Unite denounces Nortel for using light touch law to protect
light-fingered employers
9th April 2009
Unite has condemned the decision of Nortel and its
administrators Ernst & Young to sack over 200 people out of its
2,000 UK workforce on the spot without consultation or redundancy
pay, predominantly in Northern Ireland, Maidenhead and Harlow.
This decision came merely a week after the company obtained
approval in US and Canadian Courts to pay 92 senior managers more
than $23 million, including bonuses of up to $7.3m to the eight
members of Nortel’s senior leadership team.
The company in January filed in the US for bankruptcy protection
and put its UK operation under administration. Nortel UK is the
official network infrastructure provider for the London 2012
Olympic Games.
Peter Skyte, Unite National Officer, said: “We condemn the
disgraceful actions of Nortel and administrators Ernst & Young
in dismissing 200 of its UK workforce, including nearly 90 at its
Monkstown (Northern Ireland) plant without any consultation or
redundancy compensation.
“The contrast between the company paying its senior executives
bonuses while sacking without any warning workers who have given
over 40 years of their working lives to this company, represents
the most hypocritical and outrageous example of corporate
callousness and greed.
“Light touch employment legislation in the UK is being exploited
by a light-fingered employers and administrators in this case,
relying on British taxpayers to pick up the cost.
“We will be using all available industrial, legal and political
avenues to challenge the approach of the company and its
administrators.”
ENDS
For further information please call Peter Skyte on 07768 931302
or Ashraf Choudhury in the Unite Press Office on 020 7420 8914 or
07980 224761.
Note for Editors:
The European headquarters of the company is in Maidenhead, and
other major sites are in Bracknell, Harlow, London, Maidenhead and
Monkstown (Northern Ireland).
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