Cartwright Group Staff Made Redundant Launch Legal Action

Workers who lost their jobs when Altrincham-based Cartwright Group placed two of its companies into administration earlier this week have begun the process of taking legal action against the company amidst allegations that it failed to properly consult staff when making redundancies.

Around 480 jobs have reportedly been axed amidst financial difficulties caused by the ongoing coronavirus pandemic, with staff at the Broadheath head office notified earlier this week by an audio message from administrators Deloitte.

It is understood that both S Cartwright & Sons (coachbuilders), and Cartwright Fabrications, have ceased trading with immediate effect as of September 22nd.

Since Tuesday, national law firm Simpson Millar says it has received calls from dozens of former staff and has now begun investigations and are looking to secure a Protective Award for those affected.

In response, the firm has also launched an online eligibility checker so that former employees can see if they are eligible to make a claim. Where an Employment Tribunal finds in the favour of the employees, they will be able to access the funds of up to £4,304 which will paid by the Government Insolvency Service.

David Jones, an expert Employment Law Solicitor at Simpson Millar said, “The current situation is making it difficult for many companies and it is no surprise that manufacturing firms are being significantly impacted by the coronavirus pandemic.

“Sadly, the collapse of both S Cartwright & Sons, and Cartwright Fabrications, has left many ex-employees out of work with little more than a moment’s notice and likely worried about finding alternative work given the current climate.

“However, despite the current circumstances employers do still have a duty under current employment law legislation to carry out a proper consultation with staff at risk of redundancies.

“Where this does not happen, they can make a Protective Award Claim which would be paid out to those affected by redundancies where they have not been properly consulted.”

David explains that a Protective Award is a payment awarded by an Employment Tribunal in cases where an employer fails to follow the correct procedure when making 20 or more redundancies.

Simpson Millar’s Employment Law Solicitors are currently instructed by former employees affected by the collapse of J Rotherham Masonry, as well as former staff at Merseyside manufacturer and retailer Ena Shaw, which both went into administration in February.

The team is also representing former employees of Thomas Cook, Flybe, Debenhams, and Specialist Leisure Group. Last year, the firm announced that it had secured payments on behalf of 103 ex-Mutiyork staff amounting to £300,000.

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