Mr N Berry and others v UBH International Ltd (In Administration) and The Secretary of State for Business, Energy & Strategy: 2401874/2020 and others
JUDGMENT
The unanimous judgment of the Tribunal is that: The Tribunal declares that the complaint that the first respondent failed to comply with a requirement of section 188 of the Trade Union and Labour Relations (Consolidation) Act 1992 is well founded, and makes a protective award in respect of those claimants whose names are listed in the Schedule to this Judgment and orders that the first respondent pay those claimants remuneration for the period of 90 dates beginning on 17 December 2019.REASONS
[1]The evidence before the Tribunal produced on behalf of the claimants consisted of statements from each of the claimants, written submissions on their behalf and supporting documents. The Tribunal further considered the Grounds of Resistance filed by each of the respondents.[2]From that evidence, the Tribunal was satisfied of the following:(a) There were no recognised Trades Unions or employee representatives.(b) The claimants were employed at one establishment in Burscough Case No: 2401874/2020 & others (see attached schedule) 2 Lancashire.(c) The first respondent went into administration on 17 December 2019.(d) There were 96 employees employed at the first respondent’s premises.(e) The only consultation which took place before the claimants were dismissed was on 17 December 2019 when the majority of the workforce was assembled and told that they were being dismissed for redundancy. They were supplied with a claim form for their redundancy and holiday pay. They were also given a confirmation letter of the redundancy and then told to go home.(f) Upon the administrator’s appointment they determined that to have consulted with the claimants for the minimum period would have required the first respondent to continue trading whilst insolvent.(g) There were no special circumstances which would reduce the protective period.[3]In the circumstances the Tribunal was satisfied that a protective award should be made in respect of each of the claimants and that 90 days was the appropriate period. NOTE The following statement is given under regulation 5(2)(b) of the Employment Protection (Recoup of Benefits) Regulations 1996 (“the Regulations”) and advises the respondent of its duties under regulation and of the effect of regulations 7 and 8 of the Regulations.(1) The respondent is required to give the Benefits Agency in writing: (a) The name, address and national insurance number of every employee to whom the above protective award relates; and (b) The date of termination (or proposed termination) of the employment of each such employee.(2) The respondent is required to comply with paragraph (1) above within the period of ten days commencing on the date when the judgment was announced at the hearing or, if it was not so announced, the date on which the Judgment was sent to the parties.(3) No remuneration due to an employee under the protective award shall be paid to him until the Benefits Agency has: (a) served on the respondent a notice (“a recoupment notice”) to pay the whole of part of the award to the Benefits Agency; or (b) informed the respondent in writing that no recoupment notice is to be served. Case No: 2401874/2020 & others (see attached schedule) 3(4) The sum due to the Benefits Agency under a recoupment notice shall be the lesser of: (i) the amount (less any tax or social security contributions which fall to be deducted by the respondent) accrued due to the employee in respect of so much of the protected period as falls before the date on which the Benefits Agency receives from the respondent the information mentioned at paragraph (1) above; and (ii) the amount paid by way of, or as on account of, Jobseeker’s Allowance or Income Support to the employee for any period which coincides with any part of the protected period falling before the date mentioned at (i) above.(5) The sum due under the recoupment notice shall be paid forthwith to the Benefits Agency. The balance of the protective award shall then (subject to deduction of any tax or social security contributions) be paid to the employee.(6) The Benefits Agency shall serve a recoupment notice within the period of 21 days after the date mentioned at paragraph (4)(ii) above or as soon as practicable thereafter.(7) Payment by the respondent to the employee of the balance of the protected award (subject to deduction of any tax or social security contributions) is a complete discharge of the respondent in respect of any sum so paid.(8) The sum claimed in a recoupment notice is due as a debt by the respondent to the Benefits Agency, whatever may have been paid to the employee and whether or not there is any dispute between the employee and the Benefits Agency as to the amount specified in the recoupment notice. Employment Judge Benson Date 17 February 2021