UK national governing bodies are braced for the outcome of a Manchester Employment Tribunal hearing, which is due to make a ruling in Jess Varnish’s long-running case against British Cycling and UK Sport.
The former British elite track cyclist was dropped from British Cycling’s elite programme in the spring of 2016, a few months prior to the Rio Olympic Games.
The latest hearing, which takes place from 10th – 17th December, will on this occasion specifically focus on the issue of Varnish’s employment status at the time, with the 29-year-old claiming she had employee rights.
The tribunal will consider whether, as an athlete in receipt of UK Sport funding, Varnish was self-employed or an employee.
Funded athletes are currently bracketed as “self-employed.” Today “employees” and “workers” benefit from protections against discrimination, the right to a minimum wage, paid holiday, maternity pay, whistleblowing protection and pension, factors that the self-employed do not have.
Should Varnish and her representative, Simon Fenton of Constantine Law, be able to prove employee or worker status, the result of the case could according to the law firm, “change the face of British sports funding in the UK.”
The case could have far-reaching implications for the future funding landscape for athletes across Olympic and Paralympic disciplines, who are backed by UK Sport and national governing bodies.
A legal win for Varnish would see around 1,100 athletes currently on National Lottery funding, benefit from employment rights and a pension, but would be required to pay tax on that funding.
Subsequently, the UK Sport’s funding pot would take a hit, with less cash available for athletes. There is also the threat of Her Majesty’s Revenue and Customs (HMRC) retrieving backdated tax.
In a statement, Constantine Law believe the significance of this case to be likened to “The Bosman ruling in professional football,” which from 1995, allowed footballers to be free agents after their contracts expired.
In the statement, Constantine Law stated that the purpose of its case is to “ensure that all athletes in the future will have protection from bullying and discrimination, be subject to income tax and receive full state pension allowances.
“It will also ensure that UK Sport presides over a more positive and egalitarian environment for all athletes now and in the future.”
The former Team GB cyclist had previously alleged sexism, bullying and discrimination, with her allegations leading to resignation if British Cycling’s technical director, Shane Sutton, who was later cleared of eight of nine allegations against him.
The British Cycling investigation did however find Sutton guilty of using “inappropriate and discriminatory language” towards Varnish.
Should the tribunal in Manchester rule that Varnish was an employee, the parties involved will reconvene for a tribunal in 2019.
The former world and commonwealth medallist could subsequently pursue some or all of her claims for unfair dismissal, sex discrimination, victimisation and detriment suffered.