents provided by Pontoon in August 2017 pursuant to a subject access request confirmed that instructions had been given by senior management within Pontoon/Adecco which percolated across the whole Adecco group not to engage the Claimant.
(2)(c) The Claim Form
"I whistle blew on concerns about the security of a new SMART metering service being launched in Nov 2016 within 24 hours I was called into a meeting given my notice with immediate effect. When I cited the public disclosure act as I had in the emails on the previous day 31/10/2016 I was asked to leave the organisation, stay at home and not conduct any work for them, within c5 days I was given my notice."
"I joined National Grid on the 27/9/2016.
Within 2 weeks I noticed that there were minimal security provisions for technology, information protection and safety of consumers for the launch of a new SMART meter rollout by NG.
I raised these concerns with my line manager, Raminder, the commercial lead – Annette who indicated there had been a contractor security advisors on the project for over the past 10 months.
On requesting documentation to support the previous contractors advice nothing was provided.
I then created a document highlighting the risks to launching the new service, to the information to the consumers…
This was in effect ignored with a view to address these issues post live.
When communicated this to senior management on 31/10/16 I was asked to attend a meeting on 1/11/16 where as was told my contract was terminated with immediate effect.
On citing the email of the 31/10/16 which clearly indicated a public disclosure the two NG staff asked me to leave the premises and they would be in touch (Annette and Kirstine).
5 days later I was given my notice period. NG indicate a permanent member of staff had taken over the role.
As this role had been done for 10+ months contractors this was unlikely. In Jan 2017 the same role was re-advertised. Advert can be issued to the tribunal.
I contacted a senior executive at NG who confirmed this role had been re-advertised and was in the process of being filled. Date 13/1/17 issued by Kerri Matthews.
I believe my contract which should have ran for many months was terminated due to the whistleblowing as it incriminated specific NG staff Who did not take the steps ensuring consumer data, technology and NG reputation from being compromised."
(2)(d) The Preliminary Hearings and the Draft Amended Statement of Claim
(2)(e) The Amendment Judgment
(1) The claim as originally pleaded against National Grid was described as the "unlawful termination of contract" claim. The Claimant sought permission to add Pontoon as a respondent to that claim.
(2) The Claimant also sought permission to add a claim against National Grid arising out of his alleged blacklisting. The Tribunal referred to that as the "detriment" claim. The Tribunal gave permission to the Claimant to add the detriment claim against National Grid, and there has been no appeal against that decision.
(3) The Claimant also sought permission to add Pontoon as a respondent to the detriment claim.
(2)(e)(i) The Termination Claim
(1) In paragraphs 19 and 20, the Tribunal said as follows:
"19. Pontoon oppose the application. In respect of the termination of the contract with GSI by Pontoon, it was conceded that the amendment would have little effect on the overall length and cost of proceedings as the point engages the same evidence as the in time claim already pleaded against the First Respondent.
20. However, Pontoon submits that the application to amend to include a claim for detriment is a new and substantial cause of action which is also substantially out of time. The claimant was aware of the comment that he had been blacklisted on 11th January 2017 and could have brought a new claim within the statutory time limit which expired on 10th April 2017. No reasonable explanation had been given for the delay in making the application to amend and several opportunities to make an earlier application had not been taken – for example the filing of the original ET1 in February 2017, the preliminary hearing in May 2017. The prejudice to Pontoon includes the cost of defending the new claim, time and expense in making further disclosure and the taking of statements from witnesses implicated in the allegation of blacklisting. The Appellant had drafted his amended pleading in June 2017 and reference thereafter to SAR disclosure is irrelevant."
(2) In paragraph 25, the Tribunal said as follows:
"Pontoon do not dispute that they were fully aware of the alleged protected disclosures made in October 2016. I find that it is highly likely to be the case that Pontoon was instructed by the First Respondent to terminate its contract with GSI regarding the provision of the claimant's services to the First Respondent. Pontoon must have been aware throughout (although the claimant was not aware until September 2017) that the claimant had been 'blacklisted' across the Adecco group of companies. Pontoon were aware of the claimant's wish to add Pontoon as a second respondent by 10th May 2017 when it received his case management agenda for the preliminary hearing case management on 22nd May 2017. It could have come as no surprise to Pontoon that there was such an application by the claimant. They must have been expecting such an application having been already expressly referred to in the ET1 as being present at the termination meeting and escorting the claimant from the premises. The amended pleading dated about 8th June 2017 also could not therefore have been a surprise to Pontoon, both as to the being joined as the second respondent and the allegation of detriment."
(3) In paragraph 27, the Tribunal said as follows:
"27. With regard to the first amendment relating to Pontoon terminating the engagement, as Pontoon were already referred to in the ET1, I allow the amendment."
(2)(e)(ii) The Detriment Claim: Limitation
"An employment tribunal] shall not consider a complaint under this section unless it is presented—
(a) before the end of the period of three months beginning with the date of the act or failure to act to which the complaint relates or, where that act or failure is part of a series of similar acts or failures , the last of them, or
(b) within such further period as the tribunal considers reasonable in a case where it is satisfied that it was not reasonably practicable for the complaint to be presented before the end of that period of three months."
(1) It was not reasonably practicable for the Claimant to file proceedings by 10 April 2017.
(2) He did not delay unreasonably thereafter.
(2)(e)(iii) The Detriment Claim: Discretion
"42. As I have stated above, Pontoon must have anticipated being joined to the proceedings on the question of dismissal as they had the contractual connection to the claimant and his personal service company GSI. It must have been a surprise initially that they were not a respondent to the original claim. Furthermore, if as the claimant submits, it is true that Pontoon were blacklisting the claimant then they could and should have anticipated that they would also in due course be party to the proceedings for detriment caused by their alleged conduct.
43. I have read and taken into account the submissions ably made by Mr Hayes on behalf of Pontoon. I do not accept that the addition of the detriment necessarily will result in the substantive hearing of 5 days 19th-23rd March 2017 being too short. I am satisfied that there is an arguable claim against Pontoon/Adecco; much of the evidence relating to the termination of the claimant's engagement would be heard in any event and a substantial degree of disclosure has already taken place through the SAR relating to the detriment claim.
44. In conclusion, had I found that the application to amend was out of time, I would not hesitate to find that the hardship and injustice to the claimant of not allowing the claim would far outweigh the hardship and injustice to Pontoon in allowing the claim for the reasons stated above."
(2)(f) The Reconsideration Judgment
"8. The complaint of termination of claimant's services in response to raising a whistleblowing complaint was expressly referred to in the ET1. The ET1 was filed in time complaining of dismissal, albeit filed against the wrong respondent.
9. The second respondent was added to the proceedings on 16th November 2017 at the preliminary hearing. No objection has been made in relation to the addition of the second respondent. It begs the question what was the second respondent added to the proceedings for in relation to the original ET1, if not for the termination of the claimant's services? Time limits do not apply where the complaint, which is not a new head of claim relates back to the original in time claim form. In any event short submissions on the First Amendment were heard, with the bulk of submissions relating to the Second Amendment.
10. Furthermore, and in the alternative, allowing the claim of 'dismissal' against the second respondent is effectively correctly substituting the second respondent for the first respondent in respect of the dismissal of the claimant's services. Again, the claim is therefore not a new head of claim, it relates back to the original claim form which was submitted in time. The first respondent still remains answerable to the allegation of detriment in that they instructed the second respondent to terminate the claimant's services which constitutes a detriment.
11. In the further alternative, if the First Amendment application is out of time, as both First and Second Amendments are detriments and are inextricably linked, I would unhesitatingly allow the First Amendment based on the reasons applying to the Second Amendment set out in paragraphs 39-42 and 44 namely that the balance of injustice and hardship between the claimant and second respondent clearly falls in favour of the claimant."
(3) The Law
(1) to allow an amendment which introduces a new claim out of time: see Transport and General Workers Union v. Safeway Stores Limited (2007) 6 June, UKEAT/0092/07/LA; and
(2) to add a respondent to a claim after the time limit for commencing that claim has expired: see Gillick v BP Chemicals Ltd [1993] IRLR 43; and Drinkwater Sabey Ltd v Burnett [1995] ICR 328.
"The Tribunal may on its own initiative, or on the application of a party or any other person wishing to become a party, add any person as a party, by way of substitution or otherwise, if it appears that there are issues between that person and any of the existing parties falling within the jurisdiction of the Tribunal which it is in the interests of justice to have determined in the proceedings; and may remove any party apparently wrongly included."
"(4). Whenever the discretion to grant an amendment is invoked, the tribunal should take into account all the circumstances and should balance the injustice and hardship of allowing the amendment against the injustice and hardship of refusing it.
(5). What are the relevant circumstances? It is impossible and undesirable to attempt to list them exhaustively, but the following are certainly relevant.
(a). The nature of the amendment. Applications to amend are of many different kinds, ranging, on the one hand, from the correction of clerical and typing errors, the addition of factual details to existing allegations and the addition or substitution of other labels for facts already pleaded to, on the other hand, the making of entirely new factual allegations which change the basis of the existing claim. The tribunal have to decide whether the amendment sought is one of the minor matters or is a substantial alteration pleading a new cause of action.
(b). The applicability of time limits. If a new complaint or cause of action is proposed to be added by way of amendment, it is essential for the tribunal to consider whether that complaint is out of time and, if so, whether the time limit should be extended under the applicable statutory provisions, e.g., in the case of unfair dismissal, section 67 of the Employment Protection (Consolidation) Act 1978.
(c). The timing and manner of the application. An application should not be refused solely because there has been a delay in making it. There are no time limits laid down in the Regulations of 1993 for the making of amendments. The amendments may be made at any time — before, at, even after the hearing of the case. Delay in making the application is, however, a discretionary factor. It is relevant to consider why the application was not made earlier and why it is now being made: for example, the discovery of new facts or new information appearing from documents disclosed on discovery. Whenever taking any factors into account, the paramount considerations are the relative injustice and hardship involved in refusing or granting an amendment. Questions of delay, as a result of adjournments, and additional costs, particularly if they are unlikely to be recovered by the successful party, are relevant in reaching a decision."
(4) Ground 1: The Termination Claim
"The ET erred at paragraph 27 in granting the Claimant leave to amend to add a claim of termination of his contract for having made protected disclosures, without having considered the matters required for amendment as set out in Selkent Bus Co. v Moore [1996] IRLR 661.
3. The ET's reasons and decision are at paragraphs 19-27.
The ET do not perform the exercise of balancing the prejudice and injustice to the parties of permitting the amendment. Save for noting at paragraph 20, R2's submission that they are prejudiced by the amendment, that exercise is not carried out.
Furthermore, the ET do not determine whether the claim of termination is a new claim against R2 (as opposed to a re-labelling). In the alternative, if they find it was not, they erred in so doing, as it is plainly a new claim against R2.
Thirdly, (and in consequence of (b)), this being a new claim against R2, the ET fail to consider whether the claim was brought in time as required by Selkent. For the avoidance of doubt the claim form was provided in June 2017 in relation to a termination that occurred in November 2016 and was plainly out of time with no reasonable basis for the extension of time."
(5) Ground 3: The Blacklisting Claim: Discretion
"The ET erred at paragraphs 39-41 in finding that limitation notwithstanding it would have permitted in the Claimants amendment.
5. In so finding the ET (a) Fail to actually balance the prejudice and injustice to the parties (b) in the alternative if they did so, failing to take into account the relevant matters required by Selkent."
(6) Ground 4: The Reconsideration Judgment
"The ET erred in law in failing to reconsider its decision granting leave to amend it its decision on reconsideration sent to the parties on 16th February 2017.
6. Notwithstanding the above errors having been brought to their attention the ET failed to correct the said errors on reconsideration of their judgment, in which they are submitted to have erred in law as set out above."
(7) Conclusion