0370 270 6000

already registered?

Please sign in with your existing account details.

need to register?

Register to access exclusive content, sign up to receive our updates and personalise your experience on brownejacobson.com.

Privacy statement - Terms and conditions

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

Retail ATMs and business rates: clarity at last!

Judgement has been handed down for the seminal case of Cardtronics UK Ltd and others (Respondents) v Sykes and others (Valuation Officers) (Appellants) [2020] UKSC 21.

View blog

Employer obliged to pay settlement despite employees confidentiality breach

In Duchy Farm Kennels Ltd v Steels the employer was found not to have been relieved of its obligation to pay a settlement sum, despite the former employee having breached the confidentiality clause contained in the settlement agreement.

View blog

Furlough scheme extended to October

The Chancellor announced on Tuesday 12th May 2020 that the Coronavirus Job Retention Scheme (CJRS) is to be extended to the end of October.

View blog

Furlough and insolvency – are employees protected?

As more retailers and restauranteurs fall victim to insolvency, the Court of Appeal has confirmed that the contracts of employment of employees furloughed before a company is placed into administration will be treated as having been adopted by its administrators, therefore entitling the employees to “super-priority” status over other creditors.

View blog

mailing list sign up



Select which mailings you would like to receive from us.

Sign up