Claimant v Leetent Ltd
Outcome
Individual claims
The tribunal found that the claimant was not paid his wages for September and October 2024, nor his contractual 6 months' notice pay, nor his holiday pay. Additionally, the respondent failed to pay his national insurance and income tax for five months despite deducting these amounts. The respondent failed to enter a response or participate in the proceedings.
Facts
The claimant worked as Managing Director for the respondent from April 2023 to October 2024 at an annual salary of £120,000. He ceased working on 31 October 2024 after not being paid for September and October 2024. The respondent also failed to pay his 6 months contractual notice pay, holiday pay, and failed to remit tax and national insurance deductions to the Isle of Man tax authorities for five months. The respondent failed to enter a response or participate in the hearing.
Decision
The tribunal found the claim for unlawful deduction of wages well-founded and awarded the claimant £96,731 gross, comprising unpaid wages for September and October 2024, untaken holiday pay, six months notice pay, and five months of tax and NI that had been deducted but not paid onwards. The tribunal had jurisdiction as the respondent was UK-registered despite the claimant working in the Isle of Man.
Practical note
Employers who deduct tax and NI but fail to remit it to authorities can be ordered to pay gross amounts to employees, who must then account to tax authorities themselves, avoiding risk of double non-payment.
Award breakdown
Award equivalent: 41.9 weeks' gross pay
Legal authorities cited
Statutes
Case details
- Case number
- 6023103/2024
- Decision date
- 10 April 2025
- Hearing type
- default judgment
- Hearing days
- 1
- Classification
- default
Respondent
- Name
- Leetent Ltd
- Sector
- technology
- Represented
- No
Employment details
- Role
- Managing Director
- Salary band
- £100,000+
- Service
- 2 years
Claimant representation
- Represented
- No