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M&Co sued over sudden redundancies without proper warning

By Nithya Bose in UK Business News, posted April 21, 2023

Former employees at M&Co are taking the company to court for allegedly terminating them without giving a consultation period.

Before Christmas last year, its administrator Teneo made a series of cuts at its head office and distribution centre in Inchinnan and its buying office in London.

Earlier this year, the business was acquired for an undisclosed sum by AK Retail Holdings, the parent company of the plus-size retailer Yours Clothing.

But the fashion retailer’s store estate was not included in the deal, resulting in the loss of nearly 1,900 jobs.

Morrish Solicitors, the trade union representing M&Co workers, now claims there was “no advance warning” of redundancies.

A statement said: “There should have been an information and consultation period before any decisions were made to make redundancies.”

Morrish Solicitors employment solicitor Omar Ghaffoor said: “With just weeks to go until Christmas and without any warning, staff were made redundant at M&Co.

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“We have therefore been instructed to lodge Employment Tribunal proceedings for more than 90 individuals from both sites to secure compensation for what happened.”

“Where more than 20 redundancies are made at one workplace without an information and consultation process, those made redundant can pursue a claim for a protective award – compensation of up to 90 days’ pay per employee.

“Some of that can be recovered from the national insurance fund.

“Those involved in these legal proceedings could therefore receive up to £4,568 depending on their weekly pay and subject to deductions.”

Source: Retail Gazette

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