Claimant v Merchant Homes Partnerships Limited
Outcome
Individual claims
The respondent dismissed more than 20 employees as redundant at one establishment within 90 days. The respondent failed to ensure that employee representatives were elected in accordance with s.188A TULR(C)A 1992 and failed to consult with them in accordance with s.188. No response was presented to the claim and the tribunal found the complaint well founded under rule 21.
Facts
The respondent, Merchant Homes Partnerships Limited, entered compulsory liquidation and dismissed more than 20 employees as redundant at its Glasgow establishment within a 90-day period around 20 December 2023. The respondent failed to ensure that employee representatives were elected and failed to carry out collective consultation as required by statute. No response was presented to the claims and the court granted permission for proceedings to continue against the company in liquidation.
Decision
The tribunal found the complaint of failure to comply with sections 188 and 188A of TULR(C)A 1992 well founded under rule 21 (default judgment). A protective award of 90 days was made to all 22 claimants, commencing on 20 December 2023.
Practical note
Employers dismissing 20 or more employees as redundant must ensure proper election of employee representatives and meaningful collective consultation, or face the maximum protective award of 90 days' pay per affected employee.
Legal authorities cited
Statutes
Case details
- Case number
- 4104023/2024
- Decision date
- 10 June 2025
- Hearing type
- rule 21
- Hearing days
- —
- Classification
- default
Respondent
- Sector
- construction
- Represented
- No
Claimant representation
- Represented
- No