PCS wins case over HMRC refusal to deduct union subscriptions

Peninsula Blog

December 15 2022

The Public and Commercial Services Union (PCS) has won a claim in the High Court over the removal of HMRC staff’s right to have their union membership fees deducted at source

The so-called check-off facility meant that HMRC members of the PCS union could have their union subscriptions deducted directly from their salaries.

This is the fifth case taken against Whitehall departments following the government’s decision to outlaw the deduction system.

The win against HMRC comes on the back of previous victories against the (then) Department for Communities and Local Government, the Department for Work and Pensions, the Home Office and the Department for Food and Rural Affairs.

The High Court has ruled that:

  • PCS members in HMRC have a contractual right to check off;
  • HMRC breached that contract by withdrawing it; and
  • PCS is entitled to damages as a third party to the contract.

The Department for Work and Pensions has already settled its claim, paying PCS £3m in damages.

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PCS general secretary Mark Serwotka said: ‘The withdrawal of the check-off facility was a naked attempt by the government to bankrupt our union. We have beaten off that attempt through magnificent organising efforts and we are holding them to account in the courts for their unlawful actions.

‘Each time the government loses one of these cases in the High Court, they are forced to pay legal costs of around £250,000. So far, therefore, they have pointlessly squandered over £1m of taxpayers’ money defending the indefensible.

‘We are once again writing to the Cabinet Office seeking a negotiated settlement of these cases. We hope that the government will see sense, but we will continue to pursue litigation in all other cases if they do not.’

Ann Rooney of Thompsons Solicitors, who represented the PCS members, said: “This is the fifth government department that ended check-off on a political whim and the fifth win for PCS and its members.

‘While legally this is starting to look like shooting fish in a barrel for the members, there is the stress of the litigation and there is a huge hit for the public purse. The damages paid so far are £3m and it is likely that these further cases will also be in the millions.’

If you have more questions on making deductions from employee wages, visit BrAInbox today where you can find answers to questions like What do I do if I've overpaid an employee?

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