Sagar v Ridehalgh & Sons Ltd
Encyclopedia
Sagar v Ridehalgh & Sons Ltd [1931] 1 Ch 310 is a UK labour law case concerning the contract of employment. It concerns the implication of terms, regarding deductions from wages, through the custom of an industry.
weaver for Ridehalgh & Sons Ltd in Nelson
, Lancashire
. He claimed that pay had been wrongfully deducted from his wages allegedly for poor workmanship. His contract was oral, but pay was fixed by collective agreement
with the Amalgamated Weavers' Association and the Cotton Spinners' and Manufacturers’ Association. According to the collective agreement he should have been paid 2l. 5s. 0½d. But Ridehalgh Ltd only paid him 2l. 4s. 0½d., deducting 1s. in respect of a fault in 3 yards of the 80 yards piece. Mr Sagar had failed to piece up a broken thread of the warp. This made 3 yards of cloth unmerchantable. Mr Sagar said this was an unlawful deduction contrary to Truck Act 1831 section 3. But Ridehalgh Ltd argued mills in the locality had the custom
of deducting for work that had been performed without reasonable care and skill in the management’s eyes. That had been so for thirty years at the workplace, though nobody had said anything in the oral agreement and no provisions concerning deductions were found in the collective agreement.
Farwell J said that Mr Sagar was entitled to be fully paid unless the employer used its right to terminate the contract.
Facts
Mr Sagar was a cottonCotton
Cotton is a soft, fluffy staple fiber that grows in a boll, or protective capsule, around the seeds of cotton plants of the genus Gossypium. The fiber is almost pure cellulose. The botanical purpose of cotton fiber is to aid in seed dispersal....
weaver for Ridehalgh & Sons Ltd in Nelson
Nelson
- People :* Horatio Nelson, 1st Viscount Nelson, English admiral* Nelson , for other people with the surname "Nelson"* Nelson , for people with the given name "Nelson"...
, Lancashire
Lancashire
Lancashire is a non-metropolitan county of historic origin in the North West of England. It takes its name from the city of Lancaster, and is sometimes known as the County of Lancaster. Although Lancaster is still considered to be the county town, Lancashire County Council is based in Preston...
. He claimed that pay had been wrongfully deducted from his wages allegedly for poor workmanship. His contract was oral, but pay was fixed by collective agreement
Collective agreement
A collective agreement or collective bargaining agreement is an agreement between employers and employees which regulates the terms and conditions of employees in their workplace, their duties and the duties of the employer...
with the Amalgamated Weavers' Association and the Cotton Spinners' and Manufacturers’ Association. According to the collective agreement he should have been paid 2l. 5s. 0½d. But Ridehalgh Ltd only paid him 2l. 4s. 0½d., deducting 1s. in respect of a fault in 3 yards of the 80 yards piece. Mr Sagar had failed to piece up a broken thread of the warp. This made 3 yards of cloth unmerchantable. Mr Sagar said this was an unlawful deduction contrary to Truck Act 1831 section 3. But Ridehalgh Ltd argued mills in the locality had the custom
Custom
Custom may refer to:* Convention , a set of agreed, stipulated or generally accepted rules, norms, standards or criteria, often taking the form of a custom* Customization , anything made or modified to personal taste...
of deducting for work that had been performed without reasonable care and skill in the management’s eyes. That had been so for thirty years at the workplace, though nobody had said anything in the oral agreement and no provisions concerning deductions were found in the collective agreement.
Farwell J said that Mr Sagar was entitled to be fully paid unless the employer used its right to terminate the contract.
Judgment
Lord Hanworth MR held the deduction was still lawful. It was a clear custom of the industry, not destroyed by the fact, once established, that many people dislike it, or contract out of it altogether.See also
- UK labour law
- Employment contract in English lawEmployment contract in English lawAn employment contract in English law is a specific kind of contract whereby one person performs work under the direction of another. The two main features of a contract is that work is exchanged for a wage, and that one party stands in a relationship of relative dependence, or inequality of...
- Autoclenz Ltd v BelcherAutoclenz Ltd v BelcherAutoclenz Ltd v Belcher [2011] is a significant UK labour law case decided by the Supreme Court of the United Kingdom, concerning the scope of statutory protection of rights for working individuals...
[2011] UKSC 41