Statutory Recognition – Guidance on Part II of Schedule A1
This guidance relates to agreements for collective bargaining recognition
Applies to England, Scotland and Wales
Introduction
Part II (paragraphs 52-63) of Schedule A1 to the Trade Union and Labour Relations (Consolidation) Act 1992 applies where the union and employer have reached a voluntary agreement following a request by the union for statutory recognition. These agreements are positioned between statutory recognition on the one hand (see the separate publication, Statutory Recognition - Guide for the Parties), and non-binding, voluntary recognition on the other. The Act refers to these as “agreements for recognition” and describes Part II as “Voluntary Recognition”. Under Part II, where the employer and union have reached agreement, they can ask the CAC to specify the method by which they will conduct collective bargaining. Any method specified by the CAC will be legally binding unless both parties agree otherwise.
Characteristics
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Whereas the CAC may not interfere in a purely voluntary bargaining arrangement (except in respect of the derecognition of a non-independent union - see separate Guide to Part VI), it will have the power to impose a binding method of collective bargaining on the application of either party to an agreement for recognition.
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The employer will not be entitled to terminate an agreement for recognition before three years have passed, subject to the terms of the agreement. After three years the employer may terminate the agreement without going through any statutory procedure. The union may terminate an agreement for recognition at any time without the consent of the employer.
Throughout this guide, references to ‘union’ should be read as references to ‘unions’ in the plural in cases where more than one union is recognised under the agreement in question.
The Central Arbitration Committee
2.1 The Central Arbitration Committee (CAC) is an independent tribunal with statutory powers. Its Chair is Stephen Redmond. Under the Employment Relations Act 1999, it has been given statutory responsibility to adjudicate disputes over trade union recognition. It also has powers in relation to the Information and Consultation Regulations, European Works Councils and The European Public Limited – Liability Company (Employee Involvement) (Great Britain) Regulations 2009 and it determines claims from trade unions on the disclosure of information for collective bargaining purposes. It can also provide voluntary arbitration on a reference from Acas. The CAC’s approach is flexible and seeks to be problem-solving, in line with its general duty under paragraph 171 of the Schedule to “have regard to the object of encouraging and promoting fair and efficient practices and arrangements in the workplace”. Trade union recognition presently forms the vast majority of the CAC’s work. This guide only covers the statutory recognition provisions in the Trade Union and Labour Relations (Consolidation) Act 1992.
Statutory recognition
2.2 The statutory recognition provisions provide that where the union and employer have reached a voluntary agreement for recognition following a formal request by the union for statutory recognition under Part I of the Schedule (see paragraph 4.1 of the CAC’s Guide to Part I) and the union withdraws that request and has not yet submitted an application to the CAC for statutory recognition, the parties can then ask the CAC to specify the method of collective bargaining if they have been unable to reach an agreement. Part II of the Schedule also applies where the parties have reached an agreement for recognition voluntarily after an application has been submitted to the CAC and where both parties have provided to the CAC a “joint notice to cease consideration” as set out in paragraph 17 of the Schedule. Either party may also ask the CAC to determine whether an agreement is an agreement for recognition and for assistance in carrying out a method of collective bargaining under an agreement for recognition. Any method specified by the CAC will be legally binding unless both parties agree otherwise.
2.3 As well as statutory procedures for recognition there are also procedures for de-recognition and for the impact on statutory recognition of changes to the bargaining unit. These are briefly summarised in Annex 1 and separate Guides for those procedures are available by email from the CAC and on the CAC’s website.
CAC Proceedings
3.1 The CAC will be even-handed in its application of the legislation. The procedures will be as user-friendly for both employers and trade unions as possible.
3.2 On receipt, an application will be checked to ensure that all of the relevant questions have been answered and that it is made in line with the statute before being allocated to a CAC case manager, a member of the Secretariat. Incomplete applications will be returned to the applicant party for resubmission and applications not accompanied by documents that are specified by the CAC will be rejected. The existence of each registered application will be made public on the CAC website.
3.3 A Panel of three CAC members will be appointed to deal with each application. The Panel will consist of the CAC Chair or, more usually, one of the Deputies and one Member with experience as a representative of employers and one Member with experience as a representative of workers. While the composition of the Panel will normally remain the same throughout an application, it may be necessary to change the membership in the event of unavailability of one of the members. Both parties will be informed of the names of the Panel members, and of any changes in the composition of the Panel.
3.4 The case manager will be the main point of parties’ contact, making enquiries of the parties on the instructions of the Panel. They will ensure that correspondence and documents are cross copied between the parties and the Panel as appropriate. The case manager will explain the statutory procedures and help both parties understand the implications of the legislation, as well as resolve difficulties. Either party can contact the case manager with queries concerning the application and the statutory procedure; the case manager can quickly liaise with the Panel where necessary. Should the case manager be out of the office for any reason, another CAC official will handle the case in their absence.
3.5 The CAC’s approach will be as flexible as possible, given that the processes are laid down in legislation and are quite formal in nature. The CAC will try to take a problem-solving approach and to help the parties, reach voluntary agreements outside the statutory process. Both parties are free to contact the case manager at any time to discuss the application. The CAC will make decisions based on the submissions and evidence put before it by the parties. It will be for the parties to take the initiative in developing their submissions and marshalling their evidence in preparation for each decision point. The onus is on a party that wishes to have an issue considered to raise it formally with the CAC.
3.6 Since the CAC has a duty to help the parties to resolve underlying problems and reach agreement, some contacts between the CAC and the parties will be of an informal nature. However, the CAC also has to take formal decisions based on evidence available to both parties, so there is a mix of informal and formal processes. Where necessary, the case manager and Panel members will make it clear to the parties when they are discussing matters informally and when the discussion is part of a formal process.
Time
3.7 Time periods in the Schedule are measured in ‘working days’. The Schedule defines a working day as a day other than a Saturday or a Sunday, Christmas day or Good Friday, or a day which is a bank holiday under the Banking and Financial Dealings Act 1971 in the relevant part of Great Britain.
Application form
3.8 The application form is available from the CAC, together with notes on the information required from the party making the application. Applicants should complete the form ensuring all questions are answered, but in the knowledge that the application form and any supporting documentation sent with it must be copied to the other party. It would therefore not normally contain names or addresses of individuals. It is however essential that the application is sufficiently clear for the CAC, and the other party to be able to identify readily whether the CAC is being asked to determine whether an agreement is an agreement for recognition and or for assistance in agreeing or carrying out a method of collective bargaining under an agreement for recognition.
3.9 After an application has been checked to ensure all the relevant information has been provided, the Secretariat will send notification of receipt to both the applicant and the other party. The other party will be asked to complete a form for the CAC with questions that are designed to elicit information and evidence relevant to the admissibility criteria of Schedule A1. This response form allied to the application form and supporting documents will inform the Panel of any issues that are disputed and enable it to make focused further enquiries before deciding whether to accept the application.
Confidentiality
3.10 Under paragraph 61 of the Schedule an application to the CAC is not valid unless the applicant gives to the other party a copy of the application and any documents supporting it. This means that the application and any documents submitted at the same time as the application documentation must be copied to the other party.
3.11 There may be informal communications and discussions in pursuit of the CAC’s duty to help the parties reach a voluntary agreement, and both parties can give the CAC case manager or the CAC Panel information on a confidential basis during that period but must make it plain that such information is confidential and/or speculative. Where appropriate, CAC Panels or the case manager will explain to the parties in advance the consequences of discussing matters with the CAC. However, this confidentiality is qualified: if the confidential information disclosed to the CAC Panel concerns key facts that are relevant to the Panel’s decision, in the interests of fairness, the CAC Panel will, if the matter continues to a contested decision, later be obliged to make that information available to both parties so as to enable it to be checked and/or challenged at a hearing. The Panel will always warn the parties concerned in advance that this may occur and inform the party concerned before disclosing any information previously given in confidence.
3.12 If either party wishes to discuss any information informally with confidentiality guaranteed, they can contact Acas about this, whether or not Acas are already involved. Anything said to Acas in confidence would not be passed to the CAC and therefore would not be taken into account in any decision.
Hearings
3.13 Hearings are not always necessary with most decisions being made by the Panel on the papers after giving each party the opportunity to make submissions or if it appears to the Panel that there is no material dispute. If it appears that a hearing will be necessary, the Panel chair may hold a preliminary meeting in order to set out procedures and identify the issues disputed. The parties will be asked to submit and exchange evidence in the form of written submissions prior to the hearing. New evidence will only be admitted at hearings for good reasons and at the discretion of the Panel and, where it is admitted, parties can request that the Panel allows some additional time, such as a short adjournment, to consider the new evidence. The parties will be asked to inform the CAC Panel in advance of the names and job titles of those attending the hearing. Speakers should be persons who are capable of representing the positions of the parties and who can contribute appropriately to the evidence required to assist the Panel’s considerations at the particular stage in the statutory procedure. The parties may appoint representatives but there is no requirement to use lawyers. Hearings will generally be held in public, although it is open to the CAC to hold a hearing (or part of a hearing) in private, for example if the Panel considers there are areas of particular confidentiality or that it is necessary in order to reach a satisfactory settlement. The CAC intends to hold hearings in as informal a way as is consistent with clarity and fairness. Each party will be asked to comment on and amplify its written statement and to comment on the other’s evidence and to answer questions put by the CAC Panel. Speakers and any witnesses may be cross-questioned where factual issues are in dispute, at the discretion of the Panel chair.
3.14 In certain circumstances the CAC Panel may determine that stricter standards of evidence are required, or that more formality in proceedings is appropriate. Parties will be advised if this is the case in good time prior to the hearing.
3.15 The CAC is required to meet relatively short deadlines set by statute, and hearings, if they are necessary, will normally be arranged as quickly as possible in order to meet these deadlines. Wherever possible hearing dates will be arranged taking account of the convenience of the parties but there are occasions where it is necessary for the CAC to impose a hearing date in order to comply with its statutory obligations. Where a hearing date is imposed the CAC will give as much notice to the parties as is possible in the light of the statutory requirements. The CAC expects that hearings will normally be completed in a day, and the procedures adopted at the hearings will be based on that expectation.
Format of the hearing
3.16 It will be for the Panel chair to decide whether a hearing is held by virtual means or in person. If the hearing is to be a virtual hearing the parties will also be asked to provide the email addresses of attendees so that invites can be sent at the appropriate time by email. If the hearing is to take place in person, it may be held at locations other than London where this is believed helpful and/or more convenient to the parties. The decision on the hearing format, as well as location, will rest with the CAC. Forthcoming hearings whether virtual or in person are listed on the CAC’s website. If a member of the public wishes to attend a virtual hearing, they should contact the CAC on enquiries@cac.gov.uk so arrangements can be made for the necessary invite.
CAC Decisions
3.17 After the parties have been sent a decision by email it will be posted on the CAC website. The Panel’s decisions concerning the processing of an application, such as a decision to hold a hearing, will be communicated to the parties in a letter from the case manager. However, the decision itself will always have been made by the Panel. Extensions are covered in more detail below.
Extensions
3.18 At most stages of the statutory process, the time limits may be extended by the CAC Panel as long as it gives the parties notice of the extension and states the reasons for the extension. Where one of the parties requests an extension to a statutory time limit, the Panel, in deciding whether to grant the extension, will follow these principles:
a) the Panel will take into account the views of the party making the request, the reasons for the request and any relevant circumstances in which the request is made,
b) the Panel will seek to avoid giving an unfair advantage to either party,
c) the Panel will aim to keep such extensions to a minimum,
d) the Panel will take all reasonable steps to consult the other party and seek their views prior to reaching a decision,
e) the case manager will inform the parties in writing of the Panel’s decision with regard to the extension, together with the reason for the extension (if any) and its duration.
3.19 Extensions may also be granted by the Panel at the joint request of both parties. In addition, the Panel may grant an extension at its own instigation where, for example, it needs more information or to hold a hearing. In such cases, the parties will be informed of the reason for the extension and its duration.
3.20 The CAC does not charge for carrying out its statutory functions (and there is no scope for the CAC to pay the expenses of either party).
Contact details for CAC:
Address:
Central Arbitration Committee
PO Box 80600
London
E15 9JX
Tel: 0330 109 3610
Email: enquiries@cac.gov.uk
Website: CAC Website
Contact names:
Chief Executive - Maverlie Tavares
Operations Manager - Bola Olayinka
User Satisfaction
If you are asked for your views on any aspect of our service, we would appreciate your cooperation. But if you have comments, whether of satisfaction, complaint or suggestion, please do not wait to be asked. If you are dissatisfied with any aspect of our service, please let us know so that we can put things right. If you cannot resolve the problem with the person who dealt with you originally, please ask to speak to the Operations Manager or, if necessary, the Chief Executive who will investigate your complaint. If you wish to complain in writing, please send an email to enquiries@cac.gov.uk for the attention of Maverlie Tavares, Chief Executive or post it to the above address.
In the event of any complaint, we hope that you will let us try to put things right. But, if necessary, you can write to your MP who can tell you how to have your complaint referred to the Parliamentary Commissioner for Administration (the Ombudsman).
Qualifying conditions
4.1 An agreement qualifies as an agreement for recognition if:
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The agreement is between a union (or unions) and an employer and, under the agreement, the union is recognised to conduct collective bargaining on behalf of a group or groups of workers employed by the employer.
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The union had initiated the statutory recognition procedure set out in Part I of the Schedule - a request must have been made to the employer which is valid within the terms of paragraphs 5 to 9 of Schedule A1.
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The agreement is made in the ‘permitted period’ (as set out in paragraphs 52(3)-(5)). The “permitted period” begins on the day on which the employer receives the request for recognition and ends when one of the events described in paragraphs 52(3)-(5) occurs. These events include the union withdrawing its request, the CAC deciding an application is invalid or inadmissible, the CAC declaring recognition without a ballot or making arrangements to hold a ballot. If an application for recognition has been made to the CAC, in accordance with paragraphs 11 or 12, the parties must have given notice to the CAC that they want no further steps to be undertaken.
Procedure
Stage 1 - Application to CAC to determine whether an agreement is an ‘agreement for recognition’
5.1 Under paragraph 55 either party to an agreement may apply to the CAC for a decision to determine whether or not an agreement is an “agreement for recognition”. The party will need to complete an application form for Part II applications.
Admissibility
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The application to the CAC must be made on the proper form and supported by such documents as the CAC shall specify.
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The party making the application must copy it and any supporting documents to the other party.
An application is not admissible and may not be accepted by the CAC otherwise.
How the CAC decides whether an agreement is an agreement for recognition
5.2 The CAC panel has ten working days in which to make a decision as to whether the agreement is an agreement for recognition. The panel can extend the period if they inform the parties giving reasons for an extension. Preliminary work on the tests or qualifying conditions will be carried out by the case manager, who will report his/her findings to the panel as appropriate. The CAC panel will make a decision based on the evidence before it. Where there is conflicting evidence, the panel may call a hearing to determine the issue. A declaration of any decision will be made by the panel.
Stage 2 - Application to CAC to specify method of collective bargaining
6.1 If the agreement is an agreement for recognition, the parties have 30 working days from the date the agreement is made in which to negotiate with a view to agreeing a method of collective bargaining. If no agreement is reached, either party may apply to the CAC for assistance under paragraph 58.
Stage 3 - Application to CAC for assistance for failure by party to carry out the terms of the agreement
7.1 Under paragraph 59 either party can also apply to the CAC for assistance if agreement on a method of collective bargaining is reached but one of the parties fails to carry out the agreement.
Admissibility (applies to stages 2 and 3)
An application under paragraph 58 or 59 is not admissible if:
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The employer employs less than 21 workers on the day the application is made.
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The union does not possess a certificate of independence.
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It is not made in such form and is supported by such documents as the CAC has specified.
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The party making the application does not copy the application and any supporting documents to the other party.
CAC’s response to application (applies to stages 2 and 3)
7.2 The CAC will give notice to the parties of receipt of an application under paragraph 58 and 59. The CAC panel has 10 working days in which to determine whether an application can be accepted under these paragraphs applying the admissibility tests as stated above. The CAC will notify the parties of its decision.
7.3 If the CAC accepts an application, it has 20 days in which to help the parties to reach an agreement on a method by which they are to conduct collective bargaining. If at the end of the period the parties have not made such an agreement, the CAC must specify the method by which they are to do so.
7.4 The bargaining procedure is established in the same way as under Part I of Schedule A1, guidance on this can be found in the CAC’s Statutory Recognition - Guide for the Parties (see Annex 1, Stage 9 pages 34-35).
Annex 1 - Outline of other procedures under Schedule A1
12.1 While Part I of Schedule A1 deals with statutory recognition, applications can also be made under other Parts of the Schedule.
12.2 This note only gives a very brief outline of the processes under other parts of the Schedule. For more detailed information, you should consult the Trade Union and Labour Relations (Consolidation) Act 1992 (as amended by the Employment Relations Act 1999, the Employment Relations Act 2004 and the Employment Rights Act 2025) available from the OPSI. Explanatory Guides for these other parts of the Schedule and the relevant application forms are available from the CAC or from the CAC website.
12.3 Part II (agreements for recognition)
This applies where the union and employer have reached a voluntary agreement for recognition following a request by the union for statutory recognition, and the union withdraws that request and has not yet submitted an application to the CAC for statutory recognition. It also applies where the parties have reached an agreement for recognition voluntarily after an application has been submitted to the CAC and when both parties have provided to the CAC a “ joint notice to cease consideration” as set out in paragraph 17 of the Schedule. The parties can then ask the CAC to specify the method of collective bargaining. Any method specified by the CAC will be legally binding unless both parties agree otherwise. The employer cannot unilaterally terminate an agreement under Part II for three years, but the union can end it at any time.
12.4 Part III (changes affecting bargaining unit)
This applies if, following statutory recognition, there is a change in the organisation, structure, or activities of the business, or a substantial change of the numbers employed which makes the bargaining unit inappropriate. Either party may make an application under Part III. If the CAC accepts the application, the parties can reach agreement on a new unit. If the parties fail to reach agreement, the CAC will consider whether the unit is still appropriate, and if not, decide what the new unit should be. Where the new unit overlaps with an existing bargaining unit, special provisions apply depending on the status of the overlapped bargaining unit. In addition, applications under Part III can be made by an employer on the grounds that the bargaining unit has ceased to exist. Most Part III applications can be made at any time after a declaration of recognition. However, an application in respect of a substantial change in the number of workers employed in the original unit cannot be made within three years of the declaration of recognition.
12.5 Part IV (derecognition where recognition was achieved following a ballot)
This applies where an employer or worker seeks to derecognise a union which was recognised under Part I. Statutory derecognition can only take place three years or more after recognition was granted. The employer can ask the union to end recognition arrangements and if the union does not agree, the employer can apply to the CAC asking for an end to the bargaining arrangement. The CAC conducts tests similar to the Part I admissibility tests in reverse, and the question is settled by a ballot. A worker or workers in the bargaining unit can apply to the CAC for an end to the bargaining arrangements. The employer can also apply for derecognition on the grounds that the entire workforce has fallen below 21 workers. The CAC has produced a Guide to Part IV.
12.6 Part V (derecognition where recognition was achieved without a ballot)
This applies where the union was granted recognition under Part I or Part III without a ballot. The differences from Part IV are that only the employer can make use of this Part of the Schedule and the test for accepting the employer’s application is whether fewer than half the workers in the bargaining unit are members of the union. As with Part IV, the question of derecognition is settled by a ballot. Again, the employer cannot apply under Part V within three years of recognition being granted.
12.7 Part VI (derecognition where the union is not independent)
If a non-independent union is voluntarily recognised for collective bargaining purposes, a worker or workers within the bargaining unit can apply to the CAC to have the bargaining arrangements ended. While the workers concerned can be backed by another union, that union cannot itself use this route. Again, the CAC applies some initial tests of admissibility, attempts to help the employer, union and worker to end the bargaining arrangements and arranges a ballot to take place if necessary. This process has to be halted if the non-independent union obtains a certificate of independence.
12.8 Part VII (loss of independence)
If a union recognised under Part I of the Schedule loses its certificate of independence, then statutory recognition ceases.