Tax Credits Act 2002 Schedule 1 para 1

Right not to suffer detriment: Great Britain

Schedule 1, paragraph 1 protects employees in Great Britain from being penalised by their employer because they have claimed or are entitled to tax credits, by inserting new provisions into the Employment Rights Act 1996.

• Employees have the right not to suffer any detriment from their employer because they took action to enforce rights under tax credit regulations, because a penalty was imposed on the employer as a result of such action, or because the employee is or may become entitled to working tax credit.
• The protection applies even if the employee does not actually have the right in question or the right has not actually been infringed, provided the claim was made in good faith.
• The protection extends beyond traditional employees to include any person who counts as an employee for the purposes of the employer obligations under section 25 of the Tax Credits Act 2002, and also covers armed forces personnel and staff of the House of Lords and House of Commons.
• Where the detriment amounts to dismissal, the employee must pursue a claim under the unfair dismissal provisions instead, and compensation for non-employees whose contract is terminated is capped at the equivalent of what would be payable for unfair dismissal.

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