Cases3311182/2023

Claimant v BCS Credit Limited (in Liquidation)

10 June 2025Before Employment Judge M WarrenNorwichremote video

Outcome

Claimant succeeds£51,545

Individual claims

Unfair Dismissalsucceeded

The tribunal found the complaint of unfair dismissal well-founded. The respondent did not attend to defend the claim. The tribunal awarded both a basic award and compensatory award, indicating dismissal was substantively and/or procedurally unfair.

Breach of Contractsucceeded

The tribunal found the breach of contract claim in relation to holiday pay well-founded. The respondent failed to pay accrued but untaken holiday entitlement on termination, awarding £1,524.66 gross.

Holiday Paysucceeded

The tribunal found the holiday pay complaint well-founded, awarding £2,423 gross. This appears to be separate from the breach of contract claim, likely relating to unpaid holiday during employment or additional entitlement.

Unlawful Deduction from Wagessucceeded

The tribunal found unauthorised deductions from wages well-founded. The respondent failed to pay 7 days wages (£711.50 net) and failed to pay employer and employee NEST pension contributions that had been deducted (£5,783), constituting unlawful deductions totalling £6,494.50.

Facts

Mr Deacon was dismissed by BCS Credit Limited on 18 August 2023. The company subsequently went into liquidation. The claimant brought claims for unfair dismissal, breach of contract for holiday pay, holiday pay, unauthorised deductions from wages (7 days unpaid wages and pension contributions that had been deducted but not paid to the pension scheme), and failure to provide written employment particulars. The respondent did not attend the hearing.

Decision

The tribunal found all claims well-founded. The claimant succeeded on unfair dismissal (basic award £2,893.50, compensatory award £33,436), breach of contract/holiday pay claims totalling £3,947.66, unauthorised deductions of £6,494.50 (unpaid wages and pension contributions), and received a four-week penalty award of £2,572 for failure to provide written employment particulars under s.38 Employment Act 2002. Total award: £51,544.66.

Practical note

When employers become insolvent, claimants may succeed on multiple claims by default, but recovery will depend on liquidation proceeds and National Insurance Fund protections.

Award breakdown

Basic award£2,894
Compensatory award£33,436
Holiday pay£3,948
Arrears of pay£712
Unpaid wages£712
Pension loss£5,783

Legal authorities cited

Statutes

Employment Act 2002 s.38Employment Protection (Recoupment of Benefits) Regulations 1996

Case details

Case number
3311182/2023
Decision date
10 June 2025
Hearing type
full merits
Hearing days
1
Classification
contested

Respondent

Sector
financial services
Represented
No

Employment details

Claimant representation

Represented
Yes
Rep type
barrister