Cleveland Bridge workers win £400k payout

Aaron Morby 12 years ago
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Steelwork contractor Cleveland Bridge will have to pay out more than £400,000 to former workers for failing to conduct full redundancy consultations.

Around 130 workers were laid off last January after the steelwork contractor lost the SeaDragon oil platform fabrication contract.

The workers submitted a claim against Cleveland Bridge for loss of earnings after being given only a few days’ notice they would lose their jobs.

A Leeds tribunal has found in their favour and is understood to have ordered a settlement running into more than £400,000. This equates to between £2,500 and £4,500 per worker.

The contract to build the £250m SeaDragon oil and gas drilling platform was one of the largest undertaken for a decade at Teeside.

The job was awarded to the TES Alliance Group in November 2006, but subcontractors like Cleveland Bridge were stripped of the job after 4,000t had been fabricated when the SeaDragon company relocated work to Singapore.

With support from general workers union GMB the workers pursued a claim for lack of 90 days consultation before being made redundant.

Jimmy Skivington, GMB regional organiser, said: “This judgement should serve as a reminder to employers that the GMB will take whatever steps necessary to protect our members’ employment rights.

“Our members have been extremely patient in waiting nearly 18 months for the tribunal to come to this decision, but the decision has been very well received by the GMB members involved.”

Cleveland Bridge would not comment.

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