Monday 11 July 2011

Can ex-News of the World journalists sue their former employer?

Employment law specialists have offered a ray of hope to ex-News of the World journalists who may be worried about getting another job within the media because of their employer’s involvement in the phone-hacking scandal, which by all accounts is due to continue, both with further revelations and public inquiries, for quite some time.

A House of Lords judgement in 1997 established that, in principle, employees can sue their former employers for damages if they struggle to find further employment because of their employer’s damaged reputation.

The court’s judgement in the Malik v Bank of Credit and Commerce International case set the precedent for employees to sue their employers if their corrupt conduct has made it difficult to find a job within the same industry.

News of the World journalists who are worried that they will be unable to find a job because they’ll be tarred with the same brush as News International, Rupert Murdoch’s company that owned the now defunct newspaper.

The City of London law firm, Silverman Sherliker, has offered its services to the former News of the World employees who are concerned that the allegations of phone hacking will diminish their professional reputations, according to the Financial Times.

The law firm said: "News of the World employees are... distressed about the potential long-term career damage that they may suffer by being... unjustly tainted by the acts of others”.

Bringing a claim for damaged reputation is difficult and therefore such actions are rare. However, in the House of Lords judgement, the judge did say that the "difficulties of proof cannot alter the legal principles which permit, in appropriate cases, such claims for financial loss caused by breach of contract being put forward for consideration”.

The legal action would concern the implied duty of mutual trust and confidence between the two parties in an employment relationship. It is possible to argue that by damaging an employee’s professional reputation through association with the disgraced employer can be a breach of this implied duty.

Employment law experts could be giving News International cause to consider just how many ex-News of the World journalists will be re-employed elsewhere in the giant media corporation, in order to avoid being sued by them for damages.

Job Justice works with specialist employment solicitors throughout the UK. If you have been affected by this issue, or any employment issue, please get in touch today. We can help you find the right employment solicitor for your needs.

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