EMCC European Monitoring Centre on Change

United Kingdom: Definition of collective dismissal

United Kingdom
Phase: Management
Type:
Definition of collective dismissal
Sist endret: 24 April, 2019
Virkelig navn:

Collective Redundancies and Transfer of Undertakings (Protection of Employment) (Amendment) Regulations 1995; Collective Redundancies and Transfer of Undertakings (Protection of Employment) (Amendment) Regulations 2014; Employment Rights Act 1996; Trade Union and Labour Relations (Consolidation) Act 1992

Engelsk navn:

Collective Redundancies and Transfer of Undertakings (Protection of Employment) (Amendment) Regulations 1995; Collective Redundancies and Transfer of Undertakings (Protection of Employment) (Amendment) Regulations 2014; Employment Rights Act 1996; Trade Union and Labour Relations (Consolidation) Act 1992

Artikkel

Section 3 (Collective Redundancies and Transfer of Undertakings (Protection of Employment) (Amendment) Regulations 1995); Whole law (Collective Redundancies and Transfer of Undertakings (Protection of Employment) (Amendment) Regulations 2014); Part XI, chapter II, section 139 (Employment Rights Act 1996); Part IV, chapter II, section 188 (Trade Union and Labour Relations (Consolidation) Act 1992)

Beskrivelse

For the purposes of this legislation redundancy means 'dismissal for a reason not related to the individual concerned' echoing article 1 of Directive 98/58/EC concerning collective redundancies. Redundancy is defined in UK law under the Employment Rights Act 1996 - Part XI, chapter II, section 139. 

Collective redundancies differ from individual redundancy situations within UK law in respect of procedures which must be followed. The duty to consult is set out in Trade Union and Labour Relations (Consolidation) Act 1992 Part IV, chapter II, section 188. A distinction is made between establishing entitlement to redundancy payments (which is irrespective of the numbers to be made redundant) and the right to be consulted. A collective redundancy situation arises when an employer, regardless of size, plans to dismiss as redundant 20 or more employees at one establishment within a period of 90 days or less. This definition is important because it provides a broader requirement for consultation. For example, in addition to employees who may be dismissed by reason of redundancy, this legislation also applies where an employer decides to offer alternative employment or change an employee's terms and conditions (such as changes to wages, hours of work or duties) by giving lawful termination of their contracts and reengaging them on different terms and conditions.

The employer has a duty to consult with the appropriate representatives of the employees (trade unions or other elected employee representatives, or information and consultation bodies in companies with more than 50 employees) who may be affected by the planned dismissals or may be affected by measures taken in connection with those dismissals. Procedures for consulting with employees on fixed-term contracts do not apply unless the employer is proposing to dismiss the employees as redundant and the dismissal will take effect before expiry of the fixed-term contract. 

Non-employees, police, members of the armed forces, parliamentary staff plus a few other categories of workers are excluded from the legislation.

Kommentarer

The origin of the collective redundancy legislation was the requirement to consult laid out in the EU’s Collective Redundancy Directive 1975. This has been amended over the years with the current Directive dating from 1998 (Directive 98/58/EC) and the provisions brought into UK law through amendments to the Trade Union and Labour Relations Act (TULRA), Section 188. 

The concept of the 'establishment' has been contested in the high profile case of USDAW v Woolworths which suggests that multi-site organisations that intend to make more than 20 staff redundant across their enterprise may fall within the scope of the regulation. Subsequent to an appeal to the European Court of Justice (ECJ), the law was clarified to reflect that enterprise need not mean a network of business premises but could refer to a more local employment unit.

Cost covered by
Not applicable
Involved actors other than national government
  • Trade union
  • Works council
Thresholds
20
20
Kilder
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