Cases1405637/2023

Claimant v Pittards Plc (In Administration)

10 June 2024Before Employment Judge N J RoperSouth Westremote video

Outcome

Claimant succeeds

Individual claims

Failure to Inform & Consultsucceeded

The respondent entered administration on 4 September 2023 and dismissed all 139 employees as redundant on 6 September 2023 with immediate effect. The respondent failed to undertake any or any adequate consultation with the recognised union prior to the dismissals, breaching the requirement under s.188 TULRCA to consult at least 90 days before dismissing 100 or more employees. The tribunal found this failure to comply with the consultation requirements well-founded and made a protective award for the maximum 90-day protected period.

Facts

Pittards Plc, a leather manufacturing company, entered administration on 4 September 2023. Two days later, on 6 September 2023, the administrators dismissed all 139 employees at the Yeovil premises as redundant with immediate effect. Community Union was the recognised trade union for hourly paid leather workers. The respondent failed to undertake any adequate consultation with the union prior to the mass redundancies, despite the legal requirement to consult at least 90 days before dismissing 100 or more employees.

Decision

The tribunal found the complaint that the respondent failed to comply with section 188 TULRCA well-founded. The respondent was required to consult the recognised union at least 90 days before dismissing over 100 employees but failed to do so. The tribunal made a protective award of 90 days remuneration for all hourly paid leather worker employees who were dismissed on 6 September 2023, beginning from that date.

Practical note

Administrators must still comply with collective consultation obligations under TULRCA when making mass redundancies, and failure to do so will result in a protective award of up to 90 days pay for affected employees.

Legal authorities cited

Statutes

TULRCA 1992 s.188(4)TULRCA 1992 s.188(1)TULRCA 1992 s.188(5)TULRCA 1992 s.188(1A)TULRCA 1992 s.188(1B)TULRCA 1992 s.188(2)

Case details

Case number
1405637/2023
Decision date
10 June 2024
Hearing type
full merits
Hearing days
1
Classification
contested

Respondent

Sector
manufacturing
Represented
No

Employment details

Role
hourly paid leather worker

Claimant representation

Represented
Yes
Rep type
union