Claimant v Serco Limited
Outcome
Individual claims
The tribunal found that the respondent breached section 145B TULRCA 1992 by making a direct pay offer to employees on 5 May 2023 when the collective bargaining procedure had not concluded. The respondent's sole or main purpose was to ensure terms were not determined by collective agreement, as evidenced by their decision to implement the pay rise before referring the dispute to ACAS, despite knowing conciliation was part of the agreed procedure. The tribunal found the respondent did not genuinely believe the collective bargaining process was exhausted.
Facts
148 POA members employed at Gatwick Immigration Removal Centres claimed the respondent unlawfully bypassed collective bargaining when implementing the 2023 annual pay increase. Negotiations began in January 2023 with the POA proposing 13% and the respondent countering with 4-6%. By April 2023 the respondent offered 7%, which was rejected. The POA then counter-proposed a tiered 7-9.4% increase on 27 April 2023. Without expressly rejecting this or referring the dispute to ACAS as required by the Collective Engagement Framework, the respondent wrote to the POA on 4 May 2023 stating it would implement the 7% increase, and notified employees the next day.
Decision
The tribunal upheld all 148 claims under section 145B TULRCA. The collective bargaining procedure had not concluded because ACAS conciliation (part of the agreed procedure) had not been attempted. The respondent did not genuinely believe the procedure was exhausted, as evidenced by internal emails showing a business decision to 'hold the line' and implement the increase quickly, and deliberately omitting reference to ACAS from correspondence. The respondent's sole or main purpose was to achieve the prohibited result of determining terms outside collective bargaining. Each claimant was awarded the statutory £5,128.
Practical note
Employers cannot bypass collective bargaining procedures by unilaterally implementing pay offers before the agreed dispute resolution process (including ACAS conciliation) has been exhausted, even where there are legitimate business pressures such as recruitment and retention issues.
Award breakdown
Award equivalent: 1344.4 weeks' gross pay
Legal authorities cited
Statutes
Case details
- Case number
- 2305280/2023
- Decision date
- 23 July 2025
- Hearing type
- full merits
- Hearing days
- 3
- Classification
- contested
Respondent
- Name
- Serco Limited
- Sector
- public sector
- Represented
- Yes
- Rep type
- barrister
Employment details
- Role
- Detention Custody Officers (DCO) and Detention Operations Managers (DOM)
- Salary band
- £25,000–£30,000
Claimant representation
- Represented
- Yes
- Rep type
- barrister