Jaguar Land Rover staff told to claim Universal Credit after cyber attack halts production: Alan Lewis comments in People Management

The recent cyberattack on Jaguar Land Rover (JLR) has triggered a production shutdown now stretching over two weeks, with disruption likely to continue into the Autumn, impacting over 137,000 workers across its direct and supply chain operations.

While JLR’s own staff have been told to stay home, many workers within its UK supply chain have been advised to apply for Universal Credit as their pay has been slashed to zero. Trade Union Unite are calling this "unacceptable".

Commenting to People Management, our partner, Alan Lewis was clear that such layoffs may be lawful in cases of halted production, but they must strictly follow legal guidelines. “Lay-offs or short-time working must be contractually permitted,” he warned, or businesses risk claims for unlawful deductions, breach of contract, or even unfair dismissal.

Where redundancies are involved, HR departments must ensure compliance through clear communication, statutory notice and signposting to available benefits. Read Alan's comments in full here.