Joseph De Bank Haycocks v ADP RPO UK Ltd
[2023] EAT 129
Redundancy is a potentially fair reason for dismissal; fairness of the dismissal must be assessed considering all circumstances, including employer size and resources.
Employment Rights Act 1996 (ERA 1996), sections 94, 98, and 139
Employers have wide discretion in redundancy decisions but cannot act arbitrarily; consultation is key to a fair redundancy process and must occur at a formative stage to be meaningful.
Williams v Compair Maxam Ltd [1982] IRLR 83, Mogane v Bradford Teaching Hospitals NHS Foundation Trust [2023] IRLR 44, Capita Hartshead Ltd v Byard [2012] IRLR 814, Taymech v Ryan [1994] EAT/663/94
There's no legal requirement for a redundancy pool to only include those doing the same or similar work, but the employer's reasoning and whether they genuinely considered the pooling issue must be carefully scrutinised.
Capita Hartshead Ltd v Byard [2012] IRLR 814, Taymech v Ryan [1994] EAT/663/94
Appeal allowed on grounds of insufficient fact-finding on pooling and lack of meaningful consultation.
The Tribunal insufficiently examined whether the Respondent genuinely considered pooling the Claimant with other MLOs and whether consultation occurred at a stage where it could influence the decision. The consultation that did occur happened after the decision to place the claimant in a pool of one had been made.
Decision substituted for procedural unfair dismissal due to lack of meaningful consultation.
Consultation on the key issue (placing the Claimant in a pool of one) was inadequate; meaningful consultation requires a provisional proposal and opportunity for feedback before a final decision.
Remitted to a different Employment Tribunal to consider the fairness of the pooling process.
The original Tribunal's assessment of the pooling process was inadequate and requires further investigation.