Cases4102577/2024

Claimant v Secretary of State for Business and Trade

2 July 2024Before Employment Judge N M HosieScotlandremote video

Outcome

Claimant succeeds£5,875

Individual claims

Failure to Inform & Consultsucceeded

The claimant's former employer Hendrie Legal Limited dismissed 20 or more employees without any consultation whatsoever. This was a complete failure to comply with s.188 Trade Union and Labour Relations (Consolidation) Act 1992. There were no special circumstances which rendered consultation not reasonably practicable. The tribunal confirmed the earlier protective award made by Employment Judge Cowen and ordered the Secretary of State to pay it.

Facts

Ms Ferrier was employed by Hendrie Legal Limited from July 2022 to March 2023 as a Post Settlement Coordinator. Her employer became insolvent and a Judicial Factor was appointed. She was made redundant with immediate effect on 28 March 2023 along with 20 or more other employees. There was no consultation whatsoever before dismissal and no recognised trade union or employee representatives. Employment Judge Cowen had previously made a protective award of 90 days which Hendrie Legal failed to pay. The claimant applied to the Secretary of State for payment under s.182 ERA 1996.

Decision

The tribunal confirmed that Hendrie Legal had completely failed to comply with its duty to consult under s.188 TULRCA 1992. There were no special circumstances or mitigating factors. The tribunal ordered the Secretary of State for Business and Trade to pay the protective award of £5,875 (90 days at £451.92 per week), subject to the statutory limits in s.184(1)(a) ERA 1996.

Practical note

When an insolvent employer fails to pay a protective award, the claimant must bring a separate claim under s.188 ERA 1996 against the Secretary of State to enforce payment.

Award breakdown

Award equivalent: 13.0 weeks' gross pay

Legal authorities cited

Susie Radin Ltd v GMB and others [2004] IRL 400

Statutes

Trade Union and Labour Relations (Consolidation) Act 1992 s.188Employment Rights Act 1996 s.184(2)(d)Trade Union and Labour Relations (Consolidation) Act 1992 s.189Employment Rights Act 1996 s.182Employment Rights Act 1996 s.184(1)(a)

Case details

Case number
4102577/2024
Decision date
2 July 2024
Hearing type
other
Hearing days
1
Classification
procedural

Respondent

Name
Secretary of State for Business and Trade
Sector
central government
Represented
No

Employment details

Role
Post Settlement Coordinator
Salary band
£20,000–£25,000
Service
9 months

Claimant representation

Represented
Yes
Rep type
solicitor