Legal Article - Employment Law

Trade Union Derecognition

The consequences of statutory recognition are that the Trade Union will, from then on, be entitled to negotiate on pay, hours and holiday. Plus any additional issues within the bargaining agreement. Any information requested by the Trade Union must be disclosed.

Employers must inform unions of all changes, even if only proposed to pensions, redundancies and TUPE transfers.

If statutory recognised then the Derecognition procedure must be followed.

After 3 years, a company can ask the CAC to hold a ballot to see whether there is support for the bargaining arrangements to be ended. This can only be completed if;

the company has less than 21 members of staff
they no longer has the majority of support from the workforce
membership falls below 50%

An application must be made to the CAC for Derecognition and a notice sent to the relevant Trade Union. Once received, the CAC will convene a panel to discuss the validity of the application. This msut be completed within 10 working days of the initial application.

If the CAC feel it is invalid, then it will be treated as if the application had not been made and the agreement will remain in tact. If it is decided the application is valid, the agreement will cease.

The union will be able to challenge this decision and the CAC must reconsider for a further 10 days. If the decision is appealed then the agreement remains in tact until the second outcome is reached. If the decision is upheld the agreement will cease on the date after the last day of the CACs second final decision.  

 

Published: 03 Jun 2011

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