Employment Rights Act 1996 s.145 – The relevant date

(1) For the purposes of the provisions of this Act relating to redundancy payments “the relevant date” in relation to the dismissal of an employee has the meaning given by this section.

(2) Subject to the following provisions of this section, “the relevant date”—

(a)in relation to an employee whose contract of employment is terminated by notice, whether given by his employer or by the employee, means the date on which the notice expires,

(b)in relation to an employee whose contract of employment is terminated without notice, means the date on which the termination takes effect, and

[^F854 (c)in relation to an employee who is employed under a limited-term contract which terminates by virtue of the limiting event without being renewed under the same contract, means the date on which the termination takes effect.^F854]

(3) Where the employee is taken to be dismissed by virtue of section 136(3) the “relevant date” means the date on which the employee’s notice to terminate his contract of employment expires.

(4) Where the employee is regarded by virtue of section 138(4) as having been dismissed on the date on which his employment under an earlier contract ended, “the relevant date” means—

(a)for the purposes of section 164(1), the date which is the relevant date as defined by subsection (2) in relation to the renewed or new contract or, where there has been more than one trial period, the last such contract, and

(b)for the purposes of any other provision, the date which is the relevant date as defined by subsection (2) in relation to the previous contract or, where there has been more than one such trial period, the original contract.

(5)Where—

(a)the contract of employment is terminated by the employer, and

(b)the notice required by section 86 to be given by an employer would, if duly given on the material date, expire on a date later than the relevant date (as defined by the previous provisions of this section),

for the purposes of sections 155, 162(1) and 227(3) the later date is the relevant date.

(6) In subsection (5)(b) “the material date” means—

(a)the date when notice of termination was given by the employer, or

(b)where no notice was given, the date when the contract of employment was terminated by the employer.

^F855 (7). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Definitions used in section 145 13

redundancy payment

“redundancy payment” has the meaning given by Part XI,

Defined in s.235(1) · see it in the full Act

dismissal

“dismissal” and “dismissed” shall be construed in accordance with sections 136 to 138,

Defined in s.181(1) · see it in the full Act

employee

(1) In this Act “employee” means an individual who has entered into or works under (or, where the employment has ceased, worked under) a contract of employment.

Defined in s.230(1) · see it in the full Act

contract of employment

(2) In this Act “contract of employment” means a contract of service or apprenticeship, whether express or implied, and (if it is express) whether oral or in writing.

Defined in s.230(2) · see it in the full Act

employer

(4) In this Act “employer”, in relation to an employee or a worker, means the person by whom the employee or worker is (or, where the employment has ceased, was) employed.

Defined in s.230(4) · see it in the full Act

(6) This section has effect subject to sections 43K , 47B(3) and 49B(10) ; and for the purposes of Part XIII so far as relating to Part IVA or section 47B, “worker”, “worker’s contract” and, in relation to a worker, “employer”, “employment” and “employed” have the extended meaning given by section 43K.

Defined in s.230(6) · see it in the full Act

employed

and “employed” shall be construed accordingly.

Defined in s.230(5) · see it in the full Act

Defined in s.230(6) · see it in the full Act

limited-term contract

(2A) For the purposes of this Act a contract of employment or other worker’s contract is a “limited-term contract” if—

(a)the employment under the contract is not intended to be permanent, and

(b)provision is accordingly made in the contract for it to terminate by virtue of a limiting event.

Defined in s.235(2A) · see it in the full Act

limiting event

(2B) In this Act, “limiting event”, in relation to a contract of employment or other worker’s contract means—

(a)in the case of a contract for a fixed-term, the expiry of the term,

(b)in the case of a contract made in contemplation of the performance of a specific task, the performance of the task, and

(c)in the case of a contract which provides for its termination on the occurrence of an event (or the failure of an event to occur), the occurrence of the event (or the failure of the event to occur).

Defined in s.235(2B) · see it in the full Act

dismissed

“dismissal” and “dismissed” shall be construed in accordance with sections 136 to 138,

Defined in s.181(1) · see it in the full Act

employment

(5) In this Act “employment”—

(a)in relation to an employee, means (except for the purposes of section 171) employment under a contract of employment, and

(b)in relation to a worker, means employment under his contract;

Defined in s.230(5) · see it in the full Act

Defined in s.230(6) · see it in the full Act

the relevant date

For the purposes of the provisions of this Act relating to redundancy payments “the relevant date” in relation to a notice of intention to claim or a right to a redundancy payment in pursuance of such a notice—

(a)in a case falling within paragraph (a) of subsection (2) of section 148, means the date on which the last of the four or more consecutive weeks before the service of the notice came to an end, and

(b)in a case falling within paragraph (b) of that subsection, means the date on which the last of the series of six or more weeks before the service of the notice came to an end.

Defined in s.153 · see it in the full Act

relevant date

“relevant date” has the meaning given by sections 145 and 153,

Defined in s.235(1) · see it in the full Act

trial period

and is in this Part referred to as the “trial period”.

Defined in s.138(3) · see it in the full Act

“trial period” shall be construed in accordance with section 138(3).

Defined in s.181(1) · see it in the full Act

Cases considering section 145 5

Avuru v Favernmead Ltd & Anor

[2020] UKEAT 0312_19_2905 · 29 May 2020

For redundancy-payment purposes, the EAT applied the relevant-date provision and substituted 28 April 2017 as the date on which termination took effect. (see paras [23]; [35])

Silvey v Pendragon Plc

[2001] EWCA Civ 784 · 9 May 2001

Applies the statutory notice deeming rule for calculating redundancy entitlement, producing a calculation based on 27 rather than 26.5 weeks. The court noted that this calculation was not material to the pension damages issue. (see discussion of the redundancy payment)

East London NHS Foundation Trust v O'Connor

[2019] UKEAT 0113_19_2910 · 29 October 2019

The provisions fixing the relevant date were treated as consistent with the holistic construction of the statutory redundancy scheme.

2 more judgments, and what each says about section 145, are in the case-law panel in the full Act.

Amendments and notes

2 notes from legislation.gov.uk

Amendments

F854S. 145(2)(c) substituted (1.10.2002) by The Fixed-term Employees (Prevention of Less Favourable Treatment) Regulations 2002 (S.I. 2002/2034), reg. 11, Sch. 2 Pt. 1 para. 3(14) (with regs. 13-20 and subject to transitional provisions in Sch. 2 Pt. 2)
F855S. 145(7) repealed (15.12.1999) by 1999 c. 26, ss. 9, 44, Sch. 4 Pt. III para. 26, Sch. 9(2); S.I. 1999/2830, art. 2(2)(3), Sch. 1 Pt. II, Sch. 2 Pt. II (with transitional provisions in Sch. 3 paras. 10, 11) this amendment is subject to savings and/or transitional provisions, see the commentary.