Claimant v On Yer Bike (Bournemouth) Limited
Outcome
Individual claims
The tribunal found that the claimant was not an employee and therefore had no entitlement to a redundancy payment. Without employee status, the statutory right to redundancy pay under ERA 1996 does not arise.
Facts
Alan Butler brought a claim for redundancy pay against On Yer Bike (Bournemouth) Limited, which was in creditors voluntary liquidation, and the Secretary of State for Business and Trade. The tribunal heard the case remotely via CVP. The central issue was whether the claimant had employee status.
Decision
The tribunal dismissed the redundancy pay claim, finding that the claimant was not an employee. As statutory redundancy pay entitlement under the Employment Rights Act 1996 is only available to employees, the claim was not well-founded.
Practical note
Employment status is a threshold issue for redundancy pay claims - without establishing employee status, no statutory entitlement to redundancy payment arises, even where the employer is insolvent.
Legal authorities cited
Statutes
Case details
- Case number
- 1402537/2024
- Decision date
- 4 July 2025
- Hearing type
- full merits
- Hearing days
- 1
- Classification
- contested
Respondent
- Sector
- retail
- Represented
- Yes
Claimant representation
- Represented
- No