Employment issues making staff redundant under existing company?

Husband currently works for company claiming to still trading as Sole Trader. Has also registered as a Limited company with Companies House with the same trading name but is dormant at present. He is suggesting that he will be laying all staff off and closing Sole Trading Company and will start up new Ltd company. He has suggested that he will re-employ the staff he wants. Can he do this and what can my husband do about it

This is what is known as the Phoenix Syndrome, i.e. killing off one business which then rises again from the ashes of the old one. You would be well advised to get in touch with these people: http://www.acas.org.uk/

i am sure they are a tax fiddle when companys do that , my husbands company was brought out and the new owners already had a company but they put all their debts from the company they owned on to the company my husband worked for which resulted in its bankruptcy , however the company they owned to begin with is fine now it has no debt, my husband worked for that company for 12 years and got 拢1500 redundancy from the goverment. the tgwu union tried everything to help my husband and the rest of the staff but with no avail. so i doubt there is alot you can do.