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Transferred drivers are set to sue DoE

27th October 1994
Page 6
Page 6, 27th October 1994 — Transferred drivers are set to sue DoE
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Which of the following most accurately describes the problem?

by Karen Miles • Thousands of drivers sacked and reemployed to do the same work for less money may be able to sue the Department of Employment under the Transfer of Undertakings (Protection of Employment) Regulations. The Transport and General Workers Union has begun High Court proceedings to win compensation for drivers sacked between 1981 and 1993. If the union is successful employment lawyers believe it could help swing the balance of power away from large transport companies and towards drivers.

The union has lodged retrospective claims against the Government for failing to introduce employment protection legislation conforming to European Commission standards. These claims are expected to be heard in the High Court early next year. If successful, they could lead to a rash of litigation by drivers who were sacked and immediately re-employed by another contractor for the same customer on lower wages.

The move is one of a series from the TGWU aimed at protecting workers from deteriorating terms and conditions while ▪ working for 11"*. the same customer. This practice has formed the basis of gains and losses between the big contractors since the early 1980s.

The TGWU case was sparked off by a Court of Appeal judgement that a new contractor is responsible for redundancy payments. It also has to retain the same terms and conditions if the operation involves "essentially the same labour force on the same premises" and is for the same customer.

r Following a separate TGWU intervention on Transfer of Undertakings, Exel Logistics is wavering over taking on a car transport contract for Volkswagen Audi Group (VAG). Exel promised to reduce VAG's distribution bill on the back of a 30% cut in drivers' wages, equating to cuts of up to £200 a week. The VAG contract is currently handled by Tibbett & Britten's Silcock Express.

The TGWU says Transfer of Undertakings Regulations apply. It warns that if Exel takes over the work, drivers must be retained on the same wages.

Exel and VAG are believed to be taking legal advice.

They are said to he "unexcited" by the thought of a switch from Silcock if drivers wages are protected.