Cases→8000388/2025

Claimant v Stardust Estates Ltd

31 October 2025Before Employment Judge B CampbellScotlandremote video

Outcome

Claimant succeeds£540

Individual claims

Unlawful Deduction from Wagessucceeded

The tribunal found a contract of employment was formed on 30 October 2024 with an agreed annual salary of £24,960 payable monthly. The claimant worked for exactly two weeks (31 October to 13 November 2024) and was entitled to £960 gross but was only paid £420. The shortfall of £540 constituted an unlawful deduction from wages under s.13 ERA 1996 as it was not authorised by statute, contract, or written consent.

Facts

The claimant was hired as Head Housekeeper on 30 October 2024 on an agreed annual salary of £24,960, working 40 hours per week cleaning short-term rental apartments in Glasgow. He worked from 31 October to 13 November 2024 (exactly two weeks) before the employment ended by mutual agreement after a breakdown in communication about his attendance. The respondent paid him only £420, calculated at £15 per apartment cleaned plus miscellaneous tasks, instead of the agreed salary entitlement of £960 for the two-week period.

Decision

The tribunal found that a binding contract of employment was formed verbally on 30 October 2024 with an agreed annual salary of £24,960. The claimant's failure to countersign the written statement did not invalidate or alter these agreed terms. The respondent's payment of £420 fell £540 short of the proper amount due, constituting an unlawful deduction from wages under s.13 ERA 1996.

Practical note

A binding employment contract with agreed salary terms can be formed verbally and is not conditional on signing a written statement, and any subsequent underpayment based on an alternative calculation method not agreed by both parties constitutes an unlawful deduction from wages.

Award breakdown

Unpaid wages£540

Award equivalent: 1.1 weeks' gross pay

Legal authorities cited

Statutes

ERA 1996 s.13(1)ERA 1996 s.13(3)ERA 1996 Part I

Case details

Case number
8000388/2025
Decision date
31 October 2025
Hearing type
full merits
Hearing days
1
Classification
contested

Respondent

Name
Stardust Estates Ltd
Sector
real estate
Represented
Yes
Rep type
in house

Employment details

Role
Head Housekeeper
Salary band
£20,000–£25,000

Claimant representation

Represented
No
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