YM Group sackings: around 700 former employees set to receive payment after Unite secures £2.5m protective award

The workers, who were employed at Pinder in Scarborough, YM Chantry in Wakefield and York Mailing in York, lost their jobs in March 2022 after the sites were closed overnight and the group went into administration.

Former Pinder employee Craig Hewitt, from Scarborough, said: "It was a real shock coming into work one day and the site just being closed with no notice. It caused a great deal of anxiety for everyone because we didn't know how we were going to pay our bills.

“It's been a long road to getting what we were entitled to. Fortunately the union had our backs from the start and thanks to Unite even people who weren't part of the union received the protective award."

YM Group entered administration in March of last year, noting in a statement at the time that it had experienced a period of “challenging trading, that has been exacerbated by the impact of the pandemic and rising prices”.

A spokesperson for FRP Advisory, the firm appointed as administrator, said at the time: "This has been an incredibly challenging period for the printing sector and, regrettably, the insolvency has led to redundancies at what we know will be an extremely difficult time."

The closure also came after unsuccessful efforts to find a buyer for all three businesses.

Thompsons Solicitors took the case to a tribunal on behalf of around 300 Unite members, but secured a judgement for all employees from each of the three Yorkshire firms.

Employment rights solicitor James Cooper, who worked on the case, said: “Ultimately, there's a human factor to this, and all of those people lost their jobs overnight last year, so it was really humbling to get the award for them, to work alongside the trade union and to make sure they receive compensation.

“The information and consultation rules are there for a reason, and it's a shame that employers continue to disregard them. Ultimately, it's the Government that foots the bill.”

According to legislation, an employer who is proposing to dismiss 100 or more staff at one establishment within a period of 90 days or less must consult with representatives of the employees at least 45 days before the first dismissal.

The recent judgement, which was passed on June 9, found that complaints brought about by Unite in regards to this rule were “well-founded”, and ruled that employees from all three firms should be paid remuneration for a protected period of 90 days from 31 March 2022.

Unite general secretary Sharon Graham said: “It is obviously terrible news when a company goes into administration and workers lose their jobs. But Unite doesn’t rest when it comes to pursuing justice for our members. This case shows that.”

FRP’s latest Administrator’s Progress Report states that the assets of YM Group have been realised, and that administrators are finalising the position of creditors.