ECJ ducks key question on contracting out

Article Abstract:

The European Court of Justice confirmed in 1998 rulings that the European Union's Business Transfers Directive can apply both to contracted-out services which are contracted back in-house and to changes in the contractor's performing such services or activities, as long as they are accompanied by the transfer of an identifiable economic entity. The application of the Directive may be effectively avoided if the in-house provider or new contractor fails to take on most of the predecessor's workforce.

European Union, Laws, regulations and rules, Outsourcing

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When non-payment of the agreed remuneration is a repudiatory breach of contract

Article Abstract:

The British Court of Appeal ruled in Cantor Fitzgerald International v. Callaghan that the difference between an employer's failure to pay an agreed salary and its deliberate failure to do so determined whether such non-payment was fundamental to the continued existence of a labor contract. Where the failure constituted a breach of contract, depending on the circumstances, the court would have the power to conclude whether or not the breach was repudiatory.

United Kingdom, Cases, Wages, Wages and salaries, Labor contracts, Breach of contract

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