More than 90 IFAs whose roles were ditched by Halifax when it shut its IFA division in October last year have lodged redundancy claims with an employment tribunal.
Halifax offered to make the IFAs tied agents within its life division, considering it to be a “reasonable change of role”.
The IFAs do not agree and believe it is tantamount to redundancy. They have full backing from the Halifax staff union.
Many of the IFAs are accusing Halifax of trying to dodge paying generous voluntary redundancy packages.
The union is negotiating with the Halifax legal team on whether the cases will be tried separately or if one test case will settle the matter.
Halifax has just acquired a new addition to its salesforce. Equitable Life's salesforce will become The Halifax Equitable and will sell a carbon copy of Equitable products and a white-labelled Clerical Medical stakeholder. New products are in the pipeline.
Union spokesman Ged Nichols says: “The IFAs feel they were not offered suitable alternative employment when the company closed. The legal advice has been positive and we would not be spending a lot of money on the case if we did not feel we would be successful.”
Halifax spokesman Ian Beggs says: “We are disappointed that some Hifal IFAs have not seen the very real benefits of staying within the Halifax group.”