Member Article

Former pharmaceutical manufacturing employees to pursue legal action

Greater Manchester based M&A Pharmachem staff say company failed to consult over redundancy process

A number of employees affected by the collapse of paracetamol and opiate manufacturer, M&A Pharmachem Limited are looking to pursue legal action against the company over claims the redundancy process wasn’t properly managed.

Based in Greater Manchester, with the manufacturing plant in Westhoughton near Bolton, M&A Pharmaceuticals made the shock announcement of its collapse on the 27th of January.

Reports suggest that the company failed to secure fresh investment after administrators had previously been called in, now, it has also been reported that eighty-four jobs are confirmed to have been lost.

Aticus Law says it has now been contacted by former employees who claim to have not been properly consulted over the redundancy process.

Aticus is now looking at the claims that the company failed to properly consult with staff about the job losses, with a view to pursuing legal action against them over the redundancy process was managed.

If successful, those involved in the challenge will be entitled to claim a Protective Award which is up to eight weeks’ worth of pay in compensation, with a cap of £544 per week.

Mohammed Balal of Aticus Law today urged others who had been affected by the collapse of M&A Pharmachem Limited to ensure their job title was included in the legal action, and by checking whether they are eligible to make a claim.

He said: “Regrettably, the collapse of businesses in a variety of different sectors have recently dominated the news headlines, and for every business that has entered into administration has resulted in a slew of redundancies.

“M&A Pharmachem worked with a number of community pharmacies and high street names, who will be impacted by their collapse. There are also 84 members of staff who have also been affected with the business entering into administration recently.

“Staff members have had their lives turned upside down as a result of the collapse, and it is understandable that they are feeling anxious and concerned about the future.

“While many people think that as the business has collapsed there is nothing that can be done, those affected actually have the right to hold the company accountable. Under the current employment law if a business is making more than 20 employees redundant at one establishment, they must follow the correct consultation process.

“We’re obviously in the very early stages of understanding what happened in this instance, based on what our clients are telling us, that didn’t happen at M&A Pharmachem.”

Mohammed went on to explain that the firm is now investigating whether there are grounds to claim for a Protective Award, which is basically compensation awarded by an Employment Tribunal if an employer fails in its duties.

He added: “It’s a really vital safety net for so many families in fast-paced redundancy situations that often leave them with no source of income and absolutely no notice.

“However, many people don’t realise that you can only get a Protective Award payment if you are included as part of the claim and are listed as part of the Schedule of Claimants attached to the Tribunal Judgment.

“You can’t simply watch from the side-lines while ex-colleagues take the legal challenge forward. It’s important to make sure your name and specific job title is included.”

This was posted in Bdaily's Members' News section by Isabella Storey .