News & Views

Redundancy - carrying out a fair selection

BY Fiona McBeath
Employment law
BG Purple

 

The EAT has provided further useful guidance on the steps that an employer must take when considering potentially redundant employees for alternative positions within the business.

 

Following the approach in Morgan v Welsh Rugby Union, reported in a previous LAWmail, the EAT has reiterated the wide latitude that an employer has when appointing employees to a newly created role. 

In the case of Samsung Electronics (UK) Ltd v Monte-Cruz, the employee and a number of senior colleagues' roles were made redundant. The redundant employees were invited to apply for newly created roles. The Claimant was unsuccessful in his application for a number of roles, at least one of which was filled by an external appointment. The Claimant brought a claim for unfair dismissal and succeeded in the employment tribunal on a number of grounds including a flawed consultation process and a failure to carry out a fair and objective interview process in respect of the new roles. 

Overturning the tribunal's decision, the EAT found that the dismissal was fair. In particular, the EAT found that the interview process was not carried out unfairly. While the interviews had been based on primarily subjective criteria, the EAT found that subjectivity was not a 'dirty word', particularly in the context of an interview for alternative work.

 

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