Redundancy Payments Act 1967

Associated companies.

16

16. (1) Where the employer is a company, any reference in this Part to re-engagement by the employer shall be construed as a reference to re-engagement by that company or by an associated company, and any reference in this Part to an offer made by the employer shall be construed as including a reference to an offer made by an associated company.

(2) Subsection (1) shall not affect the operation of section 20 in a case where the previous owner and new owner (as defined by that section) are associated companies; and where that section applies, subsection (1) shall not apply.

(3) Where an employee is dismissed by his employer, and the employer is a company (in this subsection referred to as the employing company) which has one or more associated companies, then if—

( a) F38 [ none of the conditions specified in section 7 (2) is fulfilled, but ]

( b) one or other of those conditions would be fulfilled if the business of the employing company and the business of the associated company (or, if more than one, each of the associated companies) were treated as together constituting one business,

that condition shall for the purposes of this Part be taken to be fulfilled in relation to the dismissal of the employee.

(4) For the purposes of this section two companies shall be taken to be associated companies if one is a subsidiary of the other, or both are subsidiaries of a third company, and “ associated company” shall be construed accordingly.

(5) In this section—

company” includes any body corporate;

subsidiary” has the same meaning as, by virtue of section 155 of the Companies Act, 1963, it has for the purposes of that Act.

Annotations:

Amendments:

F38

Substituted (1.09.1971) by Redundancy Payments Act 1971 (20/1971), s. 19(1) and sch., S.I. No. 230 of 1971.