TGI Fridays Rescue Deal - 35 sites close
TGI Fridays has recently agreed a significant rescue deal, which saved 51 restaurants around the country from closing. Despite this, 35 restaurants did not make the list, with the Leicester restaurant closing its doors. In total, it is estimated that the closure of 35 restaurants will result in the loss of over 1000 jobs, redundancies.
For many employees, this can represent a sudden loss of income, and many may therefore question whether their dismissals were lawful.
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 ceases (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.
Since TGI Fridays is closing 35 sites, they would appear to have a fair reason for dismissal. However, this alone does not protect employers from claims.
The employer 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 employees 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.
What are your options?
- If you are being made redundant by TGI Fridays, and have concerns about the procedure being undertaken, Lawson West 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.
