Claimant v BPS Solicitors Ltd (in creditors voluntary liquidation)
Outcome
Individual claims
The first respondent employed over 20 employees and failed to warn, notify, or consult the workforce before dismissing them all on 22 August 2024 when the SRA ordered cessation of trading. No employee representatives had been elected or appointed under Section 188A of the 1992 Act. This constituted a clear breach of Section 188 of the Trade Union and Labour Relations (Consolidation) Act 1992.
Facts
BPS Solicitors Ltd employed over 20 employees at its Liverpool office. On 22 August 2024, the Solicitors Regulation Authority ordered the company to cease trading immediately. All employees were told at a meeting to leave the premises with no prior warning, notice, or consultation. No employee representatives had been elected or appointed for consultation purposes. The company subsequently entered creditors voluntary liquidation.
Decision
The tribunal found the first respondent in breach of Section 188 of the Trade Union and Labour Relations (Consolidation) Act 1992 for failing to consult the workforce before collective dismissals. The tribunal awarded the claimant the maximum protective award of 90 days remuneration commencing 22 August 2024. The judgment was issued under Rule 22 as a default judgment without a hearing, as the first respondent did not submit a response.
Practical note
Employers making collective redundancies (20 or more employees) must consult with employee representatives or a recognised union before dismissal, regardless of whether the business closure is sudden or imposed by a regulatory body; failure to do so triggers the maximum 90-day protective award.
Legal authorities cited
Statutes
Case details
- Case number
- 2404324/2025
- Decision date
- 15 September 2025
- Hearing type
- rule 21
- Hearing days
- —
- Classification
- default
Respondent
- Sector
- legal services
- Represented
- No
Claimant representation
- Represented
- No