Page 33 - BOSS Today Issue 12

GivinG

wEiGht

to EmploymEnt status

A recent ruling about the exact relationship of Weight Watchers’ leaders

with their organisation should make matters clear for employers in a
much wider range of businesses, including office supplies

mployment status and contractors. Under these But a clause allowing the worker for competitors; an obligation to
exactly what kind of contracts, they run meetings, to arrange for someone else to deliver only the approved Weight
Erelationship someone arrange the hire of premises take on a task under a direct Watchers programme; and an
who thinks he is an employee for WWUK, recruit clerks and contract with the employer – obligation to remain at a specific
has with someone who might “weighers”, receive a commission which was what the Weight weight.
think they are an employer, based on the number of people Watchers leaders had in their These factors were indicators
is something that rarely gets who come to their meetings, and contracts – would not be of a sufficient degree of control,
addressed in court and tribunal are reimbursed for some of their fatal to the existence of that a term that also allowed leaders
cases. Which is odd, really, expenses. employment contract. an element of discretion in how
when you consider how many The tribunal treated the Under the Weight Watchers they ran meetings.
important consequences - obligation of personal service as contract, a leader who wished Finally, the tribunal’s decision
employment rights, for example, a facet of mutuality of obligation to miss a meeting was obliged made it clear that while it was
and tax and NI treatment – stem – a key factor in establishing an to find a replacement qualified necessary to examine whether
from this issue. employment relationship. leader. That person would then the terms of the contract were
A recent case heard by But it also considered the run the meeting under a direct consistent with an employment
the Upper Tribunal (Tax and impact of a substitution clause agreement with WWUK. relationship, this did not mean a
Chancery Chamber), however, in the agreement. Normally On the issue of control delicate balancing exercise had
should make the matter clearer. speaking a clause giving a worker – another key factor in to be undertaken. All that was
Weight Watchers v HMRC freedom to get another person establishing the existence of an required was for the tribunal
focused on the employment to carry out work on their behalf employment relationship - the to look at the contractual
status of Weight Watchers would negate the obligation to tribunal considered the leaders’ relationship as a whole.
leaders. They have contracts with provide services personally and obligations under the agreement.
the Weight Watchers organisation would be inconsistent with the These included restrictions on n For more inFormation,
(WWUK) that specifically state existence of an employment them being allowed to get contact your BoSS Hr
that they are independent contract. involved in running meetings adviSer on 0845 450 1565.

May/June 2012 | BOSS TODAY 33

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