Answers needed over Faversham jobs

HUGH ROBERTSON GAINS CLARIFICATION FROM THE GOVERNMENT OVER CLOSURE OF SOUTH EAST COACHWORKS

Hugh Robertson has obtained some much needed clarification from the Director of Redundancy Payments at the Insolvency Service over the future of South East Coachworks.

In his reply to the MP’s letter, Mike Cowell, the Director of Redundancy Payments makes three main points.

1. The business of Faversham Coachworks has been ‘transferred’ directly to South East Coach works.

2. A number of the employees who have transferred from the old to the new company have claimed redundancy pay, arrears of pay and compensatory payments. These claims have been rejected by the Insolvency Service because the business has been transferred.

3. The employees have now taken this to an employment tribunal. The tribunal can direct that payment is made by the new company.

Hugh said: “The letter from the Insolvency Service has clarified the situation somewhat – although they should have responded before I had to intervene. If their information is correct, the situation appears to lie in one of two directions.

“Firstly, South East Coachworks can contest the decision that a direct transfer from Faversham Coachworks to them has taken place.

“Secondly, the employees could drop their action.

“However, nothing can be done in advance of the findings of the tribunal.”