ADJUDICATION OFFICER DECISION/RECOMMENDATION
Adjudication Reference: ADJ-00004491
Complaint:
Act | Complaint/Dispute Reference No. | Date of Receipt |
Complaint seeking adjudication by the Workplace Relations Commission under Section 39 of the Redundancy Payments Act, 1967 |
CA-00006416-001 | 11/08/2016 |
Date of Adjudication Hearing: 18/05/2017
Workplace Relations Commission Adjudication Officer: Gaye Cunningham
Location of Hearing: The Anner Hotel, Thurles, Co. Tipperary
Procedure:
In accordance with Section 41 of the Workplace Relations Act, 2015 and Section 39 of the Redundancy Payments Acts 1967 - 2014 following the referral of the complaint to me by the Director General, I inquired into the complaint and gave the parties an opportunity to be heard by me and to present to me any evidence relevant to the complaint.
Summary of Complainant’s Case:
The complainant commenced employment as a Medical Practice Nurse on 7th February 2000. She initially worked a four and a half day week, and in 2008 began working a one day week plus cover for annual leave and then in 2015 one day per week. In all of her contracts of employment it is specifically stated “in the event of the employer retiring the employment ceases”. In a letter dated 20th December 2015, the respondent advised that he was contemplating retiring at the end of March 2016. In February the complainant was advised verbally by the respondent that he was retiring on 1st April 2016. On 5th April 2016 the complainant emailed the Practice Manager seeking her statutory redundancy payment. She was advised that she was not entitled to claim redundancy as she had secured reemployment with immediate effect. There was correspondence between the complainant’s representative INMO and the respondent’s representative IMO but no agreement was reached. It is submitted that Section 7 (2) (a) of the Redundancy Payments Act 1967 allows for the definition of redundancy and the termination of the complainant’s employment by the respondent was due to him ceasing to carry on the business for which the complainant was employed. Further, as the GMS contract is not transferable the complainant is entitled to statutory redundancy. Case law was cited in support – Ryan v O’Flaherty UD354/2003, O’Donnell v Feerick UD 77/2004 and McNamee v Gavin RP 2631/2011. |
Summary of Respondent’s Case:
Detailed written and oral submissions were made, summarised as follows: The respondent was a single handed GP operating the practice for 30 years with a mix of public and private patients. He looked at options around bringing a partner into the practice but had been unsuccessful. He tendered his resignation on 1st April 2016. The respondent did continue to look after patients in a locum capacity pending the filling of the vacancy. He provided the details of staff to the HSE and understood that the complainant and her colleague were taken on by the new GP on the same terms and conditions. It is argued that there is no redundancy liability arising in relation to his resignation from the GMS contract. It is contested that a redundancy existed within the meaning of the Redundancy Payments Act 1967 as amended. While the respondent did cease practice the complainant was immediately re-engaged and subsequently employed by the new GP on the same terms and conditions as she had been engaged. Under Section 9 (3) of the Act there was no dismissal. It is argued that a transfer of undertakings occurred in line with the Transfer of Undertakings (Protection of Employees) Regulations. |
Findings and Conclusions:
There is case law supporting the complainant’s assertion that GMS contracts are not transferable and therefore Transfer of Undertakings does not apply. Notably, in Decision RP2631/2011 where the Employment Appeals Tribunal found : “the respondent was in turn employed under a GMS contract from the HSE, the respondent’s contract was specific to him and thus could not be transferred to somebody else…no liabilities under the former contract carried over to the new contract”. In the circumstances, I find that the complainant is entitled to a statutory redundancy payment based on her insurable employment with the respondent. |
Decision:
I uphold the complainant’s claim for statutory redundancy and I require the respondent to pay to the claimant her statutory redundancy in accordance with the Act.
Dated: 16/06/2017
Workplace Relations Commission Adjudication Officer: Gaye Cunningham