Want to talk to an expert employment law solicitor?

You'll receive a callback from a specialist within an hour

In the case of Ostendorf v Barclays Capital Services Ltd UKEAT/0202/13/DA the Employment Appeal Tribunal (“EAT”) upheld the Employment Tribunal’s ruling that the redundancy process carried out by the employer was not a sham.

The factual background of Ostendorf v Barclays Capital Services Ltd

Milko Ostendorf commenced employment with Barclays Capital Services Ltd (“Barclays”) on 1 August 2003 and at the times relevant to this case he was Global Head of Funding Structuring. Mr Ostendorf was dismissed from his employment on 5 November 2010 for the reason of redundancy and brought a claim for unfair dismissal against Barclays, arguing that redundancy was not the true reason for his dismissal and that he had in fact been dismissed because he had devised a particular financial transaction which was estimated to be extremely lucrative to Barclays. Barclays argued that there was a genuine redundancy situation and that the financial transaction had in no way impacted upon the decision to make Mr Ostendorf redundant.

In December 2012 the Employment Tribunal found against Mr Ostendorf in his claim as it found that there was a genuine redundancy situation and the redundancy process used had not been unfair. In October 2013 Mr Ostendorf made an application for reconsideration on the grounds that he believed that further evidence had come to light that showed that Barclays had in 2012 used the financial transaction he had created. A further hearing was held in October 2015 and the application for reconsideration was dismissed in December 2015.

The decision of the Employment Tribunal

The Employment Tribunal dismissed Mr Ostendorf’s application for reconsideration, holding that the new evidence that he had put forward did not show that Barclays had implemented Mr Ostendorf’s financial transaction in 2012 and, further, that Mr Ostendorf’s dismissal had nothing to do with the financial transaction he had devised. The Tribunal again found that the true reason for Mr Ostendorf’s dismissal was redundancy and that the decision was fair.

Mr Ostendorf appealed the decision of the Employment Tribunal on the following grounds:

  1. That the Tribunal had not correctly placed the burden of proof on Barclays to show that the reason for the dismissal was redundancy; and
  2. That the Tribunal had reached conclusions for which it had no supporting evidence, rendering the Tribunal’s conclusions perverse

The decision of the Employment Appeal Tribunal

The EAT found that the Tribunal had in fact found that Barclays had established that the reason for Mr Ostendorf’s dismissal was redundancy. The EAT also found that there was in fact sufficient supporting evidence for the Tribunal’s conclusions and dismissed that ground of appeal as lacking merit.

The EAT also commented that it believed that the ‘true objection’ that Mr Ostendorf had to the decisions of the Employment Tribunal was the fact that the Tribunal had not reached the same conclusion as Mr Ostendorf and his expert on the unfairness of his dismissal.

Chris Hadrill, a specialist employment solicitor at Redmans, commented on the case: “It can often be difficult for Claimants in unfair dismissal cases to establish that the real reason for their redundancy was a sham, as most employers will take careful steps to ensure that the reason for the redundancy, and the process used, is well-documented.”

The Employment Appeal Tribunal’s judgment in Ostendorf v Barclays Capital Services Ltd can be found here.

About

Redmans Employment Team deal with employment matters for both employers and employees, including drafting employment contracts and policies, advising employers and employees on compromise agreements, handling day-to-day HR issues, advising on restructures, and handling Employment Tribunal cases for both employers and employees Call 020 3397 3603 to speak to one of the members of our employment team or email us on enquiries@redmans.co.uk. Redmans have offices in Richmond, Chiswick, Hammersmith, Fulham, Kingston, Wimbledon, Ealing, Kings Cross and Marylebone (meetings strictly by appointment only).

Want to talk to an expert employment law solicitor?

You'll receive a callback from a specialist within an hour

Share →

Our awards

Request a callback

    Your first name (required)

    Your last name (required)

    Your email (required)

    Your telephone number (required)

    Brief details of your enquiry

    Contact us

    Please feel free to discuss your own position and concerns. Contact your nearest office on:

    T: 020 3397 3603
    E: enquiries@redmans.co.uk
    W: www.redmans.co.uk

    Testimonials

    4.76 Average

    235 Reviews

    Paul O

    Chris & Rana guided me through a redundancy discussion. Prompt & patient assistance with the documents & meetings. Clear advice & fast responses regarding negotiations. Would definitely recommend & would use again without hesitation.

    Posted 1 month ago

    Anonymous

    Outstanding, efficient service. Thank you so much!

    Posted 1 month ago

    Jaswant S

    Very very happy with the good service I got Thank you so much for your help

    Posted 1 month ago

    Anonymous

    Mel and Chris were fantastic and supportive throughout! 1000% recommend.

    Posted 1 month ago

    Emma D

    Good responsive service

    Posted 1 month ago

    Mike T

    Good efficient service.

    Posted 1 month ago

    Brenda G

    Very professional and helpful

    Posted 1 month ago

    Charles A

    Chris Hadrill was recommended to me when I found myself in need of a solicitor at very short notice. He contacted me almost immediately to arrange a call. Chris handled my case in a professional and timely manner and kept me notified throughout. Chris inspired confidence and made me feel I was being cared for. If ever I'm in need of legal representation, I would not hesitate to contact Chris. And will gladly recommend him to family and friends.

    Posted 1 month ago

    Rosalind R

    I was very happy with the service that I received from Redmans Solicitors. They were able to advise me accordingly with regards to my employment matter and stay within the agreed costing.

    Posted 1 month ago

    Karl B

    Caroline and Chris were so helpful and friendly. Couldn't of asked for a better service.

    Posted 1 month ago

    Dimitrios P

    Excellent, professional service, in time and within the expected value.

    Posted 1 month ago

    Barbara K

    Everything quickly and fairly. Very professional. Thank you.

    Posted 1 month ago

    Sabrina J

    I received a efficient professional service during the whole process of liasing between myself and my former employer to getting all forms signed and receiving my redundancy payment in full in the summer of this year.

    Posted 1 month ago

    Anonymous

    I received legal advice on a redundancy settlement agreement from Redmans Solicitors and was very impressed by the quality of their service. Chris Hadrill is highly experienced in settlement matters and was especially understanding of the particulars of my case, going out of his way to ensure that it was resolved quickly and with the utmost professionalism. I have no hesitation in recommending Redmans to anyone in need of employment advice and settlement resolution.

    Posted 1 month ago

    Anonymous

    Excellent service, with full explanations of everything needed. Both Chris and Mel answered all emails very promptly and were personable and efficient.

    Posted 1 month ago

    Anonymous

    I would like to thank Chris Hadrill, in particular who handled my case, for all his hard work, expertise and dedication. He listened with empathy and offered suitable advice, which made me feel valued and confident through a difficult time. I would highly recommend Chris and the team at Redmans Solicitors. Thank you.

    Posted 1 month ago

    Yann G

    Yann Guezennec / Chris Hadrill - Thanks for the detailed, informed and professional advice for my settlement. When comprise is the rule I felt we could have been maybe a bit more aggressive from the start. However an acceptable outcome considering the situation. Thank you

    Posted 1 month ago

    Valentina D

    Great service from Mel, she was very good at explaining every part of the settlement agreement and very efficient dealing with the HR team. Very professional team, I would definitely use them again in future if the opportunity came up.

    Posted 1 month ago

    Olaf S

    I was very happy with the service that I have received. Thank You Regards

    Posted 1 month ago

    Rebecca A

    I had a wonderful solicitor called Caroline who was so helpful and gave me all the information I need and explained everything in detail so I was crystal clear. Would highly recommend if you are in need of a solicitor!

    Posted 1 month ago

    Gareth J

    Very efficient, helpful and pragmatic support from Caroline. Happy to work with my requirements / suggestions but also made some very good points which helped to achieve a higher settlement amount. Would highly recommend Caroline and Chris.

    Posted 1 month ago