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England and Wales Court of Appeal (Civil Division) Decisions |
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You are here: BAILII >> Databases >> England and Wales Court of Appeal (Civil Division) Decisions >> Allen & Ors v TRW Systems Ltd [2013] EWCA Civ 1388 (14 October 2013) URL: http://www.bailii.org/ew/cases/EWCA/Civ/2013/1388.html Cite as: [2013] EWCA Civ 1388 |
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ON APPEAL FROM THE EMPLOYMENT APPEAL TRIBUNAL
Strand, London, WC2A 2LL |
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B e f o r e :
LORD JUSTICE KITCHIN
LORD JUSTICE McCOMBE
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ALLEN & ORS |
Appellants |
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- and - |
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TRW SYSTEMS LTD |
Respondent |
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WordWave International Limited
A Merrill Communications Company
165 Fleet Street, London EC4A 2DY
Tel No: 020 7404 1400 Fax No: 020 7831 8838
Official Shorthand Writers to the Court)
The Respondent appeared in person assisted by Mrs L Ridley as McKenzie Friend.
____________________
Crown Copyright ©
Lord Justice Elias:
"4. The respondent is an international company supplying systems, modules and components to the automobile industry. All the claimants worked at the respondent's Stephenson plant producing engine valves. In Europe the respondent has manufacturing facilities in Germany, France and the Czech Republic.
5. There was a downturn in demand for engine components in the second half of 2008. A small number of redundancies were made by the respondent worldwide. In 2009 there was a further decrease in the requirement for valves and the European facilities had over capacity. The respondent proposed to close the Stephenson plant and transfer production to the other plants in Europe. The Stephenson plant was effectively closed in June 2010, the employees being made redundant.
6. A redundancy policy was produced in 1999. At the time the respondent did not recognise any unions. Another of the respondent's plans, at Wednesbury, did recognise unions. That plant had a redundancy policy agreed with the unions. The employees at the Stephenson plant pressed for a redundancy policy to be implemented for them.
7. Mr Randle, who was at the time the HR Manager for the Stephenson plant, obtained a copy of the Wednesbury redundancy policy and copied it for the Stephenson plant. This was shown to the plant advisory council who approved it. The advisory council did not have collective bargaining rights. As there were no unions the policy was not approved by the unions. The policy was signed and dated 22 January 1999, but it is accepted that in fact it was signed in June 1999 (page 324H)."
Severance Payments
To qualify for redundancy payments an employee must have been employed by the company for not less than 2 years continuous service and work over 16 hours per week. (NB service before the age of 18 does not count).
For each complete year of service, up to a maximum of 20, employees are entitled to:
a) For each year of service at age 18 or over but under 22 – half a week's payb) For each year of service at age 22 but under 41 – one week's payc) For each year of service at age 41 but under 65 (60 for women) – one and a half week's pay.
1. Statutory Redundancy
As per redundancy policy.
2. Pay in lieu of notice (4 weeks)
The amount of one weeks pay will be an average of the preceding 12 weeks and will include overtime and shift premium.
3. Special payment
a) £200 per year of service.b) Lump sum payment £1300(Less than 10 years service)c) Lump sum payment £1500(More than 10 years service)
Where an employee is within 12 months of state pensionable age, the statutory redundancy entitlement is reduced by one-twelfth for each complete month after the 64th birthday (or 59th for women)."
Disposal.
Lord Justice Kitchin:
Lord Justice McCombe:
Order: Appeal dismissed