Well like many, due to recession, I am faced with redundency but I have a question I was wondering if anyone could help me with.

I have worked for a private company for over 12 years, that company soley owns two other companies. These companies are financially independant but regards work they are all run as one under the banner of "xxx group of companies". Infact my "boss" is the MD of one of the other companies. I am the only person doing my job in the main company, but the other two companies have 4 people doing the same job. I have been told that as there is no work and I have to go but each of the other two companies have just set a new person on doing the same work as me, one in Dec and one on 1st Feb. Obviously they have less experience and therefore lower paid.

Their reason for redundency is "cost cutting in view of no work"

How do I stand as they obviously think there will be more work else why would they set these new people on?.

In the job I work from home and the others could do so if required, so location cannot be a reason.

Can they set people on within a group of companies whilst making others redundent? I assume they can but would like to get others opinions.

More info, within the group I am the longest serving member and although I am the highest paid for my job it is less than 10% more than the next person. I have never had any work problems, only had a handfull of days off in 12 years, been extremly flexable re work hours, travel etc and get on very well with all our customers.

regards

I would talk to citizens advise. If you talk to anyone else who does not fully understand employment law then you may take incorrect advise. Speak only with people who specialise in employment law.

By the way, under you post were several ads sponsored by google i think it was and one of the links was redundancy rights. Hope that helps

I used to work for Fedral mogal then one day I went to work and was told "you now work of fedral mogul sunderland" and that it was closing! 450 job gone! fedral mogal then moved its sunderland production to other plants in the group!

result no more piston rings from sumderland
but same piston rings are still made be fedral !

first thing you shpuld do is talk to a union!

the only time I've known one company to be responsable for its sister companys actions is with asbestos where T&N had to share responsability with its group!

[Edited on 17/2/09 by tomblyth]

The complany I work for is made up of group's too we were part of group 'a' which had lots of head cuts "because we need to save money" then we were all moved to group 'b' low and behold same thing happens 6 months later.

Each time the other group went without loss and the pool of people I am in is the largest work force.

Not sure on the legalities but I would say they can do what they like as they are considered different even though they are owned by 1 person/company.

This is just my opinion and experience from our job losses.

As said above get proper advice

YQUSTA

Talk to acas for accurate and independant and free advice

Call 08457 47 47 47
Expect to wait for advice though as im sure they are very busy at the moment!

ACAS had the best answers when my missus was mad redundant lasy year. Made an appointment with 'CAB' and all they suggested was to take some legal advice. Seek out a good solicitor in employment law,might cost a bit but will be worth it in the long run..

As with the others - get proper advice. Friend who's a tax lawyer gives interesting advice but always adds in her view and its not her speciality.

I'd guess they're perfectly in their rights as its a separate company.

Look up TUPE. Its a very interesting thing and give rights to workers when the work has been transfered to another company leading to job losses in the first company.

Despite the "group" set up, each Ltd will probably be regarded as a seperate legal entity.

There are loads of intersting things in employment law, I have heard many a HR manager (in previous jobs, the current one doesn;t know there Arse from their elbow!) say "technically speaking it isn;t allowed, but as long as no one is too switched on we will be fine"

Make sure your the "switched on" one by speaking to the right people, you can bet the owner of the company has!

All the best!

[Edited on 17/2/09 by Dangle_kt]

TUPE is what you want to do - but it doesn't cover you as you've not moved into the other company.

(i'm quite up on TUPE at the moment as i'm an employee rep whilst we move half of IT to an out sourcer).

If each company within the group is a limited company then they are run seperatly as far as the law goes. It is done this way to limit liability to a small section of business so that in the event of a problem one small part does not bring the group down. So basically they are doing nothing wrong as I can see legally, morally another question.

As part of a redundancy programe they must "consult" and part of that process is to see if there is alternative work you can do, and if there is more than one person doing your job they must be able to demonstrate the process is fair in choosing who to go. It is no longer last in first out unless all other things are demonstratbly equal.
During the process take copius amounts of notes on dates, time frame method of selection used. Once the final decision has been made if you are unhappy you can go to an industrial tribunal to seek a review and if found in your favour they will be forced to compensate etc.
If you are a union member they are great at this sort of stuff, alternativly invest a couple of pounds and see an employment law specialist. Citizens advice are really rubbish, they are there to point people who cannot look for themselves in the direction of proper help.

Can I suggest that you turn out that plastic bag into which you have thrown all the leaflets that came with any insurance policy - motor- household - breakdown cover or any details of extras with your credit card and look to see if you have any legal expenses insurance. Many people do and most such policies cover employment disputes before a tribunal. With such a policy in your hand solicitors will be knocking at your door. Make sure you find a genuine specialist.

I do work in this field but due to the ancient rules of my profession cannot give advice directly - sometimes very frustrating.

A requirement of a "fair" redundancy dismissal is considering alternatives. That may include looking for (not creating) vacancies in group companies. As a general rule the more proactive and flexible an employee is the less likely they are to be dismissed. Exercise any right to be accompanied at any meeting. Take notes. Appeal. and put forward every suggestion that you can think of - i.e pay cut - part time - different job etc etc

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Originally posted by MikeR
TUPE is what you want to do - but it doesn't cover you as you've not moved into the other company.

(i'm quite up on TUPE at the moment as i'm an employee rep whilst we move half of IT to an out sourcer).

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