Important Case Review: Caps on Redundancy Payments Do Not Constitute Indirect Discrimination

Posted in : Supplementary Case Law Articles ROI on 21 May 2013
Elaine Kelly
Issues covered:

Elaine Kelly has written a review of the Labour Court recommendation in Hospira v Roper. In a landmark decision, the Court overturned a decision of the Equality Tribunal to the effect that caps on redundancy payments constituted indirect discrimination on grounds of age (and would only be lawful if objectively justifiable).

The complainants in the case had been employed by Hospira for periods ranging from 16-25 years and their employment contracts were terminated following Hospira's decision to close the plant in Donegal in which they worked. Hospira agreed redundancy terms with SIPTU which provided for a payment of five weeks’ pay per year of service in addition to statutory redundancy

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This article is correct at 06/08/2015

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Elaine Kelly

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