Cases3303442/2024

Claimant v Madame Posh Limited (in voluntary liquidation)

31 March 2025Before Employment Judge BaranReadingremote video

Outcome

Claimant succeeds£4,390

Individual claims

Unlawful Deduction from Wagessucceeded

The tribunal found that the respondent made an unauthorised deduction from the claimant's pay in respect of the period 1 January to 31 January 2024 in the sum of £432.46, contrary to Part II Employment Rights Act 1996.

Breach of Contractsucceeded

The tribunal found that the respondent failed to pay the claimant notice pay to which she was entitled. The respondent was ordered to pay £3,958.00 as damages for breach of contract, calculated using gross pay to reflect the likelihood of taxation as Post Employment Notice Pay.

Facts

The claimant worked for Madame Posh Limited until 31 January 2024. The respondent made an unauthorised deduction of £432.46 from her wages for the period 1-31 January 2024. The respondent also failed to pay the claimant her contractual notice pay. The respondent, now in voluntary liquidation, did not attend the hearing.

Decision

The tribunal found both claims well-founded. The respondent was ordered to pay £432.46 for unlawful deduction from wages and £3,958.00 for breach of contract in relation to notice pay, calculated on a gross basis to reflect likely taxation treatment as Post Employment Notice Pay.

Practical note

Where a respondent is in voluntary liquidation and fails to attend, tribunals will still determine claims on their merits based on available evidence, and will calculate notice pay awards on a gross basis where Post Employment Notice Pay taxation rules are likely to apply.

Award breakdown

Notice pay£3,958
Unpaid wages£432

Legal authorities cited

Statutes

ERA 1996 Part II

Case details

Case number
3303442/2024
Decision date
31 March 2025
Hearing type
full merits
Hearing days
1
Classification
contested

Respondent

Sector
other
Represented
No

Claimant representation

Represented
No