The EAT’s decision in the recent case of Brake Bros Ltd v Hudek [2025] EAT 53 has provided some insight into unpaid wages claims in the context of overtime work.
Case summary
In this case, Mr Hudek (“H”) was employed by Brake Bros Ltd (“Brake Bros”) as a lorry driver. H brought a claim for unpaid wages against Brake Bros, specifically in relation to overtime working.
H was contracted to work five shifts per week and routinely worked additional time when completing his daily routes. On this basis, he argued that he had worked more hours than his contract required and that he was entitled to payment for the extra hours worked.
Brake Bros disagreed and relied on part of H’s employment contract which stated that overtime was only payable when drivers worked an extra half shift (4.5 hours) or an extra full shift. Accordingly, they argued that Mr H was not entitled to additional payment for overtime work unless it totalled at least 4.5 hours.
The decision
At first instance, the Tribunal found in favour of H and ruled that the employment contract allowed for averaging out of working hours. It implied a term into H’s employment contract that, if no averaging occurred within a reasonable period, H would be entitled to payment of all additional hours beyond the intended average. This was on the basis that the Tribunal assumed this was the parties’ intention upon engagement.
Brake Bros subsequently appealed to the EAT. They argued that the employment contract was already sufficiently clear in stating that overtime was not payable unless it exceeded 4.5 hours and that H had been duly compensated whenever he worked such additional hours in the past.
The EAT allowed the appeal, finding that when the employment contract was properly interpreted, H was entitled to a base salary for his contractual shifts regardless of their lengths and there were no grounds for the Tribunal to imply a term regarding additional hours. Accordingly, H’s claim for additional pay was dismissed.
Key takeaways
- This decision affirmed that courts and tribunals should always seek to construe express contractual terms before implying terms to a contract.
- Employment contracts should be drafted carefully, particularly clauses relating to working time and renumeration. Brake Bros successfully relied on a carefully worded contractual term. The decision could have been different if there was no such term.
- Employers should ensure that they have clear polices around overtime working and payments and that these are explained to employees at the point of engagement.
If you would like further information or support, please contact a member of the Employment team at Glaisyers ETL.
