Claimant v Hadden Construction Limited (In Administration)
Outcome
Individual claims
The respondent dismissed 20 or more employees as redundant within 90 days at one establishment and failed to ensure employee representatives were elected in accordance with s.188A TULRCA 1992, and failed to consult with them in accordance with s.188. The respondent did not contest the claims.
Facts
Hadden Construction Limited went into administration on 10 September 2024. Joint Administrators were appointed on that date. The respondent dismissed 20 or more employees as redundant at one site in Aberuthven, Perthshire, on 10 September 2024 within a 90-day period. The respondent failed to elect employee representatives in accordance with statutory requirements and failed to conduct collective consultation as required by law. There was no recognised trade union. The administrators lifted the moratorium on 23 March 2025 to allow the claim to proceed.
Decision
The tribunal made a protective award under Rule 22 on the papers without a hearing. The claims were uncontested. The tribunal found the complaint of failure to comply with section 188 TULRCA 1992 was well founded and ordered the respondent to pay remuneration for a protected period of 90 days beginning on 10 September 2024.
Practical note
Employers facing collective redundancies must ensure proper election of employee representatives and conduct meaningful consultation, even when entering administration, or face maximum protective awards of 90 days' pay.
Legal authorities cited
Statutes
Case details
- Case number
- 8000069/2025
- Decision date
- 27 March 2025
- Hearing type
- rule 21
- Hearing days
- —
- Classification
- default
Respondent
- Sector
- construction
- Represented
- No
Claimant representation
- Represented
- No