Medium2 marksMultiple Choice
Corporate and Business LawSection BSyllabus CEmployment Law
This question is part of a case study — click to read the full scenario(Case 49)

SCENARIO: Harvest Horizon is an agri-tech firm. They hired Marcus as a drone operator. Marcus uses Harvest Horizon's drones, must wear their uniform, and is told exactly which fields to survey each day. However, his contract explicitly states: 'Marcus is an independent contractor and is responsible for his own tax.' Marcus has worked there for 3 years. Following a dispute over safety protocols, Harvest Horizon told Marcus not to return to work.

Based on the multiple test, what is Marcus's likely employment status?

ACCA · Question 51 · Corporate and Business Law

SCENARIO: Harvest Horizon is an agri-tech firm. They hired Marcus as a drone operator. Marcus uses Harvest Horizon's drones, must wear their uniform, and is told exactly which fields to survey each day. However, his contract explicitly states: 'Marcus is an independent contractor and is responsible for his own tax.' Marcus has worked there for 3 years. Following a dispute over safety protocols, Harvest Horizon told Marcus not to return to work.

If Marcus wins an unfair dismissal claim at the Employment Tribunal, which of the following is the tribunal's primary statutory remedy (even if rarely used in practice)?

Answer options:

A.

A basic award of compensation only.

B.

Reinstatement or re-engagement.

C.

An injunction preventing the company from operating.

D.

Punitive damages.

How to approach this question

Recall the hierarchy of remedies for unfair dismissal under the ERA 1996.

Full Answer

B.Reinstatement or re-engagement.✓ Correct
Under the Employment Rights Act 1996, if an employee wins an unfair dismissal claim, the tribunal must first consider making an order for reinstatement (getting the exact same job back) or re-engagement (a similar job). Only if these are not requested or not practicable will the tribunal award compensation.

Common mistakes

Assuming compensation is the primary statutory remedy because it is the most common practical outcome.

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