Some 26 workers who were made redundant by Hulme Upright have received £252,000 in compensation.
An employment tribunal judge in Birmingham ruled the company failed to enter into a constructive or meaningful consultation with the group before telling them they were losing their jobs, the Sentinel reports.
Because of this they were awarded 90 days' pay, which is the maximum available.
Roger Spooner, the former company secretary, stated they had tabled 28 questions to the board, but did not receive any answers.
"The whole process could and should have been dealt with properly, there was plenty of time to do it but they chose to disregard the process they should have followed," he added.
Before being made redundant, the employees had been on 70 per cent pay and had been part of two wage reductions in an effort to keep the firm afloat.
It has now re-opened with a reduced workforce as Hulme Upright Architects.
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Posted by Francesca Witney