Part C Employment law 8: Contract of employment 131
This duty also extends after the employment where trade secrets are concerned. Employees will be in
breach of their duty if they disclose such secrets to their new employer.
The facts of the case and the nature of employment should be considered when making a decision, for
example customer lists of a chicken selling business was not considered a trade secret when a sales
manager set up their own competing organisation (Faccenda Chicken Ltd v Fowler 1986).
The implied duties of the employee include the following.
(a) Reasonable competence to do their job.
(b) Obedience to the employer's instructions unless they require them to do an unlawful act or to
expose themselves to personal danger (not inherent in their work) or are instructions outside the
employee's contract.
Pepper v Webb 1969
The facts: The defendant, a gardener refused to obey instructions from his employer regarding
planting in the garden. He also swore at him.
Decision: The gardener was in breach of his implied duty to obey as the instructions were lawful
and reasonable.(c) Duty to account for all money and property received during the course of their employment except
what is customary to be received or is trivial.
Boston Deep Sea Fishing and Ice Co v Ansell 1888
The facts: The defendant, who was managing director of the claimant company, accepted personal
commissions from suppliers on orders which he placed with them for goods supplied to the
company. He was dismissed and the company sued to recover from him the commissions.
Decision: The company was justified in dismissing the claimant and he must account to it for the
commissions.(d) Reasonable care and skill in the performance of their work. What is reasonable depends on the
degree of skill and experience which the employee professes to have.
(e) Personal service – the contract of employment is a personal one and so the employee may not
delegate their duties without the employer's express or implied consent.
4.2 Employer's duties
There is an overriding duty of mutual trust and confidence between the employer and the employee.
Examples of where this duty have been breached include:
A director calling their secretary 'an intolerable bitch on a Monday morning' – Isle of Wight Tourist
Board v Coombes 1976
Failure to investigate a sexual harassment claim – Bracebridge Engineering v Darby 1990
The employer usually also has the following duties at common law:
(a) To pay remuneration to employees. If there is no rate fixed by the parties, this duty is to pay
reasonable remuneration.
(b) To indemnify the employee against expenses and losses incurred in the course of employment.
(c) To take care of the employees' health and safety at work. This is also provided for in statute.
(d) To provide work, where
- The employee is an apprentice
- The employee is paid with reference to work done
- The opportunity to work is the essence of the contract (for example, for actors)