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3 Bus. L. Rev. 1 (1982)

handle is hein.kluwer/blr0003 and id is 1 raw text is: Business
Law
Review
In Perspective
Insurance Law                 3
Insolvency
Floating Charges - Solvency as a Test
of Validity                   5
Employment
Acquired Rights for Employees  7
Copyright
Reform of Copyright           9
Companies
Companies Act - I            23

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Brussels Newsletter
American Newsletter

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Keith Walmsley Fcis Solicitor
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Ruth Eldon BA
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Silvia Perrini BA Barrister

Vol 3 No 1 January 1982
Subscription January-December 1982
£60 post free, inland

I edto

Trade Union Immunities
Revisited
In our February 1981 editorial we
stated that our overall reaction to the
Green Paper on Trade Union
Immunities was that it was unlikely to
produce any useful reforms of practical
value (see also the analysis of the
document at (1981) 2 BLR 156). The
Secretary of State for Employment, Mr
Norman Tebbit, has now published his
proposals for a Bill on this subject to
be introduced early in 1982.
We have to say that those parts of
the proposals concerned with the
removal of the immunity of trade
unions from actions in tort (trade union
officials can already be made liable
where they step outside defined areas of
immunity) are not likely to make any
material contribution to industrial har-
mony. In times of industrial peace the
proposals would have little relevance
and in times of conflict the proposals
would very likely lead to counter-
productive confrontation.
Perhaps a more important part of the
proposals concerns the placing of
further restrictions on closed shops and
increasing the remedies for employees
unfairly dismissed because of a closed
shop. Clearly these measures will be
unpalatable. to trade unions but seem
inevitable bearing in mind the doubts
cast by recent judgments of the Euro-
pean Human Rights Court on the use
made of closed shops in the UK.
The Government's proposals do not
make reference to a recommendation by
the Engineering Employers Federation
which has urged that an employer
whose business is badly disrupted by
industrial action should be able to lay
off employees without pay including
those not on strike. The intention is to
redress the balance between employers
and employees since at present a union
can cause great disruption to any em-
ployer, at little cost to itself, simply by
bringing out on strike key personnel
such as computer staff -   - other
members of the union cc-....  ed on the
employer's staff can continue to report

for work and draw their pay in the
usual way. The employer is then caught
in a pincer movement since his out-
put will have been effectively disrupted
but his staff overheads will continue to
run against him. The Government is
well aware of the mechanics of this
strategy since it was employed to great
effect against them during the recent
civil service dispute. The EEF further
suggests that a similar power of laying
off should apply where the employer's
business is paralysed by industrial
action within a monopoly supplier of
goods or essential services, such as
power or transport, to that business. In
the view of the EEF, adoption of these
measures would greatly lessen the inci-
dence of hastily or ill-considered strikes
since the striking workers would have
to have regard to the effects on non-
striking fellow workers.
In our view these suggestions are too
far reaching in that they would quite
unfairly penalise employees who had no
wish to take part in the dispute con-
cerned. We do, however, believe that
the Government should very seriously
consider whether the law could be
amended to counter this new practice of
withdrawing the labour of only key per-
sonnel, possibly by giving employers
some restricted power of lay-off.
Credit Cards
In our November 1980 editorial we
expressed doubts regarding the recom-
mendation of the Monopolies and Mer-
gers Commission that traders should
not be prohibited from discriminating
in price terms between customers pay-
ing by cash or credit card. We were
concerned at the possible abuse of
credit card surcharges by traders.
Regrettably these fears have proved jus-
tified. In the event, the Department of
Trade has found it necessary to permit
the credit card companies to re-impose-
prohibitions against such price dis-
crimination. We applaud the Depart-
ment's prompt action which will
remove an obstacle to the growth of
non-cash settlement methods.

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No claim asserted to original government works.

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