Remploy has complied with its collective consultation obligations under TUL(C)RA s188 and formal consultation took place between March 2012 and June 2012. The collective consultation process covered consideration of ways of mitigating the consequences of redundancy dismissals, including redundancy payments and the comprehensive personal package of support which would be made available to any Remploy employee who is, in the event, made redundant.

The commercial process, and any redundancies made, are a matter for the Remploy Board. The redundancy terms on offer to employees at risk of redundancy are those contained within Remploy's collective agreement, and were subject to consultation between Remploy and employee representatives. The details were conveyed to employees during the, individual consultation process undertaken by Remploy.

UK Asset Resolution Limited (UKAR) is the holding company for Bradford & Bingley plc and Northern Rock (Asset Management) plc and is responsible for managing the closed mortgage books.

In December 201 1, UKAR announced plans to focus its business on its sites in Doxford (Sunderland) and Crossflatts (Bingley). This would involve the phased withdrawal of staff from its third main site in Gosforth (Newcastle), to be completed by mid-2013. Around 700 people are employed in Gosforth out of a total workforce of 2400.

At the time, UKAR announced that there would regrettably be some job losses as a result of the phased withdrawal. However, the majority of Gosforth staff have been offered the chance to relocate to the nearest UKAR site which is approximately 18 miles away in Sunderland, with some other roles to be transferred to Crossflatts. There are no plans to exit more sites in the foreseeable future.

There are 1,752 Remploy employees at risk of redundancy. This includes 1,518 disabled people working in the 36 Remploy factory sites (25 in England, seven in Wales and four in Scotland), identified as non-viable and proposed for closure and associated sites, as well as the modernisation group of employees.

Remploy began collective consultation with employee representatives on 19 March 2012. As part of collective consultation, the Remploy Board will consider all proposals to avoid compulsory redundancy. The collective consultation process is also covering ways of mitigating the consequences of redundancy dismissals, including redundancy payments and the comprehensive personal package of support which would be made available to any Remploy employee who is, in the event, made redundant.

To help the transition from sheltered segregated employment into mainstream employment, we are committed to providing a comprehensive support package

for all disabled members of Remploy staff affected by the government announcement on 7 March. This offer will be for individualised support for up to 18 months and we have set aside £8 million to support this work. The support package is designed to be flexible and will be tailored to meet each individual’s specific needs through the development of a personalised action plan. This will be managed with the support of a personal case worker who will make best use of skills and experience from partner agencies and organisations both nationally and locally.

The support package will include access to work-related opportunities available from Remploy and Jobcentre Plus employer networks and we will also be working with other employers, including local employers, and the Employers Forum on Disability to look to offer targeted work opportunities to help affected staff find new employment. The support package will also include a personal budget to provide additional support that is not available elsewhere to help people who may have difficulties with the transition to mainstream employment.

The support package includes making £1.5 million available for the Community Support Fund. This fund will support individuals to become involved in their local communities as well as providing support for those who wish to make the move from sheltered to mainstream employment. Local disabled people’s user-led organisations and voluntary sector organisations will be able to apply for modest amounts of funding to take forward a variety of projects or activities to support disabled people in areas affected by the Sayce announcement.