Employee placed incorrectly

My client had been working for an international bank for many years, to the satisfaction of both parties. The bank ...

Bank places employee with wrong company as part of takeover

My client had been working for an international bank for many years, to the satisfaction of both parties. The bank decided to transfer some of its insurance activities to two separate new business entities. My client was placed with one of the companies without any explanation, even though she was convinced that she should have been placed with the other company and that she would have been better able to continue the activities with which she was familiar and would have had more pleasure in her work if she had been placed there. The request for advice addressed to the bank’s Works Council indicated that the determining factor in the placement decision was supposed to be that each employee would be placed with the company for which they would be doing more than 50% of their work.

On the basis of the factors selected by the bank (customer base, area of responsibility, nature of duties), my client was able to show that there had been a transfer of a business to the other company and that she had therefore entered into employment with the other company by operation of law. The bank took the view that my client had been transferred together with the work she did, so in the end, having discussed the situation with my client, I issued court proceedings. In summary I applied for her to be employed by the other company due to the transfer of a business.

Following the submission of a lengthy defence by the bank, a hearing was held and I was able to convince the court to give me the opportunity to prove that the correct application of the factors selected by the bank led to a different conclusion and therefore that she had been placed with the wrong business.

Before it got to that stage, the bank contacted to me to ask if an out-of-court settlement was an option. In the end, the parties and the owners of the two new companies were able to agree a settlement to everyone’s satisfaction, with the bank covering all the legal expenses.

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