Draft Legislation Published to Amend Rules on Industrial Action
The Government recently announced it would legislate in an attempt to reduce the disruption caused by industrial action. Two pieces of draft legislation have now been published.
The Liability of Trade Unions in Proceedings in Tort (Increase of Limits on Damages) Order 2022 (SI 2022/699) will quadruple the maximum damages that can be awarded against a trade union where industrial action is found to be unlawful. With effect from 21 July 2022, the cap on damages will increase as follows:
- Unions with less than 5,000 members: £40,000 (currently £10,000).
- Unions with 5,000 to 24,999 members: £200,000 (currently £50,000).
- Unions with 25,000 to 99,999 members: £500,000 (currently £125,000).
- Unions with 100,000 members or more: £1,000,000 (currently £250,000).
The second piece of legislation which has been published is the draft Conduct of Employment Agencies and Employment Businesses (Amendment) Regulations 2022. Currently, agencies are prevented from supplying an employer with temporary workers to perform duties normally performed by a worker who is striking or taking industrial action, or the duties normally performed by any other worker who has been assigned to cover a striking workers. These draft Regulations will abolish that rule so that employers will be able to use temporary staff to lessen the impact of a strike.