Contracts of employment

Illegal variation of staff handbook in relation to absence management procedures

An absence management policy in a staff handbook had been incorporated into employee’s contracts and the employer could not unilaterally change the terms of the policy despite a variation clause seeming to give it the power to do so. 
Sparks v Department for Transport

No implied term that lay-off period should be reasonable

There is no implied term of reasonableness regarding the length of a period of lay off.
Craig v Bob Lindfield & Son Ltd

Employer properly exercised its discretion when awarding lower bonus

An employer had exercised its discretion rationally - and had not breached either the express or implied terms of an employee’s contract - when it awarded him a smaller annual bonus than other employees. 
Paturel v DB Services (UK) Ltd

No obligation to inform employer about allegations

An employee was under no express – or implied – obligation to tell his employer about allegations of sexual misconduct made against him.
Basildon Academies v Amadi

Director’s duty of confidentiality did not include a duty to return confidential documents

A non-executive director was not subject to an implied term to hand over confidential documents when his appointment was terminated.
Eurasian Natural Resources Corporation Ltd v Judge

Flexibility clause did not enable unilateral variation

An employer could not rely on a general flexibility clause to unilaterally vary employees’ entitlements to sick pay because the language of the clause was imprecise and ambiguous.
Norman v National Audit Office
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