Claimant v Lontra Limited (in administration)
Outcome
Individual claims
The Tribunal found the respondent failed to comply with the requirements of section 188 of the Trade Union and Labour Relations (Consolidation) Act 1992 to inform and consult with employees prior to collective redundancies. The respondent, being in administration, did not attend or defend the claim. The Tribunal awarded the maximum protective award of 90 days starting from 28 November 2023.
Facts
Thirteen claimants brought claims against their former employer Lontra Limited, which had entered administration. The respondent dismissed the claimants on or around 28 November 2023 as part of collective redundancies. The respondent failed to comply with its statutory duty under section 188 of TULRCA 1992 to inform and consult with the affected employees about the proposed redundancies. The respondent did not attend the hearing to defend the claim.
Decision
The Tribunal found the claimants' complaints under section 189 of TULRCA 1992 to be well-founded. The respondent had failed to comply with its obligations under section 188 to inform and consult prior to making collective redundancies. The Tribunal awarded the maximum protective award of 90 days' pay, with the protected period commencing on 28 November 2023.
Practical note
Employers making collective redundancies must comply with statutory consultation obligations even when facing insolvency, or risk facing the maximum protective award of 90 days' pay per affected employee.
Legal authorities cited
Statutes
Case details
- Case number
- 1801331/2024
- Decision date
- 14 April 2025
- Hearing type
- full merits
- Hearing days
- 1
- Classification
- contested
Respondent
- Sector
- other
- Represented
- No
Claimant representation
- Represented
- Yes
- Rep type
- solicitor