The ECJ Guidance on Collective Redundancy
In a recent case the ECJ (European Court of Justice) has clarified a number of a points relating to the duty to inform and consult employees about collective redundancies under the Collective Redundancies Directive (number 98/59). The ECJ held that an employer triggers the duty to consult when there is a decision or change of activity which compels the employer to plan for redundancies. In a group of companies the obligation to consult falls on the subsidiary within which redundancies may be made, even if the decision is made by the parent company. Furthermore the obligation to consult is not dependant upon the employer being able to supply all necessary information to employee representative.
If you have any queries about any of these legal points then please do not hesitate to contact Daven Naghen – Head of Employment Team.