Workers win legal action against Arjowiggins
Former workers at the Aberdeen paper mill have won legal action against the former company
Shining a spotlight on the industry
Monday, 08 Jan 2024 11:39 GMT
Arjowiggins’ Stoneywood mill operated through numerous world events such as World War II
Following the closure of Arjowiggins and its historic paper mills including Stoneywood paper mill, which operated for over 250 years, many ramifications of the closure have hit news headlines.
The latest development of the Stoneywood paper mill based in Aberdeen has meant dozens of former workers have won a legal action over claims they were made redundant without being officially consulted.
In November 2023 the BBC reported that five former workers at the mill won separate legal action about their redundancy which led to an employment judging ruling that workers weren’t given the official 45-day consultation.
A mass legal action was lodged by the Unite union on behalf of workers of the mill which has now led to 75 compensation claims.
Speaking to the BBC, Unite legal officer Mark Lyon said: "This is only the first in a series of judgements covering around 75 of the 300 members, and other claims are pending.”
Lyon welcomed the judgement and said protective awards will now be made in full. "The judgement demonstrates that even after an employer goes out of business, if they have not done things according to the law then Unite will hold them to account even long after the business has closed its doors.
"In this first case our members have received some justice and compensation for the way in which they were poorly treated."
The pandemic and challenging economic issues over the past few years were cited for the closing of the mill and Arjowiggins group.
In late 2022 Arjowiggins struggled to find a buyer for its historic mill with administrators also appointed at the mill at Chartham, Kent. Since going into administration many of Arjowiggins’ brands and papers were sold to competitors like Antalis and Fedrigoni.
Speaking to the BBC in November, Paul Kissen from Thompsons Solicitors, which was involved in the recent legal proceedings, said: "It is all too common that workers who have been working at a company, in some cases for decades are all dismissed without any warning."
"In a situation where a company goes out of business, they should still have the consultation, rather than just being dismissed out of the blue as soon as the ship has all but sunk."
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