Collective redundancy consultation and the meaning of establishment

Last year we reported on the Woolworths/Ethel Austin case which you will no doubt recall involved the meaning of ‘establishment’ for triggering collective redundancy consultations.

We reported that the European Court had ruled that the ‘establishment’ is the entity to which employees are assigned to carry out their duties. We have since been waiting for the matter to come back to the UK for the UK Court of Appeal to give its final say on the point in the light of the European ruling and we now have further news.

We have learnt that the Court of Appeal has confirmed that the UK position is consistent with the European ruling and, as expected, that each Woolworths store was indeed a separate establishment.

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This information is intended as a general discussion surrounding the topics covered and is for guidance purposes only. It does not constitute legal advice and should not be regarded as a substitute for taking legal advice. DWF is not responsible for any activity undertaken based on this information.


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