Employees who worked in Lincoln, Blaydon and Bridgend dairies, which were closed by receiver PricewaterhouseCooper in June 2009, were last month awarded thousands of pounds in compensation after a tribunal ruled that the receivers had not provided an adequate consultation period before making employees redundant.
The Union of Shop, Distributive and Allied Workers (USDAW) lodged a claim for a protective award in August 2009. After many months of waiting for a hearing date, the tribunal found in favour of the former DFB workers last month, said the union.
Since the hearing, former DFB employees have been applying to the Redundancy Payments Office to claim up to eight weeks' pay, said USDAW national officer John Gorle.
Gorle said the government would have to pick up the costs of compensation, as there was no legal requirement for receivers/administrators to be penalised, despite failing to provide an adequate consultation period.
Gorle was "delighted" at the tribunal's decision. However, he said the union would continue to lobby government because it wanted the administration to come down harder on receivers/administrators when it came to protective award costs.