Cases2406868/2023

Claimant v Walls & Ceiling Finishes Ltd (In Creditors Voluntary Liquidation)

14 February 2025Before Employment Judge ChildeManchesteron papers

Outcome

Claimant succeeds£8,540

Individual claims

Unlawful Deduction from Wagessucceeded

The tribunal accepted the claimant's unchallenged evidence that the first respondent made unauthorised deductions totalling £8,540 from his wages. This comprised £7,840 for unpaid holiday accrued over two years (56 days at the claimant's daily rate) and £700 for five days of unpaid work in February 2023 at £140 per day. As the first respondent did not participate and did not challenge the evidence, the claim succeeded in full.

Holiday Paysucceeded

The claimant proved he accrued 56 days of holiday during the period 24 February 2021 to 24 February 2023 but received no payment for that holiday. The tribunal accepted his unchallenged evidence and awarded £7,840 for this unpaid holiday entitlement.

Facts

Mr Wall worked for Walls & Ceiling Finishes Ltd from February 2021 to February 2023. During this two-year period, he accrued 56 days of unpaid holiday but never received payment for any of it. In his final days of employment in February 2023, he worked five days (15th, 16th, 20th, 21st and 24th February) at a rate of £140 per day but was not paid for this work. The first respondent entered creditors voluntary liquidation and did not participate in the proceedings.

Decision

Employment Judge Childe heard the case on papers in chambers and accepted the claimant's unchallenged evidence. The tribunal found the complaint of unauthorised deductions from wages well-founded and ordered the respondents to pay £8,540 gross (£7,840 for unpaid holiday and £700 for five days unpaid work). Interest is payable at 8% per annum from 4 March 2025 if not paid within 14 days.

Practical note

Where an employer enters liquidation and does not participate, tribunals will award unpaid wages and holiday pay based on unchallenged claimant evidence, with the Secretary of State as interested party likely to meet the debt from the National Insurance Fund.

Award breakdown

Holiday pay£7,840
Unpaid wages£700

Legal authorities cited

Statutes

ERA 1996 s.230(1)

Case details

Case number
2406868/2023
Decision date
14 February 2025
Hearing type
default judgment
Hearing days
1
Classification
default

Respondent

Sector
construction
Represented
No

Employment details

Service
2 years

Claimant representation

Represented
No