The ECJ has handed down its judgment in the Woolworths and Ethel Austin cases concerning the meaning of “establishment” in collective redundancy consultation.
The ECJ has held that the meaning of “establishment” refers to the numbers of potentially redundant employees assigned to work in a particular place and not to possible numbers across the employer as a whole. The ECJ has held that in these particular cases, that the administrators were right to consider branches as separate establishments for the purposes of collective redundancy consultation. This in effect reverses the EAT’s decision; however, we will have to wait until this case refers back to our domestic courts for the law to officially revert back to its original pre-EAT position.
Report to follow in next week’s People in Focus.
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