Transfer of liability

Case 2: The facts

Ms Beck worked for Allders department store and was dismissed when the store went into administration. The store was bought by Primark, but before the takeover took place a number of temporary staff were employed by the administrators for a closing-down sale.

Beck claimed that her dismissal was unfair, either on grounds of TUPE or because there was no real redundancy.

A tribunal chair called a preliminary hearing to determine whether Beck was employed by Primark. However, at the hearing he determined instead whether there had been a TUPE transfer.

The ruling

The Employment Appeal Tribunal held that the tribunal chair had incorrectly focused on whether there was a TUPE transfer, rather than on whether Beck had been employed by Primark. These were separate issues, it said.

Beck had been dismissed before Primark took over the store, and therefore had not been employed by Primark. There was a separate issue as to whether or not Primark took over liability for her claim of unfair dismissal, on the grounds that her employment should have transferred if she had not been dismissed; that would also involve evidence about whether there was an economical, technical or organisational (ETO) reason for the dismissal.

The issue was sent to a different tribunal for rehearing.

Primark Stores Ltd v Beck and Allders Department Store Ltd (in liquidation) UKEAT/0209/06