Trainee redundancies ‘unlawful’
The Law Society is investigating claims that trainee solicitors whose contracts are terminated are being made redundant unlawfully.
David Taylor, a partner at London firm Hanne & Co, said the number of redundant trainees seeking advice has risen this year for the first time since 2008. Few if any are willing to lodge a claim for wrongful dismissal, but Taylor believes they should be granted the same rights as apprentices, whose contracts cannot be terminated except in exceptional circumstances.
The issue came up at a recent meeting of the Law Society Membership Board, which Taylor chairs.
Newly published minutes of the meeting show that the Law Society of Scotland has already begun investigating. The issue ‘would have major implications for firms in England and Wales as there was no provision in the SRA contract for termination on the ground of redundancy,’ the minutes say. Law Society president John Wotton is to raise the matter with his Scottish counterpart.
Taylor told the Gazette: ‘You can understand from the employer’s point of view that they need to save money but in my opinion it’s not legitimate for them to terminate training contracts. It might require a test case but the problem is trainees don’t want to be known as a trouble-maker and most just want to keep their head down and qualify as soon as possible.’
Iain Mitchell QC, a senior counsel commissioned to look into the issue for the Scottish Young Lawyers Association, concluded that a trainee may not be made redundant as ‘a traineeship contract is an apprenticeship contract at common law’.
He said: ‘A trainee may be prematurely dismissed only in the event of misconduct so grave and so repeated and persistent as to amount (in effect) to a repudiation by him of the training contract.’
The Law Society advises that trainees should always check their contract to ensure the firm has not breached any clauses in making them redundant. Where a genuine situation of redundancy has been identified, practices must make an application to the SRA for termination of the contract.
Comments
too frightened to talk?
I think the lack of responses on this article speaks for itself...trainees do not want to rock the boat, and will sometimes therefore be subjected to unlawful behaviour and say nothing for fear of not obtaining a further training contract because they dared to enforce their employment rights. Anyway, this will be a thing of the past if Osbourne et al have their way, because unless the contract is longer than two years (which is unusual) you will not have the right to claim unfair dismissal in any event - bonkers!!!
Although - and this is the
Although - and this is the point - if what the article says is correct you would (unlike almost any other employee) have a claim for breach of contract, which is arguably worth much more than unfair dismissal. (Of course most employees have breach of contract claims, but if the contract itself can be terminated on one weeks' notice, and if the contract itself does not provide for any particular outcome, it is not usually a claim worth much).
Unfair dismissal - basic award, of a couple of weeks pay + compensatory award on the basis of how long it would take you to get another job.
Breach of contract - damages sufficient to put you in the position you would have been in (a qualified solicitor) had the firm not committed the repudiatory breach in question.
@domcoop. I agree with that
@domcoop. I agree with that very valid point if a breach of contract has occured, but that would of course depend on the terms of the contract. However, and I think the real point is that trainee's dare not risk enforcing their rights, because they are averse to being seen to be a problem employee. Given the current state of availablity of training contracts and all other things being equal, an employer is more likely to choose the trainee that hasn't sued their previous employer over one that has.
Training Contract
No major reason was given in the article for the dismissals. If the major reason is cost, a trainee might be well advised to ask for a pay rate which is half the national average to insure that he or she will be the last one let go due to any unforseen economic problem.
If incompatibility were the major factor, maybe a two week trial period should be a standard practice.
Hanne & Co could give a breakdown of the likely causes without breaching confidentiality.
My Training Contract
Was fixed term. When the question of redundencies came up I (very quietly) pointed out that the firm would have to pay out the remainder of my pay for the fixed term if they let me go.
That settled the issue...
training contract
i read this article with interest. I was a pre diploma trainee in Scotland for nearly three years with a well known firm in Glasgow. However to cut a long story short they didnt give me any training whatsoever - for almost three years I was a typist/receptionist, and couldnt contact my supervising solicitor. I eventually had to get the Law Society involved, and things became so bad that I had to resign. I have raised a claim in the employment tribunal but will probably end up raising my claim in the Sheriff Court, as the ceiling on damages that can be awarded in the ET is 25,000.