MOGANE v BRADFORD TEACHING HOSPITALS NHS FOUNDATION TRUST & Ors.

[2022] EAT 139

Summary

In a redundancy dismissal, meaningful consultation must ordinarily occur while the proposal remains capable of being influenced. The principles in Williams, adapted where necessary, apply to individual as well as collective redundancies.

An employer may in an appropriate case use a pool of one. But, where more than one employee could be selected, it is outside the range of reasonable responses to select one employee solely because their fixed-term contract expires first, without prior consultation. That approach arbitrarily determines both the pool and the dismissal. A tribunal must give adequate reasons for accepting any material departure from fair redundancy procedure under section 98(4) of the Employment Rights Act 1996.

Factual background

The claimant, a Band 6 nurse on a fixed-term contract, was dismissed for redundancy after the respondent research unit required reduced staffing. Another Band 6 nurse was also employed on a fixed-term contract.

The respondent selected the claimant because her contract was due for renewal first. It made that decision before consultation with her. Later meetings concerned possible alternative employment, which did not result in a suitable role.

The Employment Tribunal dismissed the unfair-dismissal claim. The claimant appealed, contending that the Tribunal had erred on consultation, the redundancy pool, the sole selection criterion, the range of reasonable responses, and the adequacy of its reasons.

Held

  1. Appeal allowed. The dismissal was unfair. The case was remitted to a differently constituted Employment Tribunal to determine remedy.

  2. The statutory question remained fairness under section 98(4) of the Employment Rights Act 1996. The principles in Williams v Compair Maxim Ltd and Polkey v A E Dayton Services Ltd remained sound industrial-relations practice. Subject to appropriate adaptation, they apply to all redundancy situations, including those without collective representation.

  3. Consultation must be genuine and meaningful. It should occur at a formative stage, when an employee's representations can still potentially affect the outcome. A departure from that approach can be fair only where it is reasonable, and the Tribunal must explain why.

  4. A tribunal should not readily interfere with an employer's choice of redundancy pool. Its task is nevertheless to decide whether the pool was one which a reasonable employer could adopt in all the circumstances. The implied term of mutual trust and confidence also precludes arbitrary differentiation between employees.

  5. Here the choice of the employee whose contract expired first selected the claimant, created a pool of one, and predetermined dismissal before consultation. Consultation about redeployment could not cure the absence of consultation on selection. Although a pool of one can be fair in an appropriate case, it should not be adopted without prior consultation where more than one employee exists. The Tribunal supplied no non-tautologous explanation for treating that process as reasonable.

  6. The Tribunal had also failed to give sufficient reasons on the specifically raised issues of consultation and pooling. Its decision could not be sustained on a benign reading of the judgment.

The court’s approach to earlier authorities

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Appellate history

  • Employment Appeal Tribunal: Appeal allowed. The Employment Tribunal's dismissal of the unfair-dismissal claim was set aside, and remedy was remitted to a different panel.
  • Employment Tribunal: Employment Judge Lancaster, sitting with members, dismissed the claimant's unfair-dismissal complaint following a six-day hearing in January 2021.

Key cases cited

20 authorities cited.

  • Polkey v A E Dayton Services Ltd [1987] IRLR 503
  • DPP Law Ltd v Greenberg [2021] EWCA Civ 672
  • Simpson v Cantor Fitzgerald Europe [2020] EWCA Civ 1601
  • Meek v City of Birmingham District Council [1987] IRLR 250
  • Taymech v Ryan [1994] EAT/663/94
  • Sinclair Roche & Temperley v. Heard [2004] IRLR 763
  • Hendy Banks City Print Ltd v Fairbrother [2002] All England Reports Digest 142
  • Rowell v Hubbard Group Services Ltd [1995] IRLR 195
  • De Grasse v Stockwell Tools Ltd [1992] IRLR 269
  • R v Gwent County Council ex parte Bryant [1988] Crown Office Digest p19
  • Green v A & I Fraser (Wholesale Fish Merchants) Ltd [1985] IRLR 55
  • Martin v Glynwed Distributions Ltd [1983] ICR 511
  • Williams v Compair Maxam Ltd [1982] ICR 156
  • Freud v Bentalls Ltd [1982] IRLR 443
  • Union of Construction, Allied Trades and Technicians v Brain [1981] ICR 542
  • Thomas and Betts Manufacturing Ltd v. Harding [1980] IRLR 255
  • Hollister v National Farmers’ Union [1979] ICR 542
  • Wrexham Golf Co Ltd v Ingham
  • Capita Hartshead Ltd v Byard
  • Crown v British Coal Corporation Secretary of State for Industry ex parte Price & Others

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Cases citing this case

6 later cases · 2 positive · 4 neutral

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