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News of the World closure could see £14m employment claim

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Due to the ongoing phone hacking scandla, last Sunday (11th July) saw the News of the World close, suddenly leaving hundreds of employees out of a job.

Philip Henson, Partner and Head of Employment Law at law firm, Bargate Murray, believede this could lead to an increase in Employment Tribunal claims and whistleblowing cases, he said:

“East London Employment Tribunal and many City law firms may see potential litigants queuing round the corner if the hundreds of journalists from the News of the World decide to sue.

“Whistleblowing claims may be the order of the day as there is no financial cap on compensation and no minimum period of service requirement for such claims.

 

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“News International may take a commercial view and attempt to settle employment related claims; especially when they recall the bullying and discrimination claims brought by Matt Driscoll in East London Employment Tribunal. With my cynical hat on I suspect that bespoke compromise agreements are being churned out in Wapping at this very moment.

Lawrence Davies, Director of Equal Justice solicitors, told This is London:

“Rupert Murdoch’s decision to sack the staff appears to be unfair.

“It is apparently not a genuine redundancy situation but an attempt to make an organisation disappear at a time when senior management figures such as James Murdoch and Rebekah Brooks are suspected of serious corruption.”

Legal sources told the paper that each member of staff could win up to £70,000 for unfair dismissal at Employment Tribunals, which could cost News International as much as £14m.

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