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Payouts for Macfarlane and E Pawson workers

22nd January 2009
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Page 6, 22nd January 2009 — Payouts for Macfarlane and E Pawson workers
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Which of the following most accurately describes the problem?

Keywords : Employment, Labor

By Roanna Avison STAFF AT FAILED hauliers E Pawson & Son and Macfarlane Transport have been awarded compensation by an employment tribunal because they were not given sufficient notice that they were going to be made redundant.

E Pawson went into administration in April ('Fuel costs add to another collapse', CM 17 April 2008), while Macfarlane called in administrators in July ('Largescale redundancies inevitable at Macfarlane'. CM 10 July 2008). Neither the 270 Macfarlane staff nor the 185 Pawson employees were given warning about the

company failures, and, therefore, their redundancies.

Eleven Macfarlane staff and one Pawson driver decided to challenge their redundancies under the Trade Union and Labour Relations Act (Consolidation) 1992.

In both cases Leeds Employment Tribunal granted protective awards to the employees. This means that all the staff made redundant will be entitled to make a claim against the government-run Redundancy Fund for up to eight weeks' pay Jayne Phillips, partner at Morrish & Co Solicitors, which backed both cases, says the Trade Union and Labour Relations Act (Consolidation) 1992 places on

employers the duty to staff if they are contemplating redundancies of 20 or more people in one workplace.

consult "They are required to talk to the registered union representative or appoint a representative from among the employees if no union is present.

"They are then meant to consider ways of avoiding the dismissals or reducing the number of jobs lost."

Road Haulage Association director of employment affairs Ruth Pott says most employers should he aware of the legislation. "Most hauliers will know things are tough and will be able to give staff the warning they are required to."

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