Cases1306331/2020

Claimant v AES Realisations (Coventry) Limited

27 January 2025Before Employment Judge C KellyMidlands Westremote video

Outcome

Partly successful

Individual claims

Failure to Inform & Consultsucceeded

The tribunal found there was no consultation at all at the Coventry establishment prior to dismissals on 12 May 2020. Despite administration on 7 May 2020, the First Respondent remained obliged to consult under s.188 TULRCA 1992. The tribunal awarded the maximum 90-day protective period due to the complete absence of consultation.

Failure to Inform & Consultfailed

In respect of the Birmingham establishment, the tribunal found that consultation had taken place from late 2019/early 2020, including discussions about transfers to Coventry and agreement on redundancy packages. The claimant did not satisfy the burden of proving failure to consult properly; the evidence showed that consultation occurred and likely met the statutory requirements.

Facts

AES Realisations (Coventry) Limited entered administration on 7 May 2020 and subsequently liquidation. It operated two establishments: Birmingham and Coventry. Recognised trade unions GMB and Unite alleged failure to consult before collective redundancies in May 2020. At Coventry, approximately 50-110 workers were dismissed via telephone calls from 11-12 May 2020 with no prior consultation. At Birmingham, 52 employees were dismissed on 15 May 2020, but evidence showed consultations had taken place from late 2019/early 2020, including discussions about transfers to Coventry and agreed redundancy packages.

Decision

The tribunal found that GMB was recognised at Birmingham, and both GMB and Unite were recognised at Coventry. The claim succeeded in respect of Coventry where there was a complete failure to consult under s.188 TULRCA 1992, resulting in a 90-day protective award. The claim failed in respect of Birmingham because the claimants did not prove on the balance of probabilities that consultation obligations were breached, as evidence showed consultation had occurred.

Practical note

Even where a company enters administration, the obligation to consult under s.188 TULRCA 1992 remains, and a complete failure to consult will attract the maximum 90-day protective award absent mitigating circumstances.

Legal authorities cited

Susie Radin Ltd v GMB and others [2004] EWCA Civ 180Mrs C Smith, Ms A Moore v Cherry Lewis Ltd (In receivership) UKEAT/0456/04/DM

Statutes

Trade Union and Labour Relations (Consolidation) Act 1992 s.182Transfer of Undertakings (Protection of Employment) Regulations 2006 (TUPE) Reg 5Trade Union and Labour Relations (Consolidation) Act 1992 s.189Trade Union and Labour Relations (Consolidation) Act 1992 s.188

Case details

Case number
1306331/2020
Decision date
27 January 2025
Hearing type
full merits
Hearing days
2
Classification
contested

Respondent

Sector
manufacturing
Represented
No
Rep type
self

Employment details

Role
Various roles including inventory controller

Claimant representation

Represented
Yes
Rep type
barrister