Long Term Pay Protection Can Be A Reasonable Adjustment
20 September 2016
The Employment Appeal Tribunal in G4S Cash Solutions (UK) Limited v Powell has found that a reasonable adjustment may mean maintaining salary following a move to a less skilled role. Powell was moved to a newly created position after his ongoing back problems meant that his employer accepted he had a disability. After 12 months, G4S told Powell that he could continue in his new role on a lower rate of pay (a reduction of around 10 per cent), accept a suitable alternative position or face dismissal on medical grounds. Powell refused to accept the lower rate of pay and was dismissed in October 2013.
The EAT found that failing to maintain Powell's original salary was a failure to make a reasonable adjustment.