Enterprise and Regulatory Reform Bill

Session 2012 - 13
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Enterprise and Regulatory Reform Bill

Enterprise and Regulatory Reform Bill
Part 2 — Employment
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Worker subjected to detriment by co-worker or agent of employer
(1)
In section 47B of the Employment Rights Act 1996 (protected disclosures), after
subsection (1) insert—
“(1A)
A worker (“W”) has the right not to be subjected to any detriment by
any act, or any deliberate failure to act, done—
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(a)
by another worker of W’s employer in the course of that other
worker’s employment, or
(b)
by an agent of W’s employer with the employer’s authority,

on the ground that W has made a protected disclosure.
(1B)
Where a worker is subjected to detriment by anything done as
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mentioned in subsection (1A), that thing is treated as also done by the
worker’s employer.
(1C)
For the purposes of subsection (1B), it is immaterial whether the thing
is done with the knowledge or approval of the worker’s employer.
(1D)
In proceedings against W’s employer in respect of anything alleged to
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have been done as mentioned in subsection (1A)(a), it is a defence for
the employer to show that the employer took all reasonable steps to
prevent the other worker—
(a)
from doing that thing, or
(b)
from doing anything of that description.
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(1E)
A worker or agent of W’s employer is not liable by reason of subsection
(1A) for doing something that subjects W to detriment if—
(a)
the worker or agent does that thing in reliance on a statement by
the employer that doing it does not contravene this Act, and
(b)
it is reasonable for the worker or agent to rely on the statement.
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But this does not prevent the employer from being liable by reason of
subsection (1B).”
(2)
In section 48 of that Act (complaints to employment tribunals), in subsection
(5)—
(a)
for “includes, where” substitute “includes—
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(a)
where”;
(b)
at the end insert—
“(b)
in the case of proceedings against a worker or agent
under section 47B(1A), the worker or agent.”
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Extension of meaning of “worker”
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(1)
Section 43K of that Act (extension of meaning of “worker”) is amended as set
out in subsections (2) to (7).
(2)
In subsection (1)(ba)—
(a)
for “section 84 or 100 of” substitute “section 83(2), 84, 92, 100, 107,
115(4), 117 or 134 of, or Schedule 12 to,”;
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(b)
for “section 42 or 57 of” substitute “section 41(2)(b), 42, 50, 57, 64 or 92
of, or Schedule 7 to,”;
(c)
omit the words after “the National Health Service (Wales) Act 2006”.
(3)
In subsection (1)(bb), after “section 17J” insert “or 17Q”.

Enterprise and Regulatory Reform Bill
Part 2 — Employment
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(4)
In subsection (1)(c)—
(a)
for the words before “in accordance with arrangements” substitute
“works or worked as a person providing services”;
(b)
in sub-paragraph (ii), after “section” insert “2C, 17AA, 17C,”.
(5)
Omit subsection (1)(ca) and the preceding “or”.
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(6)
Omit subsection (2)(ba).
(7)
After subsection (3) insert—
“(4)
The Secretary of State may by order make amendments to this section
as to what individuals count as “workers” for the purposes of this Part
(despite not being within the definition in section 230(3)).
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(5)
An order under subsection (4) may not make an amendment that has
the effect of removing a category of individual unless the Secretary of
State is satisfied that there are no longer any individuals in that
category.”
(8)
In section 236(3) of that Act (orders etc subject to affirmative resolution
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procedure), after “shall be made under section” insert “43K(4),”.”
(9)
In consequence of the amendments made by subsections (6) and (7), omit
paragraph 7(a)(ii) and (b) of the Schedule to the Smoking, Health and Social
Care (Scotland) Act 2005 (Consequential Modifications) (England, Wales and
Northern Ireland) Order 2006 (S.I. 2006/1056).
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(10)
Until the coming into force of the repeal (made by Schedule 3 to the Smoking,
Health and Social Care (Scotland) Act 2005 (asp 13)) of sections 27 to 28 of the
National Health Service (Scotland) Act 1978 (“the 1978 Act”), section
43K(1)(c)(ii) of the Employment Rights Act 1996 has effect as if it included a
reference to section 27A of the 1978 Act.
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Miscellaneous
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Tribunal procedure: miscellaneous
(1)
The Employment Tribunals Act 1996 is amended as follows.
(2)
In section 9 (pre-hearing reviews and preliminary matters), in subsection (2)
(deposit orders), in paragraph (a)—
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(a)
omit “, if he wishes to continue to participate in those proceedings,”;
(b)
after “an amount not exceeding £1,000” insert “as a condition of—
(i)
continuing to participate in those proceedings,
or
(ii)
pursuing any specified allegations or
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arguments”.
(3)
In section 13A (payments in respect of preparation time)—
(a)
in subsection (3), after “shall also” insert “, subject to subsection (4),”;
(b)
after subsection (3) insert—
“(4)
Subsection (3) does not require the regulations to include
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provision to prevent an employment tribunal from making—
(a)
an order of the kind mentioned in subsection (1), and

Enterprise and Regulatory Reform Bill
Part 2 — Employment
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(b)
an award of the kind mentioned in section 13(1)(a) that
is limited to witnesses’ expenses.”
(4)
In section 42 (interpretation), in subsection (1), after the definition of
“employment tribunal procedure regulations” insert—
““representative” shall be construed in accordance with section
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6(1) (in Part 1) or section 29(1) (in Part 2),”.
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Indexation of amounts: timing and rounding
(1)
Section 34 of the Employment Relations Act 1999 (indexation of amounts, etc)
is amended as follows.
(2)
In subsection (2)—
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(a)
omit “as soon as practicable”;
(b)
at the end insert “, with effect from the following 6th April”.
(3)
In subsection (3), for the words after “the Secretary of State shall” substitute
“round the result to the nearest whole pound, taking 50p as nearest to the next
whole pound above”.
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Renaming of “compromise agreements”, “compromise contracts” and
“compromises”
(1)
In the following provisions, for “compromise” (in each place where it occurs)
substitute “settlement”—
(a)
section 288(2A) and (2B) of the Trade Union and Labour Relations
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(Consolidation) Act 1992 (restriction on contracting out);
(b)
section 203(2)(f) and (3) of the Employment Rights Act 1996
(restrictions on contracting out);
(c)
section 58(4) and (5) of the Pensions Act 2008 (restrictions on
agreements to limit operation of Part 1).
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(2)
In section 19A of the Employment Tribunals Act 1996 (conciliation: recovery of
sums payable under compromises)—
(a)
in subsections (1), (3), (4), (5) and (6), for “compromise” (in each place
where it occurs) substitute “settlement”;
(b)
in subsection (12)—
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(i)
for “compromise” (in the first two places it occurs) substitute
“settlement”;
(ii)
omit “, or compromise,”;
(c)
in the heading, for “compromises” substitute “settlements”.
(3)
In section 49 of the National Minimum Wage Act 1998 (restrictions on
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contracting out)—
(a)
in subsections (3) and (4), for “compromise” (in each place where it
occurs) substitute “settlement”;
(b)
after subsection (8) insert—
“(8A)
In the application of this section in relation to Northern Ireland,
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subsections (3) and (4) above shall have effect as if for
“settlement agreements” (in each place) there were substituted
“compromise agreements.”

Enterprise and Regulatory Reform Bill
Part 3 — The Competition and Markets Authority
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(4)
In section 28 of the Equality Act 2006 (legal assistance), in subsection (11), for
“compromise contract or agreement” substitute “settlement agreement”.
(5)
In section 144 of the Equality Act 2010 (contracting out), in subsection (4)(b), for
“compromise contract” substitute “settlement agreement”.
(6)
In section 147 of that Act (meaning of “qualifying compromise contract”), in
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subsections (2) and (5) and in the heading, for “compromise contract”
substitute “settlement agreement”.
General
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Transitional provision
(1)
Section 10 does not apply in relation to a disclosure, or a request for
10
information, made before that section comes into force.
(2)
Section 12 does not apply in relation to proceedings that are in the process of
being heard by the Employment Appeal Tribunal when that section comes into
force.
(3)
Section 13 does not apply where the effective date of termination of the contract
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of employment in question is earlier than the date on which that section comes
into force.

“Effective date of termination” here has the meaning given by section 97(1) of
the Employment Rights Act 1996.
(4)
Section 14 does not apply to any offer made or discussions held before the
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commencement of that section.
(5)
Section 16 does not apply in relation to any claim presented before the end of
the sixth month after the day on which this Act is passed (or before the
commencement of that section).
(6)
Section 17, 18, 19 or 20 does not apply to a qualifying disclosure made before
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the section comes into force.

“Qualifying disclosure” here has the meaning given by section 43B of the
Employment Rights Act 1996.
Part 3
The Competition and Markets Authority
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The Competition and Markets Authority
(1)
There is to be a body corporate known as the Competition and Markets
Authority.
(2)
In this Part that body is referred to as “the CMA”.
(3)
The CMA must seek to promote competition, both within and outside the
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United Kingdom, for the benefit of consumers.
(4)
Schedule 4 (which makes provision about the CMA) has effect.