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Ben Jones
Ben Jones, Solicitor
Category: UK Employment Law
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Experience:  Expert in UK Employment Law
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I was recently made redundant from a company without notice

Resolved Question:

I was recently made redundant from a company without notice as the company went into administration. The company has now been sold, do I have a case for compensation claim under TUPE laws?
Submitted: 1 year ago.
Category: UK Employment Law
Expert:  Ben Jones replied 1 year ago.

Ben Jones :

Hello, my name is XXXXX XXXXX it is my pleasure to assist you with your question today. Was the sale with the aim of continuing the business as a going concern?

Customer:

Yes, thats correct

Ben Jones :

Whilst TUPE does not usually apply to insolvency situations, there is one exception where it could apply to relevant insolvency proceedings, where a business is sold as a going concern. Saying that, there are still a number of further exceptions where certain pre-existing debts will not transfer to the new employer. Such debts will include payments payable under "relevant statutory schemes" and these will include redundancy payments. Therefore, these will be covered by the Secretary of State rather than the new employer and you would need to claim for it from the Insolvency Service.

Customer:

Would I be right in thinking that if I wish to explore the possibility of pursuing a claim - I do this through an employment tribunal and if so would the claim be against my original employers / new company owners or the appointed administrators?

Ben Jones :

claim for what - redundancy payment?

Customer:

Yes thats correct

Ben Jones :

yes you would go through the employment tribunal but if you were dismissed before the transfer took place then the liability will not be transferred to the new employer and you can only pursue the Secretary of State for that. it would be pointless to pursue the old company as they will not have any money/assets, having become insolvent

Customer:

OK thanks, XXXXX XXXXX now answered my question.

Ben Jones :

My pleasure. Please take a second to leave a positive rating for the service I have provided you with as that is an important part of our process. Thank you

Ben Jones, Solicitor
Satisfied Customers: 38840
Experience: Expert in UK Employment Law
Ben Jones and other UK Employment Law Specialists are ready to help you

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