“Employment tribunal sets landmark principles for fair redundancy procedures”
Compair Maxam Ltd made 24 employees redundant from their factory workforce without proper consultation or applying objective selection criteria. The employees were dismissed with little warning and minimal consultation about alternatives to redundancy.
Whether the dismissals were fair and what procedural requirements must be followed by employers when making employees redundant for economic reasons.
The dismissals were unfair. The EAT established five key principles that employers should follow in redundancy situations to ensure fairness.
This case established the foundational 'Compair Maxam principles' that continue to guide redundancy procedures in UK employment law. It remains the leading authority on procedural fairness in collective redundancy situations.
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OSCOLA Citation
Williams v Compair Maxam Ltd [1982] ICR 156 (EAT)
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