Thomas Cook

Thomas Cook has been in the headlines over the past few weeks in respect of its insolvency and the loss of thousands of jobs in the UK and worldwide. 

The company failed to secure a financial package at the last minute to save it from collapse, leading to another blow for the UK high street. 

The loss of jobs in any company can be significant, however, the shock of a compulsory liquidation is profound. 

Recent headlines and reports from ex-Thomas Cook staff suggest no formal redundancy consultation was in place at the time of the collapse. Whilst this is still being investigated, if it is found that no consultation took place, the ex-employees may be able to bring claims for protective awards against the company for failure to follow collective consultation. If successful, this will mean up to 90 days gross pay for each affected employee.

In the meantime, ex-employees can apply to the Insolvency Service for redundancy and other payments, including any wages owed. Claims are paid within 14 days on average.


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Author: Rafia Ahmad

Senior Solicitor, ESP Law Ltd

Rafia trained and qualified with Wedlake Bell LLP, a London City law firm where she was an employment solicitor for six years before moving to the fast paced trading floor of Cantor Fitzgerald LLP, a London based New York prime brokerage/investment bank as in-house employment counsel. Prior to joining ESP, Rafia was a senior employment solicitor for five years with Backhouse Jones, the UK’s number one national road transport law firm. She advises on all employment matters both contentious and non-contentious including tribunal proceedings.