Asda: 475 people redundant in Leicestershire and Leeds

Asda: 475 people redundant in Leicestershire and Leeds

ASDA has recently announced that it is making 475 roles redundant at their head offices in Leicestershire and Leeds, which will affect almost 10% of Asda’s head office workforce.


Redundancy Announcment ASDA

It has been reported that Asda has not followed the established redundancy procedure by offering redundancy consultation meetings to employees.

The reasons given by Asda for the redundancies are due to a 2.2% decline in the company’s total revenues between April to June 2024.

For many employees, this can represent a sudden loss of income, and many may therefore question whether their dismissals were lawful.


Redundancy and The Law

In employment law, an employer must have a fair reason to dismiss an employee. They must also follow a fair procedure.


Redundancy is a potentially fair reason for dismissal. Redundancy is defined under the Employment Rights Act 1996 and arises where an employer cease (or intends to cease) to carry on the work for the purpose of which the employee was employed or, where the requirements of that business for employees to carry out work of a particular type has ceased or diminished or is expected to do so.

However, whether or not Asda does have a potentially fair reason to carry out redundancies, it still has to follow a fair dismissal procedure.  This will include individual and (where 20 or more dismissals proposed at one establishment within a period of 90 days or less) collective consultation with the workforce, employee representatives or recognised trade unions.

Failure to follow a fair procedure may (subject to the employee having the requisite service on dismissal) give rise to claim for unfair dismissal and a protective award which may enable an employee to claim as much as 90 days pay by way of compensation.

Additional guaranteed payments may be claimed from the Redundancy Payments Office in relation to statutory redundancy pay, unpaid wages, statutory notice pay, holiday pay and pension contributions.

Redundancy - What are your options?

  • If you are being made redundant by Asda, and have concerns about the procedure being undertaken, Lawson West Solicitors has employment law expertise and can help.

  • Similarly, if you have been offered a Settlement Agreement, Lawson West Solicitors has a team of experienced Employment Law Solicitors that can provide you with comprehensive and helpful advice.

 

With offices in Leicester and Market Harborough our employment solicitors and lawyers can discuss your redundancy at any of our branches. In addition, we are a national provider of expert employment law advice and welcome a free discussion with you regarding your circumstances and potential claim.

If you believe you have a situation where you require free legal advice, please contact us on telephone 0116 212 1000 or 01858 445 480, alternatively fill in the free Contact Us form and we will get in touch as soon as possible.

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