Lords rule against unions

The Law Lords yesterday ruled unanimously that employers were within their rights in discriminating against union members who refused to sign individual contracts, writes Barrie Clement.

Ruling in favour of an appeal by the Daily Mail and Associated British Ports, the House of Lords decided that both companies acted lawfully when they withheld pay increases from employees who insisted their earnings should be determined by collective bargaining.

Union leaders denounced the decision, declaring that no other civilised country would tolerate such a state of affairs. More than 140 other similar cases, involving health workers, college lecturers and dockers will now also fall.

Ironically, the legislation, which allowed the companies to pay union loyalists less, was introduced by a Labour government in 1978.

Since the cases involving the Mail and ABP began, the Government introduced even tougher legislation that makes discrimination far easier to support in law. It was introduced too late to affect the present cases.

The new statute was appended at a late stage to the Trade Union Reform and Employment Rights Bill 1993 after a Court of Appeal ruling declared the action by the Mail and ABP to be unlawful.

Yesterday, however, the Law Lords delivered the final judgement which reinforces the 1993 statute.