A number of employees who lost their jobs when Harry Fairclough Construction went bust are set to take legal action against the firm.
The construction firm, which employed around 150 staff in its Warrington headquarters and West Yorkshire office, went into administration last week after more than 120 years in business.
The firm, which had a turnover of £38m last year, specialised in civil contracts but also had a division known as Harry Fairclough Build to deliver buildings for private and public sector clients.
Law firm Simpson Millar said it had started investigations after it received calls from Harry Fairclough ex-employees regarding its redundancy process.
The firm, which is also currently pursuing claims against collapsed retail chain Mothercare, said it is trying to secure a ‘Protective Award’ on behalf of employees for the company’s failure to properly consult staff regarding the mass redundancies.
Stephen Pinder, a specialist employment law partner at Simpson Millar, explained a ‘Protective Award’ is a payment awarded by an employment tribunal when an employer fails to follow the correct procedure when making at least 20 redundancies.
Where an employment tribunal finds in the favour of the employees, they will be able to access the funds via the Government Insolvency Service, he said.
Mr Pinder said: “This is undoubtedly an incredibly difficult time for those affected and many will be attempting to understand the news and plan their next steps.
“We have been contacted by former employees who are looking to bring in claims for a Protective Award which would be paid out to those affected by redundancies where they have not properly been consulted.”
