Cases6009523/2024

Claimant v WL Business Enterprises Ltd (in creditor's voluntary liquidation)

12 May 2025Before Employment Judge MaceyWatfordremote video

Outcome

Claimant succeeds£19,737

Individual claims

Unlawful Deduction from Wagessucceeded

Tribunal found respondent unilaterally reduced claimant's contractually agreed net monthly salary from £1,800 to £1,500 from April 2020 onwards without consent. This constituted a series of unauthorised deductions from wages under section 13 ERA. Total net deductions of £12,610.35 grossed up to £15,762.94.

Unlawful Deduction from Wagessucceeded

Respondent unilaterally changed provision of food from cooked meals to cash allowance of £286 per month from May 2024, then failed to pay this allowance during claimant's sick leave in June, July and August 2024. No contractual or statutory authority for deduction. Award of £858 (3 months at £286).

National Minimum Wagesucceeded

Tribunal found claimant's work was 'unmeasured work' under NMWR. Hours worked on site (50 per week) plus hours driving colleagues to/from sites (18 per week post-summer 2023) constituted working time for NMW purposes. Driving was not mere commuting but travel for purposes of work. Claimant paid £7.25/hour in April 2024 against NMW of £11.44. Failure to pay NMW found for January-April 2024. Award of £3,116.11 after adjustment for overlap with salary claim.

Facts

Claimant, a Portuguese general labourer, was recruited in March 2019 on agreement of £1,800 net per month, free accommodation, food and four annual trips to Portugal. From April 2020 respondent unilaterally cut pay to £1,500 net. Claimant worked 50 hours on site weekly plus 18 hours driving colleagues to/from various sites and accommodations. Respondent changed food provision to £286 monthly cash allowance from May 2024 but stopped payment during claimant's sick leave. Claimant had workplace accident in September 2022 losing fingers. Respondent entered creditors' voluntary liquidation November 2024.

Decision

Tribunal found respondent made unauthorised deductions totalling £15,762.94 by cutting salary, £858 by withholding food allowance, and £3,116.11 by failing to pay national minimum wage for hours worked including driving time (which was travel for purposes of work, not commuting). Additional award of £2,800 (4 weeks' pay) for failure to provide compliant written statement. Tribunal held s.23(4A) ERA two-year backstop was ultra vires. Total award £19,737.05 plus £2,800.

Practical note

Driving colleagues to multiple work sites before attending own site constitutes 'travel for purposes of unmeasured work' under NMWR reg.47, not ordinary commuting, and must be paid at national minimum wage rates.

Award breakdown

Arrears of pay£15,763
Unpaid wages£3,974

Legal authorities cited

Aslam v Uber BV ET/2202550/15Paggetti v Cobb UKEAT/136/01Afshar v Addison Lee Ltd ET/3306435/20Royal Mencap Society v Tomlinson-Blake 2021 ICR 758Taylors Service Ltd v HMRC 2024 EAT 102

Statutes

National Minimum Wage Regulations 2015 reg.44National Minimum Wage Act 1998 s.28National Minimum Wage Act 1998 s.17ERA 1996 s.1ERA 1996 s.23ERA 1996 s.13National Minimum Wage Regulations 2015 reg.45National Minimum Wage Regulations 2015 reg.47Employment Act 2002 s.38Deduction from Wages (Limitation) Regulations 2014

Case details

Case number
6009523/2024
Decision date
12 May 2025
Hearing type
full merits
Hearing days
1
Classification
contested

Respondent

Sector
construction
Represented
No

Employment details

Role
general labourer
Service
5 years

Claimant representation

Represented
No