1. The employment law system



Employment rights in the UK have two main sources. The first is legislation enacted by Parliament in the form of Acts of Parliament or regulations. This is referred to as statutory law (from “statute”— another word for a piece of legislation). The second is common law (also referred to as “case law”), which has developed over the years from decisions made by judges in specific cases. 




The system of legal precedent means that lower courts are bound by the decisions of higher courts. In an employment law context, employment tribunals must follow the decisions of the Employment Appeal Tribunal (EAT), which must in turn follow those of the Court of Appeal (or Court of Session in Scotland). Decisions of the employment tribunal (the first tier of courts) are not binding on other tribunals. 




In Northern Ireland, appeals from industrial tribunals (called Fair Employment Tribunals) go straight to the Court of Appeal. However, judgments of the EAT are strongly persuasive on these tribunals, which means they can still be used to support a claim. The Supreme Court (which used to be known as the House of Lords) is the highest court in the UK, so the principles decided there will apply to all courts and tribunals. The Supreme Court is bound by rulings of the Court of Justice of the European Union (ECJ).