Mr K Biggs and others v Staveley Head Ltd (In Administration) and others: 2405241/2020 and others
| Jurisdiction | England & Wales |
| Judgment Date | 06 May 2022 |
| Date | 06 May 2022 |
| Court | Employment Tribunal |
| Published date | 24 May 2022 |
| Subject Matter | Protective Award |
Case Nos: 2405241/2020 & Others
(see attached schedule)
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EMPLOYMENT TRIBUNALS
Claimants: Mr K Biggs and 38 others
(see attached schedule)
Respondents: R1: Staveley Head Limited (in Administration)
R2: The Secretary of State for Business, Energy and Industrial
Strategy
R3: One Sure Insurance Limited
Heard at: Liverpool by CVP On: 4, 5 and 6 April 2022
Before: Employment Judge Aspinall
Mrs Radcliffe
Mr McCaughey
Representation
Claimant: Mr Rushton
Respondent: Ms Scarborough
RESERVED JUDGMENT
1. The complaints were brought under section 189 Trade Union and
Labour Relations (Consolidation) Act 1992 (TULRCA) and The Transfer of
Undertakings (Protection of Employment) Regulations 2006 as amended by the
2014 Regulations (TUPE).
2. The claimant’s complaint of failure to consult under Section 188
TULRCA 1992 succeeds and a protective award is made. The Tribunal
considers it just and equitable in the circumstances to make a protective award of
12 weeks or 84 days. The protected period runs from 5 February 2020 for 12
weeks. The amount awarded to each claimant is wholly attributable to loss of
wages up to the final day of the period covered by the protective award. Those 39
claimants in respect of whom the award is made are listed in Schedule A to this
judgment. Two claimants withdrew their complaints.
3. Recoupment provisions contained in the Employment Protection
(Recoupment of Jobseeker’s Allowance and Income Support) Regulations 1996
apply to the award. Regulation 5 provides that the Secretary of State shall be
notified by the Secretary of the Tribunals of the following information:
(i) The date on which this decision is sent to the parties which is as
Case Nos: 2405241/2020 & Others
(see attached schedule)
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set out below.
(ii) That this decision was made by the Liverpool Employment
Tribunal.
(iii) The first respondent’s name and address which is : R1: Staveley
Head Limited (in Administration) care of the Administrators
Messrs Duff and Phelps The Chancery, 58 Spring Gardens,
Manchester M2 1EW
(iv) The employees to whom the award relates and they are set out
in the Schedule.
(v) The date of the protected period which is for 12 weeks from 5
February 2020.
4. The respondent is reminded of its obligation under Regulation 6 to provide
the name, address, national insurance number and date of termination of
employment of each employee in the Schedule to the Secretary of State within 10
days of the date on which this decision is sent to them. Regulation 7 has the effect
of postponing payment of any awards so as to allow the Secretary of State to
initiate recoupment. Regulation 8 provides for the Secretary of State to initiate
recoupment by serving a notice on the employer and copying it to the employees.
Any recoupment notice shall operate as an instruction on the employer to pay any
recoupable amount to the Secretary of State.
5. The claimant’s complaint of failure to consult under Regulation 13 TUPE
fails. The claimants were not affected employees for the purposes of TUPE
consultation. The claimants were not employed immediately before the transfer
and would not have been so employed but for the transfer, as the transfer was not
the sole or principal reason for their dismissal. If it had been, there would have
been an economic, technical or organisational reason of the transferor entailing
changes in the workforce. Liability for the failure to consult under TULRCA
does not pass to the Third Respondent.
REASONS
Background
6. The 41 claimants who commenced proceedings were former employees of
Staveley Head Insurance Limited (R1). R1 was an insurance broker. In
November 2019 R1 lost a major contract with Gefion (GF) that enabled it to offer
insurance to clients. R1 began a redundancy exercise on 24 Janaury 2020. It
went into administration on 5 February 2020. Administrators were appointed. The
claimants were dismissed by the Administrator on 5 February 2020.
7. On 3 April 2020 One Sure Insurance Limited (R3) bought some of the assets
of R1 in administration. R1 and R3 agreed that there was a transfer for the
purposes of the TUPE Regulations on 3 April 2020.
8. By a claim form dated 4 May 2020 Mr Biggs and 40 other employees of the
first respondent brought complaints seeking a protective award, outstanding
wages and holiday pay. 29 of the claimants also claimed unfair dismissal. At a
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