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Ex-USC workers launch legal action against Mike Ashley

Former USC staff are to begin legal action against Sports Direct boss Mike Ashley after reportedly receiving just 15 minutes of consultation before losing their jobs.

Thompsons Solicitors have agreed to represent workers on a no-win, no-fee basis.

Over 200 workers at USC’s warehouse in Dundonald, South Ayrshire, were made redundant when the business went into administration last month. Workers are to take their cases to an employment tribunal.

David Martyn, an associate at Thompsons Solicitors, said workers can expect to receive up to eight weeks’ pay because of the failure to consult with staff, on top of any redundancy payment owed.

However, as USC was in administration, the bill will most likely be picked up by The Insolvency Service.

It has also been claimed that business secretary Vince Cable was not given advance notice of the redundancies. Employers must notify the secretary of state at least 30 days before dismissals take effect if 20 or more employees are to be made redundant.

Employers must also consult with representatives of employees if they plan to make 20 or more people from the same firm redundant within a 90-day period.

Under Section 194 of the Trade Union and Labour Relations (Consolidation) Act, consultation must be at least 45 days before the first dismissal takes effect in the case of 100 or more dismissals, or at least 30 days in all other cases.


Readers' comments (3)

  • The demi-god that is Mike Ashley is yet another example of big business thinking they don't have to abide by any laws of the land.
    Unfortunately they very rarely get challenged or punished by the government for this, so it will keep on happening.

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  • Always happy to see people challenge Mike Ashley - he needs to be made to realise you can't just walk over people.Good luck to the wee guys - hope you get what you deserve.

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  • darren hoggett

    I'd be surprised if Ashley has broken the law here, he is too smart for that. He always seems to work within the rules, even though they appear to be increasingly at flexing point...

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