Claimant v Valve Components Ltd (In Administration)
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 TULRCA 1992 and failed to consult with them in accordance with s.188. No response was presented to defend the claim.
Facts
The claimant was one of more than 20 employees dismissed as redundant by Valve Components Ltd at its East Kilbride establishment within a 90-day period around March 2024. The company was in administration, and the administrator consented to proceedings continuing. The respondent failed to arrange for the election of employee representatives and failed to conduct collective consultation as required by statute. No response was filed to the claim.
Decision
The tribunal issued judgment under rule 22 (on papers, no response filed) finding the complaint well founded. The respondent breached its obligations under sections 188 and 188A of TULRCA 1992. A protective award of 90 days remuneration was made starting from 15 March 2024.
Practical note
Even where a company is in administration, employers must comply with collective consultation obligations when making 20 or more redundancies, and failure to do so will result in a protective award of up to 90 days pay per affected employee.
Legal authorities cited
Statutes
Case details
- Case number
- 8000618/2024
- Decision date
- 14 March 2025
- Hearing type
- rule 21
- Hearing days
- —
- Classification
- default
Respondent
- Sector
- manufacturing
- Represented
- No
Claimant representation
- Represented
- No