http://www.legislation.gov.uk/ukpga/1994/40/schedule/10/paragraph/1/1998-08-01Deregulation and Contracting Out Act 1994An Act to amend, and make provision for the amendment of, statutory provisions and rules of law in order to remove or reduce certain burdens affecting persons in the carrying on of trades, businesses or professions or otherwise, and for other deregulatory purposes; to make further provision in connection with the licensing of operators of goods vehicles; to make provision for and in connection with the contracting out of certain functions vested in Ministers of the Crown, local authorities, certain governmental bodies and the holders of certain offices; and for purposes connected therewith.texttext/xmlenStatute Law Database2024-02-071998-08-01 SCHEDULESSCHEDULE 10 Employment Agencies <Abbreviation Expansion="et cetera" xml:lang="la">etc.</Abbreviation>: Replacement of LicensingPart I General Great Britain11 The Employment Agencies Act 1973 shall be amended as follows.2Sections 1 to 3 (licences) shall cease to have effect.3After section 3 there shall be inserted— Prohibition orders Power to make orders.3A1On application by the Secretary of State, an employment tribunal may by order prohibit a person from carrying on, or being concerned with the carrying on of—aany employment agency or employment business; orbany specified description of employment agency or employment business.2An order under subsection (1) of this section (in this Act referred to as “a prohibition order”) may either prohibit a person from engaging in an activity altogether or prohibit him from doing so otherwise than in accordance with specified conditions.3A prohibition order shall be made for a period beginning with the date of the order and ending—aon a specified date, orbon the happening of a specified event,in either case, not more than ten years later.4Subject to subsections (5) and (6) of this section, an employment tribunal shall not make a prohibition order in relation to any person unless it is satisfied that he is, on account of his misconduct or for any other sufficient reason, unsuitable to do what the order prohibits.5An employment tribunal may make a prohibition order in relation to a body corporate if it is satisfied that—aany director, secretary, manager or similar officer of the body corporate,bany person who performs on behalf of the body corporate the functions of a director, secretary, manager or similar officer, orcany person in accordance with whose directions or instructions the directors of the body corporate are accustomed to act,is unsuitable, on account of his misconduct or for any other sufficient reason, to do what the order prohibits.6An employment tribunal may make a prohibition order in relation to a partnership if it is satisfied that any member of the partnership, or any manager employed by the partnership, is unsuitable, on account of his misconduct or for any other sufficient reason, to do what the order prohibits.7For the purposes of subsection (4) of this section, where an employment agency or employment business has been improperly conducted, each person who was carrying on, or concerned with the carrying on of, the agency or business at the time, shall be deemed to have been responsible for what happened unless he can show that it happened without his connivance or consent and was not attributable to any neglect on his part.8A person shall not be deemed to fall within subsection (5)(c) of this section by reason only that the directors act on advice given by him in a professional capacity.9In this section—director”, in relation to a body corporate whose affairs are controlled by its members, means a member of the body corporate; andspecified”, in relation to a prohibition order, means specified in the order. Enforcement.3BAny person who, without reasonable excuse, fails to comply with a prohibition order shall be guilty of an offence and liable on summary conviction to a fine not exceeding level 5 on the standard scale. Variation and revocation of orders.3C1On application by the person to whom a prohibition order applies, an employment tribunal may vary or revoke the order if the tribunal is satisfied that there has been a material change of circumstances since the order was last considered.2An employment tribunal may not, on an application under this section, so vary a prohibition order as to make it more restrictive.3The Secretary of State shall be a party to any proceedings before an employment tribunal with respect to an application under this section, and be entitled to appear and be heard accordingly.4When making a prohibition order or disposing of an application under this section, an employment tribunal may, with a view to preventing the making of vexatious or frivolous applications, by order prohibit the making of an application, or further application, under this section in relation to the prohibition order before such date as the tribunal may specify in the order under this subsection. Appeals.3D1An appeal shall lie to the Employment Appeal Tribunal on a question of law arising from any decision of, or arising in proceedings before, an employment tribunal under section 3A or 3C of this Act.2No other appeal shall lie from a decision of an employment tribunal under section 3A or 3C of this Act; and section 11 of the Tribunals and Inquiries Act 1992 (appeals from certain tribunals to High Court or Court of Session) shall not apply to proceedings before an employment tribunal under section 3A or 3C of this Act.4In section 9(4)(a)(iv) (circumstances in which information obtained in exercise of statutory powers may be disclosed) for “hearing under section 3(7) of this Act” there shall be substituted “ proceedings under section 3A, 3C or 3D of this Act ”.5In section 13(1) (interpretation) after the definition of “prescribed” there shall be inserted—prohibition order” has the meaning given by section 3A(2) of this Act;.1973 c35. Words in Sch.10 para. 1(3) substituted (E.W.S.) (1.8.1998) by 1998 c. 8, s. 1(2)(a) (with s. 16(2)); S.I. 1998/1658, art. 2(1), Sch. 11992 c. 53.
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<Number>SCHEDULE 10</Number>
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Employment Agencies
<Abbreviation Expansion="et cetera" xml:lang="la">etc.</Abbreviation>
: Replacement of Licensing
</Title>
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<ScheduleBody>
<Part DocumentURI="http://www.legislation.gov.uk/ukpga/1994/40/schedule/10/part/I/1998-08-01" IdURI="http://www.legislation.gov.uk/id/ukpga/1994/40/schedule/10/part/I" NumberOfProvisions="9" RestrictStartDate="1995-01-03" id="schedule-10-part-I" RestrictEndDate="2004-07-22">
<Number>Part I</Number>
<Title> General</Title>
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<Title> Great Britain</Title>
<P1 DocumentURI="http://www.legislation.gov.uk/ukpga/1994/40/schedule/10/paragraph/1/1998-08-01" IdURI="http://www.legislation.gov.uk/id/ukpga/1994/40/schedule/10/paragraph/1" RestrictExtent="E+W+S+N.I." RestrictStartDate="1998-08-01" id="schedule-10-paragraph-1" RestrictEndDate="2004-07-22">
<Pnumber>1</Pnumber>
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<Pnumber>1</Pnumber>
<P2para>
<Text>
<CommentaryRef Ref="c1365908"/>
The Employment Agencies Act 1973 shall be amended as follows.
</Text>
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<P2 DocumentURI="http://www.legislation.gov.uk/ukpga/1994/40/schedule/10/paragraph/1/2/1998-08-01" IdURI="http://www.legislation.gov.uk/id/ukpga/1994/40/schedule/10/paragraph/1/2" id="schedule-10-paragraph-1-2">
<Pnumber>2</Pnumber>
<P2para>
<Text>Sections 1 to 3 (licences) shall cease to have effect.</Text>
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<Pnumber>3</Pnumber>
<P2para>
<Text>After section 3 there shall be inserted—</Text>
<BlockAmendment TargetClass="primary" TargetSubClass="unknown" Context="main" Format="default">
<Pblock>
<Title> Prohibition orders</Title>
<P1group>
<Title> Power to make orders.</Title>
<P1>
<Pnumber>3A</Pnumber>
<P1para>
<P2>
<Pnumber>1</Pnumber>
<P2para>
<Text>
On application by the Secretary of State, an
<Addition ChangeId="d30p8704" CommentaryRef="c1365909">employment tribunal</Addition>
may by order prohibit a person from carrying on, or being concerned with the carrying on of—
</Text>
<P3>
<Pnumber>a</Pnumber>
<P3para>
<Text>any employment agency or employment business; or</Text>
</P3para>
</P3>
<P3>
<Pnumber>b</Pnumber>
<P3para>
<Text>any specified description of employment agency or employment business.</Text>
</P3para>
</P3>
</P2para>
</P2>
<P2>
<Pnumber>2</Pnumber>
<P2para>
<Text>
An order under subsection (1) of this section (in this Act referred to as “
<Term>a prohibition order</Term>
”) may either prohibit a person from engaging in an activity altogether or prohibit him from doing so otherwise than in accordance with specified conditions.
</Text>
</P2para>
</P2>
<P2>
<Pnumber>3</Pnumber>
<P2para>
<Text>A prohibition order shall be made for a period beginning with the date of the order and ending—</Text>
<P3>
<Pnumber>a</Pnumber>
<P3para>
<Text>on a specified date, or</Text>
</P3para>
</P3>
<P3>
<Pnumber>b</Pnumber>
<P3para>
<Text>on the happening of a specified event,</Text>
</P3para>
<P3para>
<Text>in either case, not more than ten years later.</Text>
</P3para>
</P3>
</P2para>
</P2>
<P2>
<Pnumber>4</Pnumber>
<P2para>
<Text>
Subject to subsections (5) and (6) of this section, an
<Addition ChangeId="d30p8756" CommentaryRef="c1365909">employment tribunal</Addition>
shall not make a prohibition order in relation to any person unless it is satisfied that he is, on account of his misconduct or for any other sufficient reason, unsuitable to do what the order prohibits.
</Text>
</P2para>
</P2>
<P2>
<Pnumber>5</Pnumber>
<P2para>
<Text>
An
<Addition ChangeId="d30p8766" CommentaryRef="c1365909">employment tribunal</Addition>
may make a prohibition order in relation to a body corporate if it is satisfied that—
</Text>
<P3>
<Pnumber>a</Pnumber>
<P3para>
<Text>any director, secretary, manager or similar officer of the body corporate,</Text>
</P3para>
</P3>
<P3>
<Pnumber>b</Pnumber>
<P3para>
<Text>any person who performs on behalf of the body corporate the functions of a director, secretary, manager or similar officer, or</Text>
</P3para>
</P3>
<P3>
<Pnumber>c</Pnumber>
<P3para>
<Text>any person in accordance with whose directions or instructions the directors of the body corporate are accustomed to act,</Text>
</P3para>
<P3para>
<Text>is unsuitable, on account of his misconduct or for any other sufficient reason, to do what the order prohibits.</Text>
</P3para>
</P3>
</P2para>
</P2>
<P2>
<Pnumber>6</Pnumber>
<P2para>
<Text>
An
<Addition ChangeId="d30p8797" CommentaryRef="c1365909">employment tribunal</Addition>
may make a prohibition order in relation to a partnership if it is satisfied that any member of the partnership, or any manager employed by the partnership, is unsuitable, on account of his misconduct or for any other sufficient reason, to do what the order prohibits.
</Text>
</P2para>
</P2>
<P2>
<Pnumber>7</Pnumber>
<P2para>
<Text>For the purposes of subsection (4) of this section, where an employment agency or employment business has been improperly conducted, each person who was carrying on, or concerned with the carrying on of, the agency or business at the time, shall be deemed to have been responsible for what happened unless he can show that it happened without his connivance or consent and was not attributable to any neglect on his part.</Text>
</P2para>
</P2>
<P2>
<Pnumber>8</Pnumber>
<P2para>
<Text>A person shall not be deemed to fall within subsection (5)(c) of this section by reason only that the directors act on advice given by him in a professional capacity.</Text>
</P2para>
</P2>
<P2>
<Pnumber>9</Pnumber>
<P2para>
<Text>In this section—</Text>
<UnorderedList Decoration="none" Class="Definition">
<ListItem>
<Para>
<Text>
<Term>director</Term>
”, in relation to a body corporate whose affairs are controlled by its members, means a member of the body corporate; and
</Text>
</Para>
</ListItem>
<ListItem>
<Para>
<Text>
<Term>specified</Term>
”, in relation to a prohibition order, means specified in the order.
</Text>
</Para>
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</P1para>
</P1>
</P1group>
<P1group>
<Title> Enforcement.</Title>
<P1>
<Pnumber>3B</Pnumber>
<P1para>
<Text>Any person who, without reasonable excuse, fails to comply with a prohibition order shall be guilty of an offence and liable on summary conviction to a fine not exceeding level 5 on the standard scale.</Text>
</P1para>
</P1>
</P1group>
<P1group>
<Title> Variation and revocation of orders.</Title>
<P1>
<Pnumber>3C</Pnumber>
<P1para>
<P2>
<Pnumber>1</Pnumber>
<P2para>
<Text>
On application by the person to whom a prohibition order applies, an
<Addition ChangeId="d30p8856" CommentaryRef="c1365909">employment tribunal</Addition>
may vary or revoke the order if the tribunal is satisfied that there has been a material change of circumstances since the order was last considered.
</Text>
</P2para>
</P2>
<P2>
<Pnumber>2</Pnumber>
<P2para>
<Text>
An
<Addition ChangeId="d30p8866" CommentaryRef="c1365909">employment tribunal</Addition>
may not, on an application under this section, so vary a prohibition order as to make it more restrictive.
</Text>
</P2para>
</P2>
<P2>
<Pnumber>3</Pnumber>
<P2para>
<Text>
The Secretary of State shall be a party to any proceedings before an
<Addition ChangeId="d30p8876" CommentaryRef="c1365909">employment tribunal</Addition>
with respect to an application under this section, and be entitled to appear and be heard accordingly.
</Text>
</P2para>
</P2>
<P2>
<Pnumber>4</Pnumber>
<P2para>
<Text>
When making a prohibition order or disposing of an application under this section, an
<Addition ChangeId="d30p8886" CommentaryRef="c1365909">employment tribunal</Addition>
may, with a view to preventing the making of vexatious or frivolous applications, by order prohibit the making of an application, or further application, under this section in relation to the prohibition order before such date as the tribunal may specify in the order under this subsection.
</Text>
</P2para>
</P2>
</P1para>
</P1>
</P1group>
<P1group>
<Title> Appeals.</Title>
<P1>
<Pnumber>3D</Pnumber>
<P1para>
<P2>
<Pnumber>1</Pnumber>
<P2para>
<Text>
An appeal shall lie to the Employment Appeal Tribunal on a question of law arising from any decision of, or arising in proceedings before, an
<Addition ChangeId="d30p8903" CommentaryRef="c1365909">employment tribunal</Addition>
under section 3A or 3C of this Act.
</Text>
</P2para>
</P2>
<P2>
<Pnumber>2</Pnumber>
<P2para>
<Text>
No other appeal shall lie from a decision of an
<Addition ChangeId="d30p8913" CommentaryRef="c1365909">employment tribunal</Addition>
under section 3A or 3C of this Act; and section 11 of the Tribunals and Inquiries
<CommentaryRef Ref="c1365919"/>
Act 1992 (appeals from certain tribunals to High Court or Court of Session) shall not apply to proceedings before an
<Addition ChangeId="d30p8919" CommentaryRef="c1365909">employment tribunal</Addition>
under section 3A or 3C of this Act.
</Text>
</P2para>
</P2>
</P1para>
</P1>
</P1group>
</Pblock>
</BlockAmendment>
</P2para>
</P2>
<P2 DocumentURI="http://www.legislation.gov.uk/ukpga/1994/40/schedule/10/paragraph/1/4/1998-08-01" IdURI="http://www.legislation.gov.uk/id/ukpga/1994/40/schedule/10/paragraph/1/4" id="schedule-10-paragraph-1-4">
<Pnumber>4</Pnumber>
<P2para>
<Text>
In section 9(4)(a)(iv) (circumstances in which information obtained in exercise of statutory powers may be disclosed) for “hearing under section 3(7) of this Act” there shall be substituted
<InlineAmendment>“ proceedings under section 3A, 3C or 3D of this Act ”</InlineAmendment>
.
</Text>
</P2para>
</P2>
<P2 DocumentURI="http://www.legislation.gov.uk/ukpga/1994/40/schedule/10/paragraph/1/5/1998-08-01" IdURI="http://www.legislation.gov.uk/id/ukpga/1994/40/schedule/10/paragraph/1/5" id="schedule-10-paragraph-1-5">
<Pnumber>5</Pnumber>
<P2para>
<Text>In section 13(1) (interpretation) after the definition of “prescribed” there shall be inserted—</Text>
<BlockAmendment TargetClass="primary" TargetSubClass="unknown" Context="main" Format="default">
<P3para>
<Text>
<Term>prohibition order</Term>
” has the meaning given by section 3A(2) of this Act;
</Text>
</P3para>
</BlockAmendment>
<AppendText>.</AppendText>
</P2para>
</P2>
</P1para>
</P1>
</Pblock>
</Part>
</ScheduleBody>
</Schedule>
</Schedules>
</Primary>
<Commentaries>
<Commentary id="c1365908" Type="M">
<Para>
<Text>1973 c35. </Text>
</Para>
</Commentary>
<Commentary id="c1365909" Type="F">
<Para>
<Text>
Words in
<CitationSubRef id="c00616" URI="http://www.legislation.gov.uk/id/ukpga/1994/40/schedule/10/paragraph/1/3" SectionRef="schedule-10-paragraph-1-3">Sch.10 para. 1(3)</CitationSubRef>
substituted (E.W.S.) (1.8.1998) by
<Citation URI="http://www.legislation.gov.uk/id/ukpga/1998/8" id="c00617" Year="1998" Class="UnitedKingdomPublicGeneralAct" Number="8">1998 c. 8</Citation>
,
<CitationSubRef id="c00618" URI="http://www.legislation.gov.uk/id/ukpga/1998/8/section/1/2/a" Operative="true" CitationRef="c00617" SectionRef="section-1-2-a">s. 1(2)(a)</CitationSubRef>
(with
<CitationSubRef id="c00619" URI="http://www.legislation.gov.uk/id/ukpga/1998/8/section/16/2" CitationRef="c00617" SectionRef="section-16-2">s. 16(2)</CitationSubRef>
);
<Citation URI="http://www.legislation.gov.uk/id/uksi/1998/1658" id="c00620" Class="UnitedKingdomStatutoryInstrument" Year="1998" Number="1658">S.I. 1998/1658</Citation>
,
<CitationSubRef id="c00621" URI="http://www.legislation.gov.uk/id/uksi/1998/1658/article/2/1" CitationRef="c00620" SectionRef="article-2-1">art. 2(1)</CitationSubRef>
,
<CitationSubRef id="c00622" URI="http://www.legislation.gov.uk/id/uksi/1998/1658/schedule/1" Operative="true" CitationRef="c00620" SectionRef="schedule-1">Sch. 1</CitationSubRef>
</Text>
</Para>
</Commentary>
<Commentary id="c1365919" Type="M">
<Para>
<Text>
<Citation URI="http://www.legislation.gov.uk/id/ukpga/1992/53" id="c00623" Year="1992" Class="UnitedKingdomPublicGeneralAct" Number="53">1992 c. 53</Citation>
.
</Text>
</Para>
</Commentary>
</Commentaries>
</Legislation>