Medium2 marksMultiple Choice
Corporate and Business LawSection ASyllabus CEmployment Law

ACCA · Question 11 · Corporate and Business Law

Titanium Foundry Ltd is closing one of its blast furnaces due to a downturn in heavy manufacturing. They need to make 20 out of 50 furnace operators redundant. Which of the following selection criteria for redundancy would most likely be considered automatically unfair?

Answer options:

A.

Selecting employees based on a 'last in, first out' (LIFO) policy.

B.

Selecting employees based on objective disciplinary records.

C.

Selecting employees based on their active membership in a trade union.

D.

Selecting employees based on a skills matrix and performance appraisals.

How to approach this question

Identify statutory protections that make certain reasons for dismissal automatically unfair regardless of reasonableness.

Full Answer

C.Selecting employees based on their active membership in a trade union.✓ Correct
Under UK employment law, selecting an employee for redundancy for certain reasons is automatically unfair. These include reasons related to pregnancy, whistleblowing, asserting a statutory right, and trade union membership/activities. Objective criteria like skills, attendance, and disciplinary records are generally fair.

Common mistakes

Assuming 'last in, first out' is automatically unfair; while outdated and risky, it is not strictly 'automatically' unfair by statute in the same way union membership is.

Practice the full ACCA LW — Corporate and Business Law Practice Exam 4

60 questions · hints · full answers · grading

More questions from this exam