A Newcastle employment tribunal awarded the full 90 days compensation to the employees of the Hatfield Colliery Partnership who were made redundant, without any consultation, on 30 June.
As Hatfield Colliery Partnership has been dissolved, the Official Receiver will make an award of up to £3,800 for each affected union member.
The case was brought by Prospect, in partnership with the National Association of Colliery Overmen, Deputies and Shotfirers and the National Union of Mineworkers.
In January 2015, Hatfield Colliery Partnership obtained state aid to complete its current coal plan. Work on the last coalface would have secured employment up to July this year with potential to mine a further 40 million tonnes of coal if market conditions improved.
Prospect, and the other unions, worked on a plan to produce this coal and protect jobs, but with minimal warning the Department for Business withdrew all financial support for the coalmine on 29 June, resulting in the pit’s closure.
Prospect negotiator Mike Macdonald said: “The first we knew of the decision was a call on the night of 29 June. Although a handful of employees remained in post until August, when the partnership went into official receivership, the judge recognised 29 June as the actual date of the dismissal.
In his ruling Judge Hargrove described the consultation by the employer as a “complete failure” and the decision not to consult as a “deliberate”. He wrote: “It is inconceivable that an employer of this size did not have the availability to obtain legal advice…
“This is a matter of speculation again, but it may be the case that the directors were advised that to continue to trade would incur the risk of the directors’ personal responsibility. In any event, we do not accept that the directors were unaware of their obligations to consult.”
Prospect legal officer Linda Sohawon said: “A protective award is a payment to each person dismissed in that redundancy exercise.
“The award can be up to 90 days’ pay, although the tribunal has the discretion to lower that amount and must consider the seriousness of the employers’ default. In this case, the judge held that the members concerned deserved the maximum award.”
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For further information contact:
Michael Macdonald 01924 207890 (w) 07770 304486 (m) [email protected]
Katherine Beirne 020 7902 6625 (w) 07753 933174 (m) [email protected]