Rolls-Royce Plc v Unite the Union

Rolls-Royce Plc v Unite the Union

The inclusion of length of service as a criterion in the redundancy selection matrix is not unlawful under the Employment Equality (Age) Regulations 2006. The criterion is a proportionate means of achieving a legitimate aim, namely the reward of loyalty and the maintenance of a stable workforce, and is only one of several factors in the selection process. The award of points for length of service constitutes a 'benefit' within Regulation 32(1), and its use reasonably fulfils a business need. The appeal is dismissed.

Parties
Appellant: Rolls-Royce PLC; Respondent: Unite the Union
Jurisdiction
England and Wales
Judgment Date
14 May 2009
Procedural Posture
Civil Appeal / Court of Appeal Judgment on Appeal From High Court
Outcome
Appeal dismissed
Legal Topics
Redundancy Selection, Age Discrimination, Collective Agreements, Indirect Discrimination, Declaratory Relief
Employment Law Equality and Discrimination Law Redundancy Selection Age Discrimination Collective Agreements Indirect Discrimination Declaratory Relief

Case Brief

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Parties

Rolls-Royce PLC

Appellant

Unite the Union

Respondent

Procedural Posture

Civil Appeal / Court of Appeal Judgment on Appeal From High Court

Legal Issues

  1. 1 Whether the inclusion of length of service as a criterion within a redundancy selection matrix is indirectly discriminatory under the Employment Equality (Age) Regulations 2006
  2. 2 Whether the length of service criterion constitutes a 'benefit' under Regulation 32(1)
  3. 3 Whether the use of the length of service criterion is a proportionate means of achieving a legitimate aim under Regulation 3(1)

Ratio Decidendi

The inclusion of length of service as a criterion in the redundancy selection matrix is not unlawful under the Employment Equality (Age) Regulations 2006. The criterion is a proportionate means of achieving a legitimate aim, namely the reward of loyalty and the maintenance of a stable workforce, and is only one of several factors in the selection process. The award of points for length of service constitutes a 'benefit' within Regulation 32(1), and its use reasonably fulfils a business need. The appeal is dismissed.

Court Disposition

Appeal dismissed

Orders

  • No formal declaration made; appeal dismissed; redundancy exercises may proceed; Employment Tribunal claims remain open to affected employees.