Firm ‘should be fined for axing jobs’
Lawyer speaks up for staff
A construc t i o n company should be fined for axing 85 workers at short notice, legal experts claim.
Thompsons Solicitors insists a hard line should be taken against stricken Lambert Contracts.
The firm has called for bosses to be rapped for failing to consult staff on redundancies.
Lawyer Priya Cunningham says only substantial fines will stop other businesses from acting in the same way.
She said: “The more notice the workforce have to prepare for these devastating changes the better they can organise their financial responsibilities to soften the blow.
“This did not happen in the case of Lambert’s – which is against the law.
“We very firmly believe that the UK financial authorities must take a far harder line with company directors who behave in this way.
“Bosses think they can dump workers and let the UK tax payer pick up the tab through protective awards while they walk away scot free.
“The financial authorities already have the power to prosecute bosses who dump workers at short notice but rarely use them.
“They should be sending out a strong signal that this sort of behaviour is not only illegal but is also heartless and no way to treat loyal employees.”
Staff were given the bombshell news they were being laid off earlier this week.
The Hawkhead Road outfit blamed the decision on “cashflow problems”.
Administrators were called in and revealed 77 workers have been made redundant immediately, with eight more staying on to help with the winding-up process.
Solicitors are taking action to secure cash for those dumped without redundancy payments.
Under UK insolvency law company directors must consult with staff in good time on possible administration.
This is so employees can make future plans should the worst happen.
Bosses who do not do this are breaking the law and could be hauled into court.
Lawyers say staff could be entitled to huge amounts in ‘protective awards’ paid for by taxpayer through the UK Treasury.
Ms Cunningham added: “We have already been contacted by several Lambert ’ s staff and will be moving forward immediately with applications.
“Many workers caught up in administration do not know they are entitled to this cash and the legal process is rather complex.
“However, my team are specialists in this area and have had huge success with other cases over the past few years.”
Trade union chiefs are meeting staff to discuss legal options following the company’s collapse.
Thompsons Solicitors has won millions of pounds for employees off- loaded by companies sliding into administration.
Lambert Cont racts was founded in 1985 and specialised in insurance reinstatement, fire safety and maintenance.
It had a turnover of more than £14.7m last year.
Last night, the company declined to comment.