Mr M Alam and others (see schedule) v Newco Ventures Limited — 2021

The claims were brought under section 189 of the Trade Union and Labour Relations (Consolidation) Act 1992 for failure to comply with the collective consultation requirements in section 188. No response had been presented by the respondent, which was in administration, and the judge determined the matter on the papers under Rule 21 without a hearing.

On the information before the tribunal, the respondent employed over 20 employees at the site where the claimants worked and there was no recognised trade union for collective bargaining, consultation or negotiation. On 9 October 2020 some employees were told that the respondent was closing down and that they were all being made redundant with immediate effect, and they were asked to message other employees to tell them of the redundancies. The company went into administration on that date.

The tribunal found there had been no proper warning, notice or consultation with the workforce, and that no employee representatives had been elected or appointed for consultation under section 188A. It therefore found the respondent in breach of section 188 and made an award under section 189 in favour of the claimants for the maximum protected period of 90 days commencing on 9 October 2020.

The judgment also states that the Employment Protection (Recoupment of Jobseeker’s Allowance and Income Support) Regulations 1996 apply to the awards. The respondent was directed to provide the Secretary of State with the information required by Regulation 6 within 10 days of promulgation, and payment under the protective awards was not to be made until a recoupment notice, or notification that none would be served, had been received.