Claimant v Care Mithra Limited (In Receivership)
Outcome
Individual claims
The tribunal found the respondent made an unauthorised deduction from the claimant's wages in the period 01 May to 24 May 2024. The respondent was ordered to pay the gross sum of £1,578.72 that had been deducted.
The tribunal found the respondent made an unauthorised deduction by failing to pay sick pay due in relation to April 2024. The respondent was ordered to pay the gross sum of £226.15 that had been deducted.
The tribunal found the respondent breached the employment contract by failing to pay notice pay. The respondent was ordered to pay £380 as damages calculated using gross pay to reflect the likelihood of tax liability as Post Employment Notice Pay.
The tribunal found the respondent breached contract by failing to pass over employee pension contributions deducted at 5% and by failing to make employer pension contributions at 3% to the NEST pension scheme. Awards of £616 and £435.94 respectively were made.
The tribunal found the respondent failed to pay the claimant in accordance with regulations 14(2) and/or 16(1) of the Working Time Regulations 1998 for holiday accrued up to the termination date. The respondent was ordered to pay £342.05.
Facts
The claimant was employed by Care Mithra Limited which entered receivership. Her employment ended on 24 May 2024. The respondent failed to pay wages for the period 1-24 May 2024, failed to pay sick pay for April 2024, failed to pay notice pay, failed to pass over employee pension contributions deducted at 5% and failed to make employer pension contributions at 3% to NEST, and failed to pay accrued holiday pay upon termination.
Decision
The tribunal found in favour of the claimant on all claims. The respondent was ordered to pay a total of £3,578.86 comprising unpaid wages (£1,578.72), unpaid sick pay (£226.15), notice pay (£380), pension contributions (£1,051.94 total), and holiday pay (£342.05). The claimant was advised she is responsible for payment of any tax or National Insurance on most awards.
Practical note
Companies in receivership remain liable for basic employment debts including wages, sick pay, notice, pension contributions, and holiday pay, with the employee bearing responsibility for tax on most awards.
Award breakdown
Legal authorities cited
Statutes
Case details
- Case number
- 3305463/2024
- Decision date
- 12 May 2025
- Hearing type
- full merits
- Hearing days
- 1
- Classification
- contested
Respondent
- Sector
- healthcare
- Represented
- Yes
- Rep type
- in house
Claimant representation
- Represented
- No