EAT Emphasises Importance of Consulting on Redundancy Pools

Angela Renwick
Associate
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In a recent case, the Employment Appeal Tribunal (EAT) found that an employee had been unfairly dismissed because the employer had failed to consult about the pool for selection.

The case concerned an employee whose role covered North-West England. Other employees did similar jobs for the employer in other parts of the country. The employer responded to a downturn in overall work throughout the country by identifying specific geographical areas where a redundancy would be proposed.

When the case was heard at the Employment Tribunal (ET), it was held that the employee’s dismissal by reason of redundancy was fair. Notwithstanding the fact that other employees were in the same role in a different geographical location, the ET accepted the employer’s submission that the employee was in a pool of one, which was self-selecting. The employee appealed the ET’s decision, and this appeal was subsequently allowed by the EAT.

The EAT held that, because the employer had not consulted with the employee about the appropriate selection pool, the dismissal was procedurally unfair. The EAT also held that the ET had failed to consider whether the decision to choose a pool of one in this case was reasonable.

This case highlights that while employers do have some discretion to determine the appropriate pool for selection, this should be one of the matters on which redundancy consultation takes place. The composition of the pool should not just be presented to affected employees as a fait accompli.

If you any queries about redundancy pools or the redundancy process in general, or if we can assist on any other employment law matter, please don’t hesitate to contact a member of the team on 0141 331 5150.

Topics: Consultation, Redundancy