Page last updated at 09:29 GMT, Saturday, 13 June 2009 10:29 UK

TSC deny redundancy payment risk

Call centre staff generic
More than 400 TSC staff working in Larbert and Greenock face the axe

Call centre bosses have denied workers whose jobs are being moved to the Philippines will receive no payout if they are made redundant.

The guarantee comes from Telecom Services Centre (TSC) who announced in April that its main contractor T-Mobile wanted to move 400 UK jobs to Manila.

Workers had feared payouts could be jeopardised after it was suggested they move overseas to keep their jobs.

However, TSC said no staff member would "lose out financially".

Since confirming that it was moving its work from TSC to Manila, T-Mobile have formed a new partnership with outsourcing firm 24/7 Inc who will take on the Philippines contract.

The move will see 300 of TSC's 500 Larbert-based staff lose their jobs unless a new contractor is found to replace T-Mobile.

A further 118 jobs at the firm's call centre in Greenock are also at risk.

'Unfortunate situation'

On Thursday TSC told staff redundancy agreements would be considered under legislation known as the Transfer of Undertakings Protection of Employment (Tupe).

The regulation is designed to protect employees when one business is transferred to another.

It also states that new service providers must bear all the employee liabilities of the former company.

This could leave 24/7 Inc responsible for the redundancy costs of TSC staff.

A spokesman for TSC said: "We have been advised by experts in employment law that this is the correct procedure in what is an exceedingly complicated situation.

As a former trade union official I thought I had witnessed all the tricks but obviously not
John Park
Labour economy spokesman

"The steps we are taking are considered necessary and appropriate because we have an obligation in law to go through this procedure carefully and methodically."

The spokesman said that bosses were "fully engaging" with employees and were keen to see their interests were served.

He added: "We would stress that staff have been assured that regardless of the outcome of this unfortunate situation they will not lose out financially."

Local SNP MSP Michael Matheson said: "TSC has stressed to me that they will treat their staff financially in the normal way that they would if they were being made redundant.

"But they have also got some difficulties in trying to deal with the legal complications which have now arisen as a result of T-Mobile offshoring this contract to the Philippines."

Labour hit out angrily at the company, accusing it of "fiddling" staff.

Labour economy John Park said: "As a former trade union official I thought I had witnessed all the tricks but obviously not.

"I am disgusted that this company is trying to fiddle workers out of their redundancy pay."

TSC, which operates seven sites in Scotland and one at Dearne Valley in South Yorkshire, provides contact centre staff across the business sector.



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