Mr C Strothers and others v Styles & Wood Ltd (in administration): 2402383/2020 and others

EMPLOYMENT TRIBUNALS
Case No 2402383/2020
Not required to attendClaimantStyles & Wood Ltd (in administration)Respondent
Employment Judge Phil AllenNot required to attend for claimantNot represented for respondentDate 15 March 2021

JUDGMENT

Employment Tribunals Rules of Procedure 2013 – Rule 21 The respondent having stated that the claims were not contested, and on the information before the Judge, the Judgment of the Tribunal is that:[1]The respondent failed to consult with the claimants, being people who may be affected by proposals to dismiss or measures taken in connection with the dismissal of twenty or more employees, in breach of section 188 of the Trade Union and Labour Relations (Consolidation) Act 1992.[2]Under Section 189(1)(d), (2), (3) and (4) of the Trade Union and Labour Relations (Consolidation) Act 1992, the Tribunal makes a protective award in respect of each of the claimants, and the respondent is ordered to pay remuneration to the claimants for a protected period of 90 days beginning on 28 February 2020.[3]The Employment Protection (Recoupment of Jobseeker’s Allowance and Income Support) Regulations 1996 apply to these awards.

REASONS

[1]The claimants claimed a protective award in respect of breach of the collective consultation requirements. The response presented to the claims by the respondent confirmed that the claims were not contested.[2]The Tribunal makes the following findings based upon the claim:a. The respondent had no trade union recognised for collective bargaining, consultation or negotiation with the workforce. There were no elected representatives;b. The claimants were advised that the respondent was to be, or had been, placed into administration on 26, 27 or 28 February 2020. The first of the redundancies took effect on 28 February 2020. There was no consultation with the claimants;c. The respondent employed over 200 employees at the establishment, all of whom were dismissed on, or around, the same date.[3]There was no proper warning or notice given to, or consultation with, the workforce. No employee representatives had been elected or appointed for any such consultation within Section 188A of the 1992 Act. The dismissals were put into effect without any consultation or information being provided in writing in advance.[4]In these circumstances, the respondent was in breach of the duty under Section 188 of the 1992 Act and the Tribunal makes an award under Section 189 in favour of each of the claimants for the maximum protected period of 90 days commencing on 28 February 2020.[5]The respondent is advised of the provisions of Regulation 5 of the Employment Protection (Recoupment of Jobseeker’s Allowance and Income Support) Regulations 1996, such that, within 10 days of the decision in these proceedings being promulgated or as soon as is reasonably practicable, the respondent must comply with the provisions of Regulation 6 of the 1996 Regulations and, in particular, must supply to the Secretary of State the following information in writing:a. the name, address and national insurance number of every employee to whom the award relates; andb. the date of termination of the employment of each such employee.[6]The respondent will not be required to make any payment under the protective awards made until it has received a recoupment notice from the Secretary of State or notification that the Secretary of State does not intend to serve a recoupment notice having regard to the provisions of Regulation 7(2). The Secretary of State must normally serve such recoupment notice or notification on the employer within 21 days of receipt of the required information from the respondent.[7]This Judgment applies to the claims for protective awards only. As the administrator has not consented to the stay being lifted in respect of other claims, where any of the claimants also brought another claim (or claims) against the respondent, that claim (or those claims) remains stayed and is not determined by this Judgment. NOTE[8]A protective award is a two-stage process. The Tribunal at this stage makes no financial award, but gives a judgment that the claimants are entitled to a protective award in the terms set out above. The claimants must each then seek payment of their individual award from the respondent (or the Secretary of State), quantifying the same.[9]Failure to pay (should that occur), or any dispute as to the amount payable, then becomes a matter for a further separate claim under s.192 of the Trade Union and Labour Relations (Consolidation) Act 1992 for payment of the award.