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ARTICLE · 25 JULY 2019

Collective Bargaining: Unlawful Inducement

As we reported (available here), the EAT last year considered section 145B of the Trade Union Labour Relations (Consolidation) Act (TULR(C)A) for the first time

United KingdomEmployment and HR

THE FACTS

As we reported (available here), the EAT last year considered section 145B of the Trade Union Labour Relations (Consolidation) Act (TULR(C)A) for the first time. The EAT's decision, which went against the employer Kostal, upheld the employment tribunal's decision that Kostal had offered employees unlawful inducements to cease collective bargaining when it directly offered them a package of terms and conditions, going over the head of the recognised trade union. Kostal appealed to the Court of Appeal.

Section 145B prohibits employers making offers to workers who are members of a recognised trade union, if acceptance of the offer would have "the prohibited result" and the employer's sole or main purpose in making the offer is to achieve that result. The "prohibited result" is that the workers' terms of employment, or any of those terms, "will not (or will no longer) be determined by collective agreement negotiated on behalf of the union". The aim of the

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