Fixed-term staff not eligible for same benefits coverage

clock

Employers do not have to give fixed-term employees the same insurance coverage as permanent staff.

The employment appeal tribunal (EAT) agreed with a previous employment tribunal that it was not a breach of less favourable treatment regulations for an employer to purchase income protection insurance that may not pay out to a fixed-term employee in circumstances where it would to a permanent employee.

Free Representation Unit employment legal officer Michael Reed noted that in the case of Hall v Xerox UK, the insurance provided income protection for employees who were off work for 26 weeks.

But those on fixed-term contracts ceased to be a member of the scheme at the end of their term.

Mr Hall was injured on 12th April 2012 and his contract ended on 20th July. Although his contract was extended, the insurer concluded that he had exited the scheme on the 20th July. He was therefore worse off than a permanent employee.

Reed added that the judge decided it was the insurer's act, not that of the employer, which led to the disadvantage suffered by the claimant.

More on Individual Protection

FCA 'disappointed' over product governance and fair value compliance failures

FCA 'disappointed' over product governance and fair value compliance failures

Regulator calls out inadequate response to Policy Statement 21/5

Hemma Visavadia
clock 12 August 2022 • 3 min read
Right Mortgage and Protection revives ASU proposition

Right Mortgage and Protection revives ASU proposition

Updated cover relaunched

John Brazier
clock 10 August 2022 • 1 min read
Children's mental health referrals peaked during pandemic: Royal London

Children's mental health referrals peaked during pandemic: Royal London

Signposted to RedArc for support

Hemma Visavadia
clock 08 August 2022 • 2 min read

Highlights

FCA gives three-month Consumer Duty extension for advisers

FCA gives three-month Consumer Duty extension for advisers

Deadline of 31 July 2023

Hemma Visavadia
clock 27 July 2022 • 5 min read
Meet the firm turning professional athletes into protection advisers

Meet the firm turning professional athletes into protection advisers

"You're only ever as good as your last game, but your next game could be your last"

Hemma Visavadia
clock 25 July 2022 • 5 min read
The COVER Review July 2022: Protection & Financial Education, IPAW 2022 and Reviewing 2022 So Far

The COVER Review July 2022: Protection & Financial Education, IPAW 2022 and Reviewing 2022 So Far

Now available for members to watch

John Brazier
clock 20 July 2022 • 1 min read