Cases1305688/2023

Claimant v IKEA Ltd

1 April 2025Before Employment Judge David HughesBirminghamin person

Outcome

Claimant fails

Individual claims

Unlawful Deduction from Wagesfailed

The tribunal found that the IPE level, benefits and bonuses were not express or implied contractual terms, therefore there was no contractual entitlement to these payments and no unauthorised deduction from wages occurred.

Breach of Contractfailed

The claim for amendments to employment particulars under section 11 Employment Rights Act 1996 was not well-founded. The tribunal determined that the IPE level, benefits and bonuses were not contractual terms requiring inclusion in written particulars.

Facts

The claimant, Mr Oakes, was employed by IKEA Ltd and brought claims relating to IPE level, benefits and bonuses. He contended these were contractual terms that should have been included in his employment particulars and that he suffered unauthorised deductions from wages. The respondent argued these were discretionary benefits not forming part of his contract of employment.

Decision

The tribunal determined that the IPE level, benefits and bonuses were not express or implied contractual terms. As a result, both the claim for unauthorised deductions from wages and the claim for amendments to employment particulars under section 11 Employment Rights Act 1996 were not well-founded and were dismissed.

Practical note

Employers can successfully distinguish between contractual entitlements and discretionary benefits where there is insufficient evidence of contractual intent regarding bonuses and benefits.

Legal authorities cited

Statutes

Employment Rights Act 1996 s.11

Case details

Case number
1305688/2023
Decision date
1 April 2025
Hearing type
full merits
Hearing days
2
Classification
contested

Respondent

Sector
retail
Represented
Yes
Rep type
barrister

Claimant representation

Represented
No