Cases6007046/2024

Claimant v Sole Biz Limited (in creditors' voluntary liquidation)

Outcome

Default judgment£2,312

Individual claims

Unlawful Deduction from Wagessucceeded

The respondent failed to pay the claimant's full wages for June 2024 (short-paid by £806.52) and failed to pay any wages for July 2024 (£114.40 owed). As the respondent did not defend the claim, the tribunal found the complaint well-founded.

Breach of Contractsucceeded

The claimant was dismissed without proper notice. The tribunal calculated damages based on the claimant's contractual notice entitlement, awarding £1,098.24 gross representing approximately 6 weeks' notice pay at £183.04 per week.

Redundancy Paysucceeded

The claimant was dismissed by reason of redundancy and entitled to statutory redundancy payment. The tribunal calculated 9 years of service at 1.5 weeks' pay per year (being aged 41+), totaling £1,647.36, less £1,372.80 already received from the Insolvency Service, leaving £274.56 outstanding.

Holiday Paysucceeded

The respondent failed to pay the claimant's accrued but untaken annual leave entitlement on termination. The tribunal calculated 29.35 hours at £11.44 per hour (£335.66), less £317.27 already received from the Insolvency Service, leaving £18.49 owed.

Facts

The claimant was employed by Sole Biz Limited and dismissed by reason of redundancy in July 2024 after approximately 6 years of service. The respondent, which entered creditors' voluntary liquidation, failed to pay the claimant's full wages for June 2024, any wages for July 2024, proper notice pay, and full holiday pay entitlement. The Insolvency Service made partial payments to the claimant for redundancy and holiday pay. The respondent failed to defend the claims.

Decision

The tribunal issued a default judgment under Rule 22 as the respondent failed to present a valid response. All claims succeeded. The tribunal awarded £920.92 for unpaid wages, £1,098.24 for notice pay, £274.56 for outstanding redundancy payment, and £18.49 for outstanding holiday pay, totaling £2,312.21 gross.

Practical note

When an insolvent employer fails to defend claims, tribunals will grant default judgments for straightforward statutory entitlements, but claimants must account for any payments already received from the Insolvency Service to avoid double recovery.

Award breakdown

Notice pay£1,098
Holiday pay£18
Redundancy pay£275
Unpaid wages£921

Legal authorities cited

Statutes

Employment Tribunals Rules of Procedure 2024 - Rule 22

Case details

Case number
6007046/2024
Decision date
8 April 2025
Hearing type
rule 21
Hearing days
Classification
default

Respondent

Sector
other
Represented
No

Employment details

Service
6 years

Claimant representation

Represented
No