grounds for revocation of work permit not sufficient for illegality

According to the decision of the Employment Appeal Tribunal in San Ling Chinese Medical Centre v Lian Wei Ji a contract of employment will not be rendered unenforceable on the grounds of illegality if changed circumstances mean that a work permit could be revoked – actual revocation of the work permit is required.

Ms Wei Ji, a Chinese national working for San Ling Chinese Medicine Centre under a student visa, was dismissed from the San Ling Chinese Medicine Centre and claimed unfair dismissal on the basis that that the statutory dismissal procedures (as were in force at that time) were not followed. Her claim was successful and the Employment Tribunal made an award for compensation. San Ling Chinese Medicine Centre appealed to the Employment Appeal Tribunal and argued that the Employment Tribunal had erred because Ms Wei Ji's contract of employment was tainted by illegality, meaning that she should not be able to enforce the contract or claim unfair dismissal. It alleged that the contract was unlawful because Ms Wei Ji was working full time, even though her student visa only allowed her to work 20 hours a week during term time, and because she worked for a lower salary than that shown on her work permit. The EAT dismissed the appeal because the Employment Tribunal had made unchallenged findings of fact that Ms Wei Ji had graduated from her studies and was therefore entitled to work without restriction for a year after graduation and that Ms Wei Ji did not collude with San Ling Chinese Medicine Centre in making a false declaration of proposed salary in order to obtain a work permit.

This decision follows other judgments which narrow an employer's ability to rely on illegality as a fair reason for dismissing an employee.

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For further advice on immigration issues, please contact Michelle Lawlor in the Employment team on 020 7814 6906 or email her at michelle.lawlor@bllaw.co.uk. Alternatively, you can contact a member of our Employment team or email us at employmentinfo@bllaw.co.uk.