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Redundancy selection criterion based on length of service held not to be unlawful age discrimination

Date: 21st October 2008
Categories: Employment

The High Court has ruled that although Rolls Royce's redundancy selection policy of giving credit for length of service was age discriminatory, it was objectively justified under the Age Regulations.

Rolls Royce and Unite the Union entered into two collective agreements relating to redundancy.  Both agreements provided for a points scoring system in the redundancy selection procedure.  Employees could score points in various categories, leading to an overall assessment of their suitability for selection for redundancy.  As part of the process, each employee was to receive one point per year of continuous service.

The High Court ruled that the length of service criterion respected loyalty and experience and protected the older workforce from being made redundant at a time when finding alternative employment is harder.  Therefore, although the criterion was age discriminatory, it was objectively justified. 

The Age Regulations do not prevent a worker being placed in a better position than other workers by the award of a "benefit" based on length of service.  The High Court also held that the collective agreements would fall within this exemption, as giving points for long service in a redundancy selection procedure may mean workers keep their jobs and this could be described as a "benefit".

Rolls Royce plc v Unite the Union

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