Hundreds of Workers Sue Over Lindsey Oil Refinery's Collapse
Hundreds of workers are preparing to sue the administrators of Prax, which operated the Lindsey Oil Refinery in England after its collapse last year. The legal action stems from claims that employees and contractors were made redundant without proper consultation as required by British law. Each claimant could seek up to £6,000 in compensation for unfair dismissal. The refinery was acquired by Phillips 66 earlier this year but did not restart operations independently, leading to further job losses. Prax had accumulated over £1.5 billion in debt before collapsing in June of last year and is now insolvent, meaning the government may have to cover any damages awarded through its redundancy insurance scheme. Unite, representing affected workers, has initiated legal proceedings against administrators for more information. The founder of Prax faces allegations from a former supplier involving £177 million in fraud.
