By Emma McClelland - 26 July 2023
There are millions of people employed on short-term contracts. Their continuity of service, when it totals two years or more, protects them from unfair dismissal, but some employers still try to bend the rules, as this case study shows.
*Jorge, an Ecuadorian man in his late sixties, has lived in the UK with his wife for 30 years; the last five of which he spent working as a tradesman for a housing association on rolling six-month contracts. Whenever one ended, another was in place, allowing him to continue working uninterrupted, providing plumbing and carpentry skills and solving day-to-day problems as a handyman.
In December 2022, Jorge received a letter from his employer. They informed him that when his contract came to an end the following month, he would no longer be needed due to a company restructuring. The employer also asserted that, since Jorge had been on fixed-term contracts, he would not be entitled to redundancy pay. He had received no warning or been consulted about the decision and no effort was made to find another role for him.
Sensing that something wasn't right, Jorge got in touch with our team. Our adviser, Bethany, and our Head of Employment, Sarmila, quickly reassured him of his rights. In the eyes of the law, considering the nature and duration of his employment, Jorge had the right not to be unfairly dismissed. If there was a genuine redundancy, his employer was required to follow a fair redundancy procedure and Jorge would be entitled to redundancy pay. After some digging into the finer details, Bethany and Sarmila concluded that this was a case of unfair dismissal, and notified ACAS of a potential tribunal claim.
By this time, Jorge's employment had come to an end and the stress and uncertainty of his current situation was taking its toll. His attempts to find employment had been difficult, a struggle he suspected was influenced by his age (a recent survey by the Chartered Management Institute confirms his suspicions).
Interestingly, after receiving notice of Jorge's claim through ACAS, his former employer called him immediately, asking him what he wanted and telling him it had been his responsibility to request a redundancy payment. For the avoidance of doubt, it is the employer's responsibility to follow a fair redundancy procedure and pay redundancy to eligible redundant employees, not the employee's responsibility to submit a request for it.
We advised Jorge not to engage before contacting the company to convey the same message. From then on, we liaised with their solicitor and eventually secured a settlement agreement of nearly £9,000, which Jorge received in July this year.
For Jorge, this marks the end of a deeply distressing few months. It is an outcome that allows him the breathing space he needs to plan for his future. But we know that this kind of scenario plays out all too often across the country, leaving hard-working people in financial precarity and emotional turmoil.
At the Work Rights Centre, we regularly work with people who have been misled or misinformed about their employment rights. If you feel you have been unfairly dismissed or are confused about the terms of your employment, please get in touch with our team today: https://www.workrightscentre.org/contact
* Name changed to protect anonymity
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