Tribunal backs employer over timing of redundancy consultation

A recent ruling of the Employment Appeal Tribunal (EAT) appears to restrict the extent to which unions might expect to be consulted in the event of redundancies.

The law says employers should consult with the union once there is a "proposal" to make redundancies. It also says that employers have to consult "in good time".

The GMB general union, representing workers made redundant by textiles firm Dewhirst, claimed compensation for redundant employees over the way that the company had consulted. The union argued that once there was a firm plan for redundancies this amounted to a "proposal" and the employer should begin consultation.

The GMB argued that the company should not have waited another two weeks until the proposal had been ratified by the board of directors. The EAT agreed with that part of the union claim.

However, it went on to say that the words "in good time" do not imply an obligation to consult as soon as the "proposal" has been made. In this case because the consultation had been concluded within the period of 90 days prior to the first dismissals, it was within the law.

* Dewhirst v GMB EAT/0486/03