Olsten (UK) Holdings Ltd v Adecco Group European Works Council (Topic no. 27 (Central Arbitration Committee)) [2022] EAT 183 (13 December 2022)

Olsten (UK) Holdings Ltd v Adecco Group European Works Council (Topic no. 27 (Central Arbitration Committee)) [2022] EAT 183 (13 December 2022)

Collective redundancies proposed in more than one EEA state by group undertakings constitute a transnational matter under the EWC agreement and Directive 2009/38/EC, regardless of whether they share a common rationale or are centrally coordinated. The obligation to convene an extraordinary meeting and provide country-level sales data was triggered. The CAC correctly found part of the complaint out of time, and penalties are appropriate for the breaches found.

Citation
[2022] EAT 183
Parties
Appellant; Respondent to Cross Appeal; Respondent to Application: Olsten (UK) Holdings Limited; Respondent; Cross Appellant; Applicant: Adecco Group European Works Council (by its employee representatives)
Jurisdiction
United Kingdom
Judgment Date
13 December 2022
Procedural Posture
Employment Appeal Tribunal Appeal and Penalty Application / Judgment on Appeal, Cross Appeal, and Penalty Application
Outcome
Appeal dismissed; cross-appeal dismissed; penalty imposed.
Legal Topics
Transnational Information and Consultation of Employees, European Works Council, Collective Redundancies, Limitation Periods, Penalty for Breach of EWC Agreement
Employment Law European Union Law Transnational Information and Consultation of Employees European Works Council Collective Redundancies Limitation Periods Penalty for Breach of EWC Agreement

Case Brief

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Parties

Olsten (UK) Holdings Limited

Appellant; Respondent to Cross Appeal; Respondent to Application

Adecco Group European Works Council (by its employee representatives)

Respondent; Cross Appellant; Applicant

Procedural Posture

Employment Appeal Tribunal Appeal and Penalty Application / Judgment on Appeal, Cross Appeal, and Penalty Application

Legal Issues

  1. 1 Meaning of 'transnational' matter under EWC agreement and Directive 2009/38/EC
  2. 2 Timeliness of complaint regarding collective redundancies
  3. 3 Obligation to convene extraordinary meeting under EWC agreement

Ratio Decidendi

Collective redundancies proposed in more than one EEA state by group undertakings constitute a transnational matter under the EWC agreement and Directive 2009/38/EC, regardless of whether they share a common rationale or are centrally coordinated. The obligation to convene an extraordinary meeting and provide country-level sales data was triggered. The CAC correctly found part of the complaint out of time, and penalties are appropriate for the breaches found.

Court Disposition

Appeal dismissed; cross-appeal dismissed; penalty imposed.

Orders

  • Penalty of £20,000 for failure to convene extraordinary meeting regarding collective redundancies in Sweden and Germany.
  • Penalty of £5,000 for failure to provide business sales performance data broken down by country at November 2020 Annual Plenary Meeting.