In a recent significant case, an Employment Tribunal ruled that a hairdresser who had an “Independent Contract for Services” with a salon was in fact an employee.
In the case of Ms M Gorman v Terence Paul (Manchester) Ltd, the Tribunal concluded that Terence Paul controlled Gorman’s working hours and days, holidays (all subject to notice for time off), the prices charged, the products used and the insurance was arranged by the salon. The client lists were maintained by Terence Paul and in fact Gorman was not able to access this list and it was very tightly controlled. The Tribunal concluded that the written contract did not reflect the reality of the working arrangements in practice apart from the requirement for Gorman to keep her own accounts and attend to taxation. Therefore, the Tribunal concluded that Gorman was an employee.
This case has clear implications for those in the hairdressing industry. Salons maybe operating believing their hairdressers to be self-employed when in fact they could be employees! A costly mistake to make!
Do your contracts reflect the day to day working practices? We would advise anyone running a business in this sector to seek urgent legal advice to make sure that you don’t get caught out! Contact our expert Employment Law Solicitors or our experienced HR Consultants who can support and advise on getting your working practices right for you on 0161 478 3800 or hello@peachlaw.co.uk.
