Worker Status. Storm In A Tea Cup Or The End For Associates?

Worker Status. Storm In A Tea Cup Or The End For Associates?

It is not just dentists who struggle to agree on a single treatment plan for the same patient. Recent developments, and a well-publicised case regarding worker status of dental associates, has produced a wide variety of opinions.  

Since the majority of UK Dental practices have operated for many years on the basis that dental associates are self-employed, and not employees or workers, this has major implications for the already stretched workforce.

Lawyers, HR advisers, and other groups, have provided a broad spectrum of interpretations, with inevitable confusion and uncertainty. Practice owners wondering if this is the end of associates as we know them, or a storm in a tea cup, may not be surprised to hear that in the words of Nick Ledingham, Senior Partner at Dental Accountants Morris and Co, “it’s complicated.”

NASDAL the National Association of Specialist Dental Accountants and Lawyers recently gave GDPUK an opportunity to quiz a team of its experts about current issues, including worker status.

According to Chris Davies Head of Healthcare at JCP Solicitors, “This case could have wide-ranging implications for the future of healthcare employment law”. He said that it was important to remember that the Sejpal-v-Rodericks case has been remitted back to the Employment Tribunal for final determination, following a successful appeal to the Employment Appeal Tribunal.

The associate was dismissed whilst on maternity leave, this placed the onus upon her to demonstrate that she was a worker, so that she could then make a claim against Rodericks. While she failed at the initial employment tribunal, as expected, she then appealed and won, which came as a surprise to some experts. However key aspects have been referred back to the tribunal.

The main questions that the Tribunal will need to answer are, whether individuals are carrying on a profession or business undertaking; and whether and in what circumstances a party is likely to be considered a client or customer in the context of dental practice relationships with Associates.

There may yet be a settlement between Sejpal and Rodericks, and then the case would not go to the Tribunal, and things would remain as they are.

Just one facet of the complications involved, is that there are so many different contracts in use between associates and practice owners, and the proposed appeal is specific to one particular contract and employer. Associates excited at the possibility of a windfall from a successful group action should not be booking their holiday or ordering the new car on the basis of a pay out, just yet. Apart from the challenge of acting against possibly thousands of practices rather than a handful of car makers or Uber, there are other considerations.

The current view from Chris and from Johnny Minford [Minford chartered Accountants], is that it is likely that a majority of current associates would prefer to remain self –employed, and that remains how HMRC still see them. However, to quote Nick, “As ever, it is important to seek specialist advice.”

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