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File photo of Iceland. RollingNews.ie

Former Iceland worker awarded €51,000 after being laid off without notice while pregnant

The Workplace Relations Commission found that Rachel Smyth was discriminated against on the grounds of gender.

A FORMER ICELAND worker who had her time as a new mother “ruined” after being laid off without notice when seven months pregnant has been awarded €51,000 compensation.

This follows Workplace Relations Commission (WRC) Adjudicator, Elizabeth Spelman, finding that Metron Stores Ltd trading as Iceland (in liquidation) discriminated against Rachel Smyth on the grounds of gender.

In her findings, Spelman found that the employer, instead of relocating Smyth to another store as discussed, laid her off without notice, while she was seven months pregnant in February 2023.

Spelman said that Smyth was kept completely uninformed as regards her employment situation, despite contacting her employer on numerous occasions.

Spelman said that she was making the €51,000 award arising from the extent of the discrimination, the impact that it had on Smyth and the length of time over which the discrimination occurred.

In August 2020, Smyth commenced employment in a Store Support role for Iceland.

In January 2023, Smyth was promoted to Junior Buyer and one month later, she was informed that there would be a transfer of undertaking as the “Iceland” brand/franchise was bought by Naeem Maniar.

Smyth submitted that on 9 February 2023, she was informed that she would be relocated to “Homesavers” in Tallaght.

Instead, on 20 February 2023, Smyth was laid off without notice and she was seven months pregnant at the time.

In uncontested evidence after a failure by Metron Stores Ltd trading as Iceland (in liquidation) to attend the WRC hearing, Smyth outlined that around the same time, Metron Stores Ltd advertised for a Junior Buyer role in Homesavers, Tallaght.

Smyth outlined that despite contacting the firm on numerous occasions, she was unable to confirm her employment status and that the firm refused to complete her maternity benefit forms.

Smyth stated that she was “penalised because of her pregnancy”.

As a result, Smyth was under serious financial and emotional stress when she had just become a new mother in May 2023.

In evidence, Smyth submitted that this was a very stressful period for her, when she should have been enjoying her time as a new mother.

She submitted that she felt that everything was “ruined” and also contended that it has also affected her family financially.

Smyth submitted that she contracted shingles in July 2023 and she believed that this was caused by the stress that she was under.

Smyth said that when having her baby in May 2023, she submitted that she was not eligible for statutory maternity benefit as the firm would not complete the relevant maternity benefit forms.

Represented by David Cotter of the Independent Workers Union (IWU), Smyth submitted that she had to attend the Social Welfare office with her newborn baby and sign on every eight weeks. 

She submitted that she received €42 less per week on Jobseeker’s Allowance, than she would have received on statutory maternity benefit.

She further submitted that she did not know what her employment status was – namely, whether she was working for the Respondent or not.

Smyth stated that the Respondent eventually completed the necessary maternity benefit paperwork in August 2023, confirming her entitlement to statutory maternity benefit.

She stated that she was made redundant on September 7th 2023, according to the Liquidator.

In her findings, Spelman found that based on uncontested evidence, the firm also delayed in providing Smyth with the necessary maternity benefit documentation until approximately three months after the birth of her baby, and this delay caused Smyth considerable stress.

Spelman stated that under EU law, special protection is afforded from the commencement of pregnancy until the end of maternity leave and any redress provided should not only compensate for economic loss sustained but must provide a real deterrent against future infractions.

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