Establishing Interpretation in the Collective Redundancies Directive

Abstract

The CJEU has recently ruled in the case of USDAW and B. Wilson v VW Realization 1 Ltd (in liquidation), Ethel Austin Ltd, and the Secretary of state for Business, Innovation and Skills on how the meaning of “establishment,” as used in the Collective Redundancies Directive, should be interpreted in the EU. The Directive is aimed to approximate Member State laws on procedures for making large scale redundancies to afford greater protection to workers through consultation obligations when at risk of redundancy due to an employer’s financial problems. However, the Directive is also designed to take into account the need for balanced economic and social development within the EU.

Keywords: Employment Rights; Collective Redundancies; Ethel Austin; Financial Distress; Insolvency Law; Corporate Rescue; Woolworths; EU Law

JEL Classification: G3, J8