In Ross v Delrosa Caterers Ltd [1981] ICR 393 EAT, the Employment Appeal Tribunal held that, although continuity of employment is broken where a redundancy payment has been paid to an employee and the contract of employment is renewed or the employee re-engaged under a new contract, this is the case only if the redundancy payment is a statutory redundancy payment.
In Rowan v Machinery Installations (South Wales) Ltd [1981] IRLR 122 EAT, the EAT held that the Industrial Tribunal had erred in finding that the appellant's period of continuous employment had been broken when his contract of employment had been terminated by the respondents and he was paid an amount calculated in accordance with the statutory redundancy payment provisions, in circumstances in which there was no liability on the respondents to make a redundancy payment.
In The Bakers' Union v Clarks of Hove Ltd [1978] IRLR 366 CA, the Court of Appeal held that the EAT had incorrectly set aside the finding by the Industrial Tribunal that the employers' insolvency was not a special circumstance rendering it not reasonably practicable for them to comply with the redundancy consultation provisions of the Employment Protection Act, section 99.
In Transport & General Workers' Union v Nationwide Haulage Ltd [1978] IRLR 143 IT, the Industrial Tribunal held that the two sets of redundancies were not aggregated since there was no evidence that at the time of making the first set of redundancies there was an intention to follow them shortly with the second set.