Workplace Report November 2015

Law - Redundancy

Duty to consult over job losses covers foreign state’s UK base


Case 6: The facts

The Supreme Court has ruled on one aspect of a long-running case brought against the USA, that resulted from a decision to close the American military base in the UK.

Ms Nolan, a civilian budget assistant at the base, brought a protective award claim because of her employer’s failure to consult civilian staff over the closure plans and the resulting redundancies. The USA would have had the opportunity to claim sovereign immunity at the start of these proceedings, but didn’t do so.

The case involves two issues, only one of which has now been resolved. The first is the question as to whether the 1992 Trade Union and Labour Relations Consolidation Act (TULRCA) applies to public administrative bodies. 


The second, much broader question (of obvious importance to trade union collective consultation) is at what stage the obligation to consult collectively under TULRCA is triggered. 


Ruling

The Supreme Court ruled that TULRCA does apply to public administrative bodies and does cover the closure of a military base owned by a foreign state. The law only covers redundancies that occur at institutions in England, Wales and Scotland.

The next part of the case will be heard by the Court of Appeal, to resolve the broader issue, namely at what stage the duty to consult collectively arose.


USA v Nolan [2015] UKSC 63 


www.bailii.org/uk/cases/UKSC/2015/63.html