Parliamentary
Archives,
HL/PO/JU/18/248
Pickstone and others (Respondents)
v.
Freemans
plc (Appellants)
JUDGMENT
Die Jovis 30° Junii 1988
Upon Report from the Appellate Committee to
whom was
referred the Cause Pickstone and others against Freemans
plc,
That the Committee had heard Counsel on Monday the
9th,
Tuesday the 10th, Wednesday the 11th and Thursday the
12th
days of May last upon the Petition and Appeal of Freemans
plc,
of 139 Clapham Road, London, SW9 OHR, praying that the
matter
of the Order set forth in the Schedule thereto, namely
an
Order of Her Majesty's Court of Appeal of the 25th day of
March
1987, might be reviewed before Her Majesty the Queen in
Her Court
of Parliament and that the said Order might be
reversed, varied or
altered or that the Petitioners might have
such other relief in
the premises as to Her Majesty the Queen
in Her Court of
Parliament might seem meet; as upon the Case
of Mrs. I Pickstone,
Mrs. A. Hepburn, Mrs. P. J. Woolner, Mrs.
C. E. Fyffe and Mrs. R.
Roberts lodged in answer to the said
Appeal; and due consideration
had this day of what was offered
on either side in this Cause:
It is Ordered and Adjudged, by
the Lords Spiritual and
Temporal in the Court of Parliament of Her
Majesty the Queen
assembled, That the said Order of Her Majesty's
Court of
Appeal (Civil Division) of the 25th day of March
1987
complained of in the said Appeal be, and the same is
hereby,
Affirmed and that the said Petition and Appeal be, and
the
same is hereby, dismissed this House: And it is
further
Ordered, That the Appellants do pay or cause to be
paid to the
said Respondents the Costs incurred by them in respect
of the
said Appeal, the amount thereof to be certified by the
Clerk
of the Parliaments if not agreed between the parties.
Cler: Asst. Parliamentor
Judgment: 30.6.88
HOUSE OF LORDS
PICKSTONE AND OTHERS
(RESPONDENTS)
v.
FREEMANS PLC.
(APPELLANTS)
Lord Keith of
Kinkel
Lord Brandon of Oakbrook
Lord
Templeman
Lord Oliver of Aylmerton
Lord Jounce of Tullichettle
LORD KEITH OF KINKEL
My Lords,
Under the Equal Pay Act 1970, as
brought into force with
amendments on 29 December 1975, a woman
employee could claim
parity of pay with a male employee in the
same establishment
only where she was employed on like work with
the man or where
she was employed on work rated as equivalent with
that of the
man. That was the effect of section 1(1) and (2) of
the Act,
providing:
"1(1) If the terms of a
contract under which a woman is
employed at an establishment in
Great Britain do not
include (directly or by reference to a
collective agreement
or otherwise) an equality clause they shall
be deemed to
include one. (2) An equality clause is a provision
which
relates to terms (whether concerned with pay or not) of
a
contract under which a woman is employed (the
"woman's
contract"), and has the effect that - (a)
where the woman is
employed on like work with a man in the same
employment
- (i) if (apart from the equality clause) any term of
the
woman's contract is or becomes less favourable to the
woman
than a term of a similar kind in the contract under
which that man
is employed, that term of the woman's
contract shall be treated as
so modified as not to be less
favourable, and (ii) if (apart from
the equality clause) at
any time the woman's contract does not
include a term
corresponding to a term benefiting that man
included in the
contract under which he is employed, the woman's
contract
shall be treated as including such
a term; (b) where the
woman is employed on work rated as
equivalent with that of
a man in the same employment - (i) if
(apart from the
equality clause) any term of the woman's
contract
determined by the rating of the work is or becomes
less
favourable to the woman than a term of a similar kind in
the
contract under which that man is employed, that term
of the
woman's contract shall be treated as so modified as
not to be less
favourable, and (ii) if (apart from the
equality clause) at any
time the woman's contract does not
include a term corresponding to
a term benefiting that man
included in the contract under which he
is employed and
determined by the rating of the work, the woman's
contract
shall be treated as including such a term."
By virtue of section 1(5) a
woman's work could only be rated as
equivalent with that of a man
if her job and his job had been
given an equal value, according to
certain criteria, on a job
evaluation study. A job evaluation
study could not be carried out
otherwise than with the consent of
the employer.
The Commission of the European
Community took the view
that this state of the law did not comply
with the obligation of
the United Kingdom Government to implement
Article 119 of the
Treaty of Rome, enjoining application of the
principle that men
and women should receive equal pay for equal
work, together with
the Equal Pay Directive adopted by the Council
of Ministers of
the Community on 10 February 1975. The Commission
accordingly
applied to the European Court of Justice for a
declaration that
the United Kingdom had failed to obtemper this
obligation in
respect that it had not adopted measures enabling
women to obtain
equal pay for equal work in circumstances where
there had been
no job evaluation study. The European Court of
Justice sustained
the Commission's claim. It made a declaration
that:
"By failing to introduce into
its national legal system in
implementation of the provisions of
Council Directive
(75/117/E.E.C.) of February 10 1975 such
measures as are
necessary to enable all employees who consider
themselves
wronged by failure to apply the principle of equal pay
for
men and women for work to which equal value is attributed
and
for which no system of job classification exists to
obtain
recognition of such equivalence, the United Kingdom
has failed to
fulfil its obligations under the Treaty." See
Commission
v. United Kingdom [1982] (Case 61/81) I.C.R.
578, 599.
The United Kingdom Government took
steps to correct the
defect in its equal pay legislation
identified in the judgment of the
European Court. Section 2(2)(a)
of the European Communities Act
1972 provides:
"Subject to Schedule 2 to
this Act, at any time after its
passing Her Majesty may by Order
in Council, or any
designated Minister or department may by
regulations, make
provision - (a) for the purpose of
implementing any
Community obligation, or enabling any such
obligation to be
implemented, or of enabling any rights enjoyed or
to be
enjoyed by the United Kingdom under or by virtue of
the
Treaties to be exercised; ..."
- 2 -
Schedule 2 to the Act contains
general provisions as to subordinate
legislation, including, in
paragraph 2(2) a provision making subject
to annulment by
resolution of either House of Parliament any
statutory instrument
containing regulations made without a draft
having been approved
by resolution of each House.
So the Secretary of State for
Employment made a draft
which was introduced as the Equal Pay
(Amendment) Regulations
1983 (S.I. 1983 No. 1794) in the House of
Commons on 20 July
1983 and in the House of Lords on 5 December
1983. Both
Houses approved the draft albeit, in the case of the
House of
Lords, subject to a reservation. Quotations from the
speech of
the Under Secretary of State for Employment, initiating
the debate
in the House of Commons, are to be found in the speech
of my
noble and learned friend Lord Templeman. Regulation
2(1)
provides:
"In subsection (2) of section
1 of the Equal Pay Act 1970
(equality clauses to be implied into
contracts of
employment), after paragraph (b) there shall
be inserted the
following paragraph:- (c) where a woman is
employed on
work which, not being work in relation to which
paragraph
(a) or (b) above applies, is, in terms of
the demands made
on her (for instance under such headings as
effort, skill and
decision), of equal value to that of a man in
the same
employment - (i) if (apart from the equality clause)
any
term of the woman's contract is or becomes less favourable
to
the woman than a term of a similar kind in the contract
under
which that man is employed, that term of the
woman's contract
shall be treated as so modified as not to
be less favourable, and
(ii) if (apart from the equality
clause) at any time the woman's
contract does not include a
term corresponding to a term
benefiting that man included
in the contract under which he is
employed, the woman's
contract shall be treated as including such
a term."
Regulation 3 introduced into the
Act of 1970 a new section 2A
prescribing the procedure to be
followed before an industrial
tribunal where a dispute arises as
to whether any work is of equal
value. The procedure may involve
obtaining a report from an
independent expert who is a member of a
panel designated by
A.C.A.S.
In the present case the
respondent, Mrs. Pickstone, who is
employed by the appellant
employers as a "warehouse operative,"
claims that her
work as such is of equal value with that of a
man, Mr. Phillips,
who is employed in the same establishment as a
"checker
warehouse operative," and who is paid £4.22 per week
more
than she is paid. However, it happens to be the fact that
one man
is employed in the establishment as a warehouse
operative doing
the same work as Mrs. Pickstone. The employers
maintain that the
existence of this fact precludes Mrs. Pickstone
from claiming
equal pay with Mr. Phillips under section l(2)(c) of
the
Act of 1970 as amended, notwithstanding that she may be
performing
work of equal value with his and notwithstanding that
the
difference in pay may be the result of discrimination on
grounds
of sex.
- 3 -
This argument is based on the
words in paragraph (c) "not
being work in relation to
which paragraph (a) or (b) above applies."
The
employers say that the work on which Mrs. Pickstone is
employed is
work to which paragraph (a) applies because it is like
work
with a man in the same employment, namely the one male
warehouse
operative. So Mrs. Pickstone's work does not qualify
under
paragraph (c).
The question is whether the
exclusionary words in paragraph
(c) are intended to have
effect whenever the employers are able
to point to some man who is
employed by them on like work with
the woman claimant within the
meaning of paragraph (a) or work
rated as equivalent with
hers within the meaning of paragraph (b),
or whether they
are intended to have effect only where the
particular man with
whom she seeks comparison is employed on
such work. In my opinion
the latter is the correct answer. The
opposite result would leave
a large gap in the equal work
provision, enabling an employer to
evade it by employing one token
man on the same work as a group of
potential women claimants
who were deliberately paid less than a
group of men employed on
work of equal value with that of the
women. This would mean
that the United Kingdom had failed yet
again fully to implement
its obligations under article 119 of the
Treaty and the Equal Pay
Directive, and had not given full effect
to the decision of the
European Court in Commission v. United
Kingdom [1982] I.C.R.
578. It is plain that Parliament cannot
possibly have intended
such a failure. The draft Regulations of
1983 were presented to
Parliament as giving full effect to the
decision in question. The
draft Regulations were not subject to
the Parliamentary process of
consideration and amendment in
Committee, as a Bill would have
been. In these circumstances and
in the context of section 2 of
the European Communities Act 1972 I
consider it to be entirely
legitimate for the purpose of
ascertaining the intention of
Parliament to take into account the
terms in which the draft was
presented by the responsible Minister
and which formed the basis
of its acceptance. The terms in which
it was presented to the
House of Commons are set out in the speech
of my noble and
learned friend Lord Templeman. Much the same was
said before
the House of Lords. There was no suggestion that
the
exclusionary words in paragraph (c) were intended to
apply in any
other situation than where the man selected by a
woman
complainant for comparison was one in relation to whose
work
paragraph (a) or paragraph (b) applied. It may
be that, in order to
confine the words in question to that
situation, some necessary
implication falls to be made into their
literal meaning. The
precise terms of that implication do not seem
to me to matter.
It is sufficient to say that the words must be
construed
purposively in order to give effect to the manifest
broad intention
of the maker of the Regulations and of Parliament.
I would
therefore reject the appellant's argument.
In the circumstances it is
unnecessary to consider the
ground upon which the Court of Appeal
found in favour of the
respondents, namely that article 119 was
directly enforceable in
such a way as to enable their claim to be
supported irrespective
of the true construction of the Regulations
of 1983.
My Lords, for these reasons and
those given by my noble
and learned friends Lord Templeman and
Lord Oliver of Aylmerton,
I would dismiss the appeal.
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LORD BRANDON OF OAKBROOK
My Lords,
I have had the advantage of
reading in draft the speeches
prepared by my noble and learned
friends, Lord Keith of Kinkel,
Lord Templeman and Lord Oliver of
Aylmerton. I agree with
them that, in order to give effect to the
purpose for which
section l(2)(c) of the Equal Pay Act 1975
was enacted, it should
be construed in the manner which they have
indicated. I would
accordingly affirm the decision of the Court of
Appeal, though on
different grounds, and dismiss the appeal.
LORD TEMPLEMAN
My Lords,
The appellants, Freemans Plc.
("the employers") conduct a
mail order business. The
respondents are five women who work
for the employers as
"warehouse operatives;" their basic weekly
wage is
£77.66. Mr. Phillips is a man who works for the
employers as
a "checker warehouse operative;" his basic weekly
wage
is £81.88. The respondents assert that the work carried out
by
the respondents is equal in value to the work of Mr. Phillips
in
terms of the demands, effort, skill and decision-making
involved.
The respondents say that the difference of £4.22
between the
respondents' pay and the pay of Mr. Phillips is due to
the
difference of sex; the respondents are paid less because they
are
women. The respondents complained to an industrial tribunal
that
they were the victims of sex discrimination, contrary to
the
provisions of the Equal Pay Act 1970 and contrary to
Community
law. When the complaints of the respondents came before
the
tribunal, investigation might have shown that there was
no
discrimination, that the work of Mr. Phillips was of greater
value
than the work of the respondents or that for some other
reason
the difference between the pay of Mr. Phillips and the pay
of the
respondents was not due to the difference of sex. By
agreement
between the parties however, the industrial tribunal was
asked to
decide a preliminary point of law which is the subject of
this
appeal on assumed facts. The assumptions are that
the
respondents are factually correct in their complaint; that the
work
of the respondents is equal in value to the work of Mr.
Phillips;
that the respondents are paid £4.22 less on the
grounds of
difference of sex and for no other reason; that, in
short, the
respondents are the victims of discrimination. It is
unlawful under
British law and under Community law for an employer
to
discriminate against a woman by paying her less than a man if
the
work of the woman is the same as or is equal in value to
the
work of the man. Nevertheless, the employers contend that
under
British law and under Community law, the respondents have
no
right to or, alternatively, no remedy for the discrimination
which
on the assumed facts is practised by the employer against
the
- 5 -
respondents and in favour of Mr.
Phillips. The employers'
argument is based on the fact that it so
happens that one of the
employer's warehouse operatives is a man,
doing the same work as
the respondents. According to the employers
this fact makes all
the difference. The respondents are entitled
to complain if they
are discriminated against by reason of the
fact that they are not
paid the same as the man who does the same
work. Therefore, it
is argued, the respondents are not entitled to
complain if they are
discriminated against by reason of the fact
that they are not paid
the same as Mr. Phillips who does work of
equal value. The
employers admit that if there were 15 warehouse
operators and all
the warehouse operators were women, paid £77.66,
for work equal
in value to the work of 10 checker warehouse
operatives, all men,
paid £81.88 and the difference was due
to difference in sex, the
respondents would be entitled to an
increase in pay of £4.22. But
the employers claim that if
there were 14 women warehouse
operatives, one male warehouse
operative, and 10 checker
warehouse operatives the respondents
would be obliged to rest
content with £77.66 and would have
no remedy for the admitted
discrimination based on difference in
sex. The Industrial Tribunal
and the Employment Arbitration
Tribunal accepted the argument of
the employers. The Court of
Appeal (Purchas and Nicholls L.JJ.
and Sir Roualeyn Cumming-Bruce)
decided that under Community
law the respondents had an
enforceable right on the assumed facts
to equal pay with Mr.
Phillips for work of equal value. The
employers appeal to this
House.
For the purposes of determining
this appeal, it will be
necessary to consider British law and
Community law as they
interact one upon the other.
The Equal Pay Act 1970 was enacted
on 29 May 1970.
Section 1 directed that:
"(1) The provisions of this
section shall have effect with a
view to securing that employers
give equal treatment as
regards Terms and conditions of employment
to men and to
women, that is to say that ... - (a) for men
and women
employed on like work the terms and conditions of one
sex
are not in any respect less favourable than those of
the
other; and (b) for men and women employed on work
rated
as equivalent . . . the terms and conditions of one sex
are
not less favourable than those of the other in any respect
in
which the terms and conditions of both are determined by
the
rating of their work . . . . "
Under section 1 of the Act of
1970, as originally enacted,
the fact that a woman and a man were
engaged on like work did
not debar the woman from claiming parity
with another man whose
work was rated as equivalent to the work of
the woman.
On 1 January 1973 the United
Kingdom became a Member
of the European Community. By article 5 of
the European
Community Treaty, the United Kingdom became bound to
take all
appropriate measures to give effect to obligations
arising under the
Treaty or as a result of actions taken by
Community institutions.
At the date when the United Kingdom became
a Member of the
European Economic Community, the Act of 1970 was
not in
operation because the commencement of the Act had
been
postponed until 1975.
- 6 -
Article 119 of the European Economic Treaty directs that:
"Each Member State shall . .
. ensure and subsequently
maintain the application of the
principle that men and
women should receive equal pay for equal
work."
The width of this principle is not
susceptible to dissection
so as to sanction discrimination in pay
against women in some
circumstances but not in others.
On 10 February 1975 the Council of
Ministers of the
Community, the institution responsible for
Community legislation,
adopted the Equal Pay Directive
(75/117/E.E.C.). The Equal Pay
Directive recited that article 119
of the Treaty is an integral part
of the establishment and
functioning of the Common Market and
that national provisions
should be approximated as regards
application of the principle of
equal pay. The Directive, so far as
relevant, provided as follows:
"Article 1. The principle of
equal pay for men and women
outlined in article 119 of the Treaty,
hereinafter called
'principle of equal pay', means, for the same
work or for
work to which equal value is attributed, the
elimination of
all discrimination on grounds of sex with regard to
all
aspects and conditions of remuneration ....
"Article 2. Member states
shall introduce into their
national legal systems such measures as
are necessary to
enable all employees who consider themselves
wronged by
failure to apply the principle of equal pay to pursue
their
claims by judicial process after possible recourse to
other
competent authorities ....
"Article 4. Member states
shall take the necessary
measures to ensure that provisions
appearing in collective
agreements, wage scales, wage agreements
or individual
contracts of employment which are contrary to the
principle
of equal pay shall be, or may be declared, null and void
or
may be amended."
The Equal Pay Directive ordered
the elimination of all
discrimination on grounds of sex with
regard to all aspects and
conditions of remuneration for the same
work or for work to
which equal value is attributed. This
Directive also is inconsistent
with the proposition that in some
circumstances discrimination
which deprives a woman of equal pay
with a man for work of
equal value may be sanctioned by one or
more member states.
The logic of article 119 and of the Equal Pay
Directive is that
one member state cannot permit some forms of
discrimination in
relation to pay in some circumstances while
other member states
forbid all forms of discrimination in all
circumstances. In
Defrenne v. Sabena [1976] ICR 547 the
European Court of
Justice confirmed this logic in the following
paragraphs of their
ruling, at p. 565, dealing with the direct
effect of article 119:
"8. Article 119 pursues a double aim.
- 7 -
"9. First, in the light of
the different stages of the
development of social legislation in
the various member
states, the aim of article 119 is to avoid a
situation in
which undertakings established in states which have
actually
implemented the principle of equal pay suffer a
competitive
disadvantage in intra-community competition as
compared
with undertakings established in states which have not
yet
eliminated discrimination against women workers as
regards
pay.
"10. Secondly, this provision
forms part of the social
objectives of the community, which is not
merely an
economic union, but is at the same time intended,
by
common action, to ensure social progress and seek the
constant
improvement of the living and working conditions
of their peoples,
as is emphasised by the preamble to the
Treaty."
In the United Kingdom, the Act of
1970 was amended by
the Sex Discrimination Act 1975 and came into
force on 29
December 1975. By section 1(1) of the Act of 1970 as
amended
in 1975 by section 8(1) of the Sex Discrimination Act
1975:
"If the terms of a contract
under which a woman is
employed at an establishment in Great
Britain do not
include ... an equality clause they shall be deemed
to
include one."
By section 1(2) an equality clause
modifies any term in a
woman's contract which is less favourable
than a term of a similar
kind in the contract of man:
"(a) where the woman
is employed on like work with a man
in the same employment - . . .
;
(b) where the woman is
employed on work rated as
equivalent with that of a man in the
same employment . . .
"
Section l(2)(a) entitles a
woman to receive equal pay for
"like work" and
corresponds to Community law which requires
equal pay "for
the same work." Section l(2)(b) entitles a woman
to
receive equal pay for "work rated as equivalent" and
was
thought by the United Kingdom Government to correspond
to
Community law which requires equal pay for "work to which
equal
value is attributed."
By section 1(3) of the Act of
1970, as amended in 1975, a
variation between a woman's contract
and a man's contract does
not require to be modified "if the
employer proves that the
variation is genuinely due to a material
factor which is not the
difference of sex." This provision
gives effect to Community law
which applies the principle of equal
pay only for the purpose of
eliminating discrimination on grounds
of sex.
When a claim is made for equal pay
for like work under the
Act of 1970, then by section 1(4) of that
Act as amended in 1975:
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"A woman is to be regarded as
employed on like work with
men if, but only if, her work and
theirs is of the same or a
broadly similar nature, and the
differences (if any) between
the things she does and the things
they do are not of
practical importance in relation to terms and
conditions of
employment; and accordingly in comparing her work
with
theirs regard shall be had to the frequency or otherwise
with
which any such differences occur in practice as well as
to the
nature and extent of the differences."
Where a claim is made for equal
pay for work rated as
equivalent with that of a man, then, by
section 1(5):
"A woman is to be regarded as
employed on work rated as
equivalent with that of any men if, but
only if, her job and
their job have been given an equal value, in
terms of the
demand made on a worker under various headings
(for
instance effort, skill, decision), on a study undertaken with
a
view to evaluating in those terms the jobs to be done by all
or
any of the employees in an undertaking or group of
undertakings,
or would have been given an equal value but
for the evaluation
being made on a system setting different
values for men and women
on the same demand under any
heading."
By section 2(1) of the Act of 1970
as amended in 1975, any claim
under an equality clause, including
a claim for arrears of
remuneration or damages, may be presented
by way of complaint
to an industrial tribunal.
Where a woman complains of
discrimination, she is entitled
to compare her pay and work with
the pay and work of any man
in the same employment. In Ainsworth
v. Glass Tubes &
Components Ltd. [1977] I.C.R. 347, a
woman complained of
discrimination in favour of a male inspector
who worked alongside
her. The Employment Arbitration Tribunal held
that the industrial
tribunal erred in law by declining to compare
the claimant with
the man who worked beside her and insisting on
comparing the
claimant with some other male inspector.
Thus the position at the end of
1975 was that in Community
law the respondents were entitled to
equal pay with Mr. Phillips if
the work of the respondents was
work to which equal value was
attributed. In British law under the
Act of 1970 as amended in
1975, the respondents were entitled to
equal pay with Mr. Phillips
if the work of the respondents was
rated as equivalent. The fact
that the employers did or did not
discriminate against the
respondents in favour of another man
engaged on like work did not
deprive the respondents of a remedy
if the respondents were
entitled to equal pay with Mr. Phillips,
The United Kingdom Government took
the view that sections
1 and 2 of the Act of 1970, as amended in
1975, complied with
the obligations of the United Kingdom under
the Equal Pay
Directive. The Commission of the Community as the
institution
entitled to arraign a Member State before the European
Court of
Justice for failure to comply with Community law
considered that
the Act of 1970 as amended in 1975, was defective
in one respect.
By section l(2)(b) and section 1(5) a woman
employed on work of
- 9 -
equal value to the work of a man
could only claim equal pay if a
job evaluation study were carried
out and that job evaluation study
attributed equal work to the job
of the claimant and the job of
the man. A job evaluation study can
only be carried out with the
consent of the employer. A woman who
was not receiving equal
pay for work of equal value could not
therefore pursue a claim for
parity if her employer refused to
consent to a job evaluation study
being carried out. The
Commission considered that the Equal Pay
Directive required that
every woman should be able to obtain
equal pay for equal work
whether there was a job evaluation study
or not. In Commission
of the European Communities v. United
Kingdom [1982] (Case
61/81) I.C.R. 578, the Commission applied to
the European Court of
Justice for a declaration that the United
Kingdom had failed to
fulfil its obligation to adopt laws necessary
to comply with the
Equal Pay Directive. The United Kingdom
Government defended the
proceedings and argued, at p. 590, that
the Equal Pay Directive
did not require:
" ... member states to adopt
measures entitling any
employee to insist upon some form of job
valuation being
carried out in order to determine whether his or
her job is
equal in value to another."
The Commission argued at p. 592 that:
"Article 1 of the Directive
obliges the member states to
adopt the measures needed to enable a
female worker to
argue, for the purpose of combating any
discrimination based
on sex, that two jobs, even though different,
may be of
equal value."
The European Court of Justice decided at p. 598, para. 9:
"... a worker must be
entitled to claim before an
appropriate authority that his work
has the same value as
other work and, if that is found to be the
case, to have the
rights under the Treaty and the Directive
acknowledged by a
binding decision. ..."
It followed, said the European
Court of Justice, at p. 598, para.
11, that the United Kingdom had
not adopted the measures
necessary to comply with the Equal Pay
Directive because "there
is at present no means whereby a
worker who considers that his
post is of equal value to another
may pursue his claims if the
employer refuses to introduce a job
classification system."
The United Kingdom Government took
steps to comply with
the decision of the European Court of Justice
in Commission of
the European Communities v. United Kingdom
[1982] ICR 578.
The Secretary of State for Employment further
amended the Act
of 1970 by the Equal Pay (Amendment) Regulations
1983 (S.I. 1983
No. 1794) made in accordance with a draft approved
by a
resolution of each House of Parliament. These amendments
were
made in exercise of the powers conferred on the Minister
under
section 2(2) and paragraph 2(2) of Schedule 2 to the
European
Communities Act 1972 to make regulations for the purpose
of
implementing any Community obligation of the United
Kingdom
with the approval of a resolution of each House of
Parliament.
- 10 -
Section l(2)(a) of the Act
of 1970 as amended in 1975, was
not further amended by the
Regulations of 1983. Paragraph (a)
enables any woman to claim
equal pay with a man in the same
employment engaged on like work.
By section 1(4) like work is
work of the same or a broadly similar
nature where the
differences in work are not of practical
importance. The issue of
"like work" is decided by the
industrial tribunal.
Section l(2)(b) of the Act
of 1970 as amended in 1975, was
also not further amended by the
Regulations of 1983. Paragraph
(b) enables a woman to claim
equal pay for work rated as
equivalent to that of a man by a job
evaluation study. By section
1(5) the issue of "equivalent
work" is decided by the job evaluation
study. Such a study
can only be carried out with the consent and
cooperation of the
employer.
In compliance with the ruling of
the European Court of
Justice in Commission of the European
Communities v. United
Kingdom [1982] ICR 578, the
Regulations of 1983 introduced
into the Act of 1970 as amended in
1975, a provision which
enables a woman to claim equal pay for
work of equal value
where the employer refuses to consent to a job
evaluation study.
The Regulations introduced into the Act section
l(2)(c) which
modifies any term in a woman's contract which
is less favourable
than a term of a similar kind in the contract
of a man
"(c) where a woman
is employed on work which, not being
work in relation to which
paragraph (a) or (b) above
applies, is, in terms of
the demands made on her (for
instance under such headings as
effort, skill and
decision), of equal value to that of a man in
the
same employment."
The Regulations of 1983 also
introduced into the Act of
1970 as amended in 1975, the following
direction for dealing with
claims under section l(2)(c):
"2A(1) Where on a complaint
or reference made to an
industrial tribunal under section 2 above,
a dispute arises as to
whether any work is of equal value as
mentioned in section l(2)(c)
above the tribunal shall not
determine that question unless -
it is satisfied that
there are no reasonable
grounds for determining that
the work is of
equal value as so mentioned; or
It has required a member
of the panel of
independent experts to prepare a
report with
respect to that question and has received
that
report.
(2) Without prejudice to the
generality of paragraph (a) of
subsection (1) above, there
shall be taken, for the purposes
of that paragraph, to be no
reasonable grounds for
determining that the work of a woman is of
equal value as
mentioned in section l(2)(c) above if -
(a) that work and the work
of the man in question
have been given different values on a
study
such as is mentioned in section 1(5) above; and
- 11 -
(b) there are no reasonable
grounds for determining
that the evaluation contained in the study
was
(within the meaning of subsection (3) below)
made on a
system which discriminates on
grounds of sex.
(3) An evaluation contained in a
study such as is mentioned
in section 1(5) above is made on a
system which
discriminates on grounds of sex where a difference,
or
coincidence, between values set by that system on
different
demands under the same or different headings is
not
justifiable irrespective of the sex of the person on
whom
those demands are made.
(4) In paragraph (b) of
subsection (1) above the reference to
a member of the panel of
independent experts is a
reference to a person who is for the time
being designated
by the Advisory, Conciliation and Arbitration
Service for the
purposes of that paragraph as such a member, being
neither
a member of the Council of that Service nor one of
its
officers or servants."
Thus by section 2A the issue of
"work of equal value" is
determined by the industrial
tribunal if there are no reasonable
grounds for the complaint, or
by a job evaluation study if the
study is not itself
discriminatory and, finally, and only if
necessary, by the
tribunal with the assistance of a report of an
independent expert
appointed by Acas.
According to the employers in the
present appeal, the
Regulations of 1983 had the additional effect
of depriving some
women of the right to pursue their claims by
judicial process or
otherwise although they considered themselves
wronged by failure
to apply the principle of equal pay. The
respondents may have a
valid complaint in that they are not
receiving equal pay with Mr.
Phillips for work of equal value. But
if the respondents seek to
remedy that discrimination under
section l(2)(c) of the Act of 1970
as amended by the
Regulations, they will be debarred because they
are employed on
"work in relation to which paragraph (a) or (b)
above
applies." It is said that paragraph (a) operates, not
because
the respondents are employed on like work with Mr.
Phillips but
because the respondents are employed on like work
with some
other man. Since paragraph (c) is expressed to
apply only when a
woman is employed on work which is not "work
in relation to
which paragraph (a) or (b) above
applies," it follows, so it is said,
that where a woman is
employed on like work with any man or
where a woman is employed on
work rated as equivalent with any
man, no claim can be made under
paragraph (c) in respect of some
other man who is engaged
on work of equal value. In my opinion
paragraphs (a) or (b)
only debars a claim under paragraph (c) where
paragraphs
(a) or (b) applies to the man who is the subject of
the
complaint made by the woman. If the tribunal decide that
the
respondents are engaged "on like work" with Mr.
Phillips then
paragraph (a) applies and the respondents are
not entitled to
proceed under paragraph (c) and to obtain
the report of an Acas
expert. If there is a job evaluation study
which covers the work
of the respondents and the work of Mr.
Phillips then the
respondents are debarred from proceeding under
paragraph (c)
unless the job evaluation study itself was
discriminatory.
- 12 -
Whenever
there is a claim for equal pay, the complainant,
or the
complainant's trade union representative supporting the
claimant,
may wish to obtain a report from an Acas expert under
paragraph
(c) to use for the purpose of general pay bargaining and
in
the hope" of finding ammunition which will lead to a
general
increase in wage levels irrespective of discrimination.
For this
purpose the more Acas reports there are the better. It
may be
significant that in the present case a claim is made
under
paragraph (c) and not under paragraph (a) as
well, or, in the
alternative, although it is obvious that work of
equal value in
terms of the demands made on a woman under such
headings as
effort, skill and decision which may amount to
discrimination under
paragraph (c) may also be work of a
broadly similar nature with
differences of no practical importance
which found a complaint
under paragraph (a). If there is
discrimination in pay the
industrial tribunal must be able to
grant a remedy. But the
remedy available under paragraph (c)
is not to be applied if the
complainant has a remedy in respect of
the male employee with
whom she demands parity under paragraph (a)
or if paragraph (b)
applies to the woman and to that male
employee. To prevent
exploitation of paragraph (c) the
tribunal must decide in the first
instance whether the complainant
and the man with whom she
seeks parity are engaged on "like
work" under paragraph (a). If
paragraph (a)
applies, no Acas report is required. If paragraph (a)
does
not apply, then the tribunal considers whether paragraph (b)
applies
to the complainant and the man with whom she seeks
parity; if so,
the tribunal can only proceed under paragraph (c) if
the
job evaluation study obtained for the purposes of paragraph (b)
is
itself discriminatory. If paragraph (b) applies then, again,
no
Acas report is necessary. If paragraphs (a) and (b)
do not apply,
the tribunal must next consider whether there are
reasonable
grounds for determining that the work of the
complainant and the
work of the man with whom she seeks parity is
of equal value. If
the tribunal are not so satisfied, then no Acas
report is required.
The words in paragraph (c) on which the
employers rely were not
intended to create a new form of permitted
discrimination.
Paragraph (c) enables a claim to equal pay
as against a specified
man to be made without injustice to an
employer. When a woman
claims equal pay for work of equal value,
she specifies the man
with whom she demands parity. If the work of
the woman is work
in relation to which paragraphs (a) or
(b) applies in relation to
that man, then the woman cannot
proceed under paragraph (c) and
cannot obtain a report from
an Acas expert. In my opinion there
must be implied in paragraph
(c) after the word "applies" the
words "as
between the woman and the man with whom she claims
equality."
This construction is consistent with Community law.
The employer's
construction is inconsistent with Community law
and creates a
permitted form of discrimination without rhyme or
reason.
Under
Community law, a woman is entitled to equal pay for
work of equal
value to that of a man in the same employment.
That right is not
dependent on there being no man who is
employed on the same work
as the woman. Under British law,
namely the Equal Pay Act 1970 as
amended in 1975, a woman was
entitled to equal pay for work rated
as equivalent with that of a
man in the same employment. That
right was not dependent on
there being no man who was employed on
the same work as the
- 13 -
woman. Under the ruling of the
European Court of Justice in
Commission of the European
Communities v. United Kingdom
[1982] ICR 578, the Equal Pay
Act as amended in 1975 was held
to be defective because the Act
did not entitle every woman to
claim before a competent authority
that her work had the same
value as other work, but only allowed a
claim by a woman who
succeeded in persuading her employer to
consent to a job
evaluation scheme. The Regulations of 1983 were
intended to give
full effect to Community law and to the ruling of
the European
Court of Justice which directed the United Kingdom
Government
to introduce legislation entitling any woman to equal
pay with any
man for work of equal value if the difference in pay
is due to the
difference in sex and is therefore discriminatory. I
am of the
opinion that the Regulations of 1983, upon their true
construction,
achieve the required result of affording a remedy to
any woman
who is not in receipt of equal pay for work equal in
value to the
work of a man in the same employment.
In Mary Murphy v. Bord Telecom
Eireann [1988] (Case
157/86) 1 C.M.L.R. 879, 29 women were
employed as factory
workers engaged in such tasks as dismantling,
cleaning, oiling and
reassembling telephones and other equipment;
they claimed the
right to be paid at the same rate as a specified
male worker
employed in the same factory as a stores
labourer engaged in
cleaning, collecting and delivering equipment
and components and
in lending general assistance as required. The
European Court of
Justice in their judgment at p. 887, para. 9,
said that the principle
of equal pay for men and women
"forbids workers of one sex
engaged in work of equal value
to that of workers of the opposite
sex to be paid a lower
wage than the latter on grounds of sex, it
a fortiori
prohibits such a difference in pay where the
lower-paid
category of workers is engaged in work of higher
value."
I cannot think that in Community
law or in British law the result
would be any different if instead
of there being 29 women working
on telephone maintenance and one
male stores labourer, there were
28 women and one man working on
telephone maintenance and one
male stores labourer.
The draft of the Regulations of
1983 was not subject to any
process of amendment by Parliament. In
these circumstances the
explanations of the Government and the
criticisms voiced by
Members of Parliament in the debates which
led to approval of
the draft Regulations provide some indications
of the intentions of
Parliament. The debate on the draft
Regulations in the House of
Commons which led to their approval by
Resolution was initiated
by the Under Secretary of State for
Employment who, in the
reports of the House of Commons for 20 July
1983 at column 479
et seq, said this:
"The Equal Pay Act allows a
woman to claim equal pay
with a man ... if she is doing the same
or broadly similar
work, or if her job and his have been rated
equal through
job evaluation in effort, skill and decision.
However, if a
woman is doing different work from a comparable man,
or
if the jobs are not covered by a job evaluation study,
the
woman has at present no right to make a claim for equal
- 14 -
pay. This is the gap, identified
by the European Court
which we are closing . . . . "
In the course of his speech at
column 485, the Minister
outlined the procedure which will apply
if a claim is made under
paragraph (c) in the following
words:
"Under the amending
Regulations which are the subject of
this debate, an employee will
be able to bring a claim for
equal pay with an employee of the
opposite sex working in
the same employment on the ground that the
work is of
equal value. When this happens, conciliation will first
be
attempted, as in all equal pay claims. If conciliation
is
unsuccessful, the industrial tribunal will take the
following
steps. First, it will check that the work is not in fact
so
similar that the case can be heard under the current
Act.
Secondly, it will consider whether the jobs have already
been
covered by a job evaluation scheme and judged not to
be of equal
value. If this is the case, the claim may
proceed only if the
original job evaluation scheme is shown
to have been sexually
discriminatory. Having decided that
the case should proceed, the
tribunal will first invite the
parties to see if they can settle
the claim voluntarily. If
not, the tribunal will consider whether
to commission an
independent expert to report on the value of the
jobs. It
will not commission an expert's report if it feels that
it is
unreasonable to determine the question of value -
for
example, if the two jobs are quite obviously of unequal
value.
Nor . . . will it commission an expert's report if the
employer
shows at this stage that inequality in pay is due
to material
factors other than sex discrimination . . . . "
Thus it is clear that the
construction which I have placed
upon the Regulations corresponds
to the intentions of the
Government in introducing the
Regulations. In the course of the
debate in the House of Commons,
and in the corresponding debate
in the House of Lords, no one
suggested that a claim for equal
pay for equal work might be
defeated under the Regulations by an
employer who proved that a
man who was not the subject of the
complaint was employed on the
same or on similar work with the
complainant. The Minister took
the view, and Parliament accepted
the view, that paragraph (c)
will only apply if paragraphs (a) and
(b) are first
held by the Tribunal not to apply in respect of the
work of the
woman and the work of the man with whom she seeks
parity of pay.
This is also the only view consistent with
Community law.
In von Colson and Kamann v.
Land Nordrhein - Westfalen
(Case 14/83) (1984) ECR 1891,
1910, 1911, the European Court
of Justice advised that in dealing
with national legislation designed
to give effect to a Directive:
"3. ... It is for the
national court to interpret and apply
the legislation adopted for
the implementation of the
Directive in conformity with the
requirements of Community
law, in so far as it is given discretion
to do so under
national law."
- 15 -
In Duke v. G.E.C. Reliance
Systems Ltd. [1988] 2 WLR 359 this
House declined to
distort the construction of an Act of Parliament
which was not
drafted to give effect to a Directive and which was
not capable of
complying with the Directive as subsequently
construed by the
European Court of Justice. In the present case I
can see no
difficulty in construing the Regulations of 1983 in a
way which
gives effect to the declared intention of the
Government of the
United Kingdom responsible for drafting the
Regulations and is
consistent with the objects of the European
Community Treaty, the
provisions of the Equal Pay Directive and
the rulings of the
European Court of Justice. I would dismiss the
appeal.
LORD OLIVER OF AYLMERTON
My Lords,
The respondents to this appeal are
assumed to be engaged
upon work which is, for all practical
purposes, identical with work
upon which at least one man employed
in the same establishment
is engaged and they are employed upon
the same terms as he is.
They claim, however, that there are other
men employed in the
same establishment whose work, though not the
same as theirs, is
of equal value to theirs and who are
remunerated at a higher rate
and they claim that the difference is
due to discrimination against
them on the grounds of their sex.
The appellants have resisted
the claim for parity with this latter
group, from whom the
respondents selected a Mr. Phillips as the
comparator, on the
preliminary point that, even assuming the
discrimination claimed by
the respondents to be established, they
have no remedy. There
are, they contend, three reasons for this.
First, the claim is
precluded by the terms of the Equal Pay Act
1970 (as amended) so
that the industrial tribunal has no
jurisdiction to entertain the
claim. Secondly, it is said that
even on the construction of
article 119 of the Treaty of Rome and
the Equal Pay Directive
(75/117/E.E.C.) which clarified it,
assuming the article and
Directive to be directly applicable as a
matter of domestic law, a
claim to parity for work of equal value
cannot be made by a
woman who is employed on the same work as
another man.
Thirdly, it is said that even could such a claim
subsist as a matter
of the construction of article 119, the
article is not directly
enforceable in such a case in domestic
law. Your Lordships were
therefore invited by the appellants to
submit both the question of
construction of the article and the
question of direct enforceability
to the European Court of Justice
under the provisions of article
177 of the Treaty. The Court of
Appeal, whilst upholding the
appellants' contentions as regards
the construction of the Act,
entertained no doubts that the
discrimination claimed, if proved,
contravened the terms of the
Treaty and the Directive, and
referred the matter back to the
industrial tribunal to deal with
the claim on the footing that the
respondents' rights were directly
enforceable as a matter of
domestic law.
My Lords, whilst, like the Court
of Appeal, I entertain no
doubt that the discrimination claimed
falls squarely within the
general principle of equal pay for equal
work (or work of equal
- 16 -
value) which is enshrined in
article 119, I confess to some doubt
whether, if the appellants'
construction of the Act of 1970 is
correct, the article is
directly enforceable in the circumstances of
the instant case and
before reading the draft of the speech of my
noble and learned
friend, Lord Templeman, I should, for my part,
have been minded to
accede to the appellants' request that that
question at least be
submitted to the European Court of Justice.
Broadly, my doubts
arise from this, that the cases in the European
Court to which
your Lordships have been referred clearly establish
that there is
an area within which the article is not directly
applicable. The
bounds of that area are far from clear to me,
however, but the
cases appear to indicate that the article may not
be directly
applicable in an "equal value" claim, at any rate
where
there is no machinery in the domestic law by which the
criterion
of what is work of equal value can be readily
ascertained. The
difficulty in this case arises from the fact that
the industrial
tribunal is a statutory tribunal whose jurisdiction
and procedure is
circumscribed by statutory instrument, so that
although machinery
is provided for the ascertainment of what is
"work of equal value,"
that machinery is confined by
definition to a claim falling within
section l(2)(c) of the
Act of 1970 (see Industrial Tribunals (Rules
of Procedure)
Regulations 1985 (S.I. 1985 16), regulation 3(2) and
the
definition of "equal value claim" in Schedule 2 to
the
Regulations). If, therefore, the Act does, as the appellants
claim,
restrict the entertainment of claims by the tribunal to
cases in
which there is no man performing the same work as the
claimant,
the tribunal's machinery for establishing the criterion
of what is
work of equal value is equally restricted.
The critical question, therefore,
is whether the Court of
Appeal, in common with the industrial
tribunal and the
Employment Appeals Tribunal, were right in
concluding that the
respondents' claim was not one which could be
made under the
provisions of the Act of 1970. I have to confess to
sympathising
with that conclusion which coincided with the very
definite opinion
which I myself had formed at the conclusion of
the hearing.
Indeed, it is only the persuasive speech delivered by
my noble and
learned friend, Lord Templeman, which has enabled me
to change
the opinion which I had formed. It is beyond dispute
that the Act
in its amended form in 1975 was intended to give
effect to the
United Kingdom's obligations under article 119 and
the Equal Pay
Directive and that the amendment introduced in 1983,
following
the ruling of the European Court of Justice in
Commission of the
European Communities v. United Kingdom
[1982] ICR 578, was
intended to fill the gap to which that case
had drawn attention
and to complete what was quite obviously
intended to be a
comprehensive code for dealing with sex
discrimination in the area
of pay and conditions at work. What has
to be said, if the
appellants are right, is that Parliament simply
failed in its purpose
and that is a conclusion the court must
strive to avoid -
particularly having regard to the provisions of
section 2(4) of the
European Communities Act 1972 - unless it is
compulsively driven
to it. It has, I think, to be said that if the
section falls to be
construed in isolation apart from the evident
purpose of the Act,
there is very little scope for a construction
other than that to
which the Court of Appeal felt itself driven.
In contrast to the
way in which, for instance, the Belgian
legislature complied with
the Treaty obligation by simply
reproducing the terms of the
article as part of the domestic
legislation, the way in which the
- 17 -
United Kingdom Act seeks to
accomplish its object is by reading
into every woman's contract of
employment a deemed contractual
term, described as "an
equality clause." The terms of the clause
are not spelled out
but the effect of it - broadly that the terms
of a woman's
contract are to be brought into line with those of
comparable man
- is stated and is related to three, and only
three, prescribed
situations, viz.: (a) where the woman is employed
on like
work with a man in the same employment; (b) where the
woman
is employed on work rated as equivalent with that of a
man in the
same employment; and (c) "where a woman is employed
on
work which, not being work in relation to which paragraph (a)
or
(b) above applies, is ... of equal value to that of a man
in
the same employment. Now, on the face of it, where a man
is
employed on the same work as a woman, paragraph (a)
applies to
that work and the equality clause in the woman's
contract has the
effect specified in that paragraph. If she then
makes a claim for
equal pay with someone whose work she claims to
be of equal
value with hers but which is not the same, she does
not change
the nature of her work. It remains work which has the
effect
specified in paragraph (a) and to which, therefore,
that paragraph
"applies." If, therefore, the section is
to be read literally and in
accordance with its terms, paragraph
(c) cannot apply to that work
so long as paragraph (a)
applies to it. It can be made to apply in
only one of two ways.
Either there has to be given to the word
"applies" an
artificial meaning which will enable it to be read in
the sense of
"is applied by the claimant as part of her claim" or
there
has to be read into the Act some qualifying words which
will
restrict the word "applies" to a particular comparator
selected
by the claimant. Either way, a construction which permits
the
section to operate as a proper fulfilment of the United
Kingdom's
obligation under the Treaty involves not so much doing
violence to
the language of the section as filling a gap by an
implication
which arises, not from the words used, but from the
manifest
purpose of the Act and the mischief it was intended to
remedy.
The question is whether that can be justified by the
necessity -
indeed the obligation - to apply a purposive
construction which will
implement the United Kingdom's obligations
under the Treaty.
For the reasons given by my noble
and learned friend, Lord
Templeman, I am now persuaded that it can
and that paragraph (c)
is to be construed as if modified in
the manner suggested by my
noble and learned friend or as if it
included a parenthetic phrase
and read "(c) where a
woman is employed on work which, not
being work in relation to
which (in respect of the man hereinafter
mentioned) paragraph (a)
or (b) above applies, is ... etc." It
must, I think,
be recognised that so to construe a provision which,
on its face,
is unambiguous involves a departure from a number of
well-established
rules of construction. The intention of Parliament
has, it is
said, to be ascertained from the words which it has used
and those
words are to be construed according to their plain and
ordinary
meaning. The fact that a statute is passed to give effect
to an
international treaty does not, of itself, enable the treaty to
be
referred to in order to construe the words used in other than
in
their plain and unambiguous sense. Moreover, even in the case
of
ambiguity, what is said in Parliament in the course of the
passage
of the Bill, cannot ordinarily be referred to to assist
in
construction. I think, however, that it has also to be
recognised
that a statute which is passed in order to give effect
to the
United Kingdom's obligations under the Treaty of Rome falls
into
-18 -
a special category and it does so
because, unlike other treaty
obligations, those obligations have,
in effect, been incorporated
into English law by the European
Communities Act 1972. Section
2(1) of that Act provides that:
"all such . . . obligations .
. . from time to time created
by the Treaties ... as in accordance
with the Treaties are
without further enactment to be given legal
effect or used
in the United Kingdom shall be recognised and
available in
law, and be enforced, allowed and followed
accordingly. . .
Although, at any rate on one
construction, this may be said to
apply only to rights which are
clearly directly applicable,
subsection (2) goes on to provide for
a designated Minister to
make provision by regulation "for
the purpose of implementing any
Community obligations of the
United Kingdom" and "for the
purpose of dealing with
matters arising out of or related to any
such obligations."
Subsection (4) provides that a provision made
under subsection (2)
includes such provision as might be made by
Acts of Parliament,
and that "any enactment passed or to be
passed . . . shall be
construed and have effect subject to the
foregoing provisions of
this section." One is thus thrown back to
the provisions of
subsection (1). Subsection l(2)(c) of the Equal
Pay Act
1970 was inserted into the Act under this power by the
Equal Pay
(Amendment) Regulations 1983, which recited that the
Secretary of
State was the designated Minister "in relation to
measures to
prevent discrimination between men and women as
regards terms and
conditions of employment." The history of the
legislation up
to that point has been fully recited in the speech of
my noble and
learned friend, Lord Templeman, and it is perfectly
plain that the
amendments to the Act were inserted for the
purpose of completing
the compliance by the United Kingdom with
its Treaty obligations
under article 119 and the Equal Pay
Directive by remedying what
was then perceived as the only
remaining lacuna, namely that a
woman was excluded from making
an equal value claim unless she
could persuade her employer to
initiate a work evaluation study.
It is worth noting that the
explanatory note (which is not, of
course, part of the Regulations
but is of use in identifying the
mischief which the Regulations
were attempting to remedy) states
that:
"Regulation 2 amends section
1 of the Equal Pay Act 1970
to enable a woman to take advantage of
an equality clause
where she is employed on work of equal value to
that of a
man in the same employment."
Those Regulations having been
passed with the manifest and
express purpose of producing a full
compliance with the United
Kingdom's obligation, they fall to be
construed accordingly and
that which I have suggested as falling
to be implied into section
l(2)(c) is necessary to achieve
that purpose. In Garland v. British
Rail [1983] 2 AC 751,
771, Lord Diplock observed:
"My Lords, even if the
obligation to observe the
provisions of article 119 were an
obligation assumed by the
United Kingdom under an ordinary
international treaty or
convention and there were no question of
the treaty
obligation being directly applicable as part of the law
to be
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applied by the courts in this
country without need for any
further enactment, it is a principle
of construction of
United Kingdom statutes, now too well
established to call
for citation of authority, that the words of
the statute
passed after the Treaty has been signed and dealing
with
the subject matter of the international obligation of
the
United Kingdom, are to be construed, if they are
reasonably
capable of bearing such a meaning, as intended to carry
out
the obligation, and not to be inconsistent with it. A
fortiori
is this the case where the Treaty obligation arises
under one of
the Community treaties to which section 2 of
the European
Communities Act 1972 applies.
"The instant appeal does not
present an appropriate
occasion to consider whether, having regard
to the express
direction as to the construction of enactments 'to
be passed'
which is contained in section 2(4), anything short of
an
express positive statement in an Act of Parliament passed
after
January 1, 1973, that a particular provision is intended
to be
made in breach of an obligation assumed by the
United Kingdom
under a Community treaty, would justify an
English court in
construing that provision in a manner
inconsistent with a
Community treaty obligation of the
United Kingdom, however wide a
departure from the prima
facie meaning of the language of the
provision might be
needed in order to achieve consistency. ..."
In the instant case, the strict
and literal construction of the
section does indeed involve the
conclusion that the Regulations,
although purporting to give full
effect to the United Kingdom's
obligations under Article 119, were
in fact in breach of those
obligations. The question, following
Lord Diplock's formulation of
principle, is whether they are
reasonably capable of bearing a
meaning which does in fact comply
with the obligations imposed by
the Treaty. I was, initially, in
some doubt whether, if the section
is to be construed in the way
for which the respondents' contend,
any sensible purpose could be
given to the exclusionary words "not
being work in relation
to which paragraphs (a) or (b) above
applies."
However, the Regulations which
introduced paragraph (c)
into the Act introduced at the
same time the procedural provisions
in section 2A and the
significance of the exclusionary word in the
context of the
industrial tribunals procedure and of the definition
of "like
work" which is contained in section 1(4) is demonstrated in
the
analysis of my noble and learned friend, Lord Templeman.
That
doubt removed, I am satisfied that the words of section
l(2)(c),
whilst on the face of them unequivocal, are reasonably
capable of
bearing a meaning which will not put the United
Kingdom in breach
of its Treaty obligations. This conclusion is
justified, in my
judgment, by the manifest purpose of the
legislation, by its
history, and by the compulsive provision of
section 2(4) of the
Act of 1972. It is comforting indeed to find,
from the statement
made by the Minister to which my noble and
learned friend has
referred, that this construction does in fact
conform not only
with what clearly was the parliamentary
intention but also with
what was stated to be the parliamentary
intention. I do not,
however, think that it is necessary to rely
upon this, since the
conclusion is, in my judgment, amply justified
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by the other factors which I have
mentioned. For these reasons
and for those given by my noble and
learned friend, Lord
Templeman, I agree that the appeal should be
dismissed.
LORD JAUNCEY OF TULLICHETTLE
My Lords,
I have had the advantage of
reading in draft the speeches
prepared by my noble and learned
friends Lord Keith of Kinkel,
Lord Templeman and Lord Oliver of
Aylmerton. Like my noble
and learned friend Lord Oliver I had, at
the conclusion of the
hearing, reached the firm conclusion that
the Court of Appeal had
correctly construed the relevant
provisions of the Equal Pay Act
1970 but I have similarly been
persuaded to the contrary view by
the speeches of my noble and
learned friends. For the reasons set
out in those speeches I too
would dismiss the appeal.
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