0370 270 6000

The meaning of one establishment

4 July 2013

In a redundancy situation the duty to consult with employee representatives is engaged where 20 or more redundancies are proposed at one establishment within a period of 90 days. But what does 'one establishment' mean?

The EAT has confirmed in the case of USDAW v Woolworths that a purposive approach should be taken in line with the EU directive and construed 'establishment' as meaning the business of each employer as a whole irrespective of the fact that it might be carried on over multiple sites. Woolworths, as a business, had over 20 employees and therefore all staff should have been consulted even in those stores with fewer than 20 employees.

The case will have huge ramifications particularly for those in the retail sector with multiple stores. When embarking on a redundancy exercise, consider whether there are over 20 employees in total at risk of redundancy and whether any other employees have been made redundant in the preceding 90 days.

Related opinions

Long covid and whether this amounts to a disability

The recent Employment Tribunal decision in Mr T Burke v Turning Point Scotland, Case no.4112457/2021 found that long-Covid amounts to a disability.

View blog

Bill to establish an “Office of the Whistleblower”

Baroness Kramer has now introduced the Protection of Whistleblowing Bill as a Private Members’ Bill, starting in the House of Lords.

View blog

New mothers suffer a cumulative loss of income of £66,434 over the following decade

Independent think-tank, the Social Market Foundation (“SMF”), has launched a cross-party parliamentary commission on childcare and its implications for mothers.

View blog

The impact of COVID-19 on maternal deaths

HSIB published its report on Maternal deaths during the first wave of COVID-19. The report takes a closer look at the impact that COVID-19 had during the initial period of March to May 2020.

View blog

Mailing list sign up

Select which mailings you would like to receive from us.

Sign up