Cases6007215/2024

Claimant v Moorland Private School Limited (in voluntary liquidation)

9 January 2025Before Employment Judge JohnsonManchesterremote video

Outcome

Default judgment£7,156

Individual claims

Redundancy Paysucceeded

The claimant was warned he was at risk of redundancy on 26 July 2024 and his employment was terminated on 7 August 2024. With 4 completed years of service from 30 September 2019, aged 38 at termination, he was entitled to statutory redundancy pay calculated at £298 weekly pay × 4 years × 1 week per year.

Breach of Contractsucceeded

The respondent failed to give the contractually required notice by the specified deadline (within the first two operational weeks of the summer term, 1 April). Under section 5.3 of the contract, this triggered a financial penalty equal to the lower of £5,000 or full term's pay. The tribunal awarded full term's pay of £3,580.32.

Holiday Paysucceeded

The claimant was contractually entitled to approximately 16 weeks annual leave per year. At the effective date of termination, he had 8 weeks of untaken annual leave entitlement remaining, which was calculated at £298 gross weekly pay × 8 weeks = £2,384.00.

Facts

The claimant was employed by a private school from 30 September 2019 until 7 August 2024. On 26 July 2024 he was warned he was at risk of redundancy but received no formal consultation or redundancy date. When he was not paid on 31 July 2024, he commenced ACAS early conciliation and filed a tribunal claim the same day. The respondent entered voluntary liquidation and failed to respond to the claim or attend the hearing despite proper notice.

Decision

The tribunal awarded the claimant £7,156.12 in a default judgment comprising statutory redundancy pay (£1,192), contractual notice pay penalty (£3,580.32) for failure to give proper notice under the contract, and payment for 8 weeks untaken annual leave (£2,384). The respondent had no reasonable excuse for failing to respond and did not attend the hearing.

Practical note

Employment contracts may contain penalty clauses for failure to give proper notice, and tribunals will enforce such terms even where the employer is in liquidation and fails to participate in proceedings.

Award breakdown

Notice pay£3,580
Holiday pay£2,384
Redundancy pay£1,192

Case details

Case number
6007215/2024
Decision date
9 January 2025
Hearing type
default judgment
Hearing days
1
Classification
default

Respondent

Sector
education
Represented
No

Employment details

Service
5 years

Claimant representation

Represented
No