01223_10IT
THE INDUSTRIAL TRIBUNALS
CASE REF: 1223/10
1314/10
CLAIMANT: Pearl Quigley
RESPONDENT: LMC Systems Limited
DECISION
(1) The unanimous decision of the tribunal is that the claimant is entitled to receive a redundancy payment, payment in respect of notice pay, holiday pay and unpaid wages totalling £5,999.26 as detailed below.
(2) The title of the case is amended to reflect the correct name of the respondent.
Constitution of Tribunal:
Chairman: Mrs M Watson
Members: Mrs B Heaney
Mr I Carroll
Appearances:
The claimant presented her own case.
The respondent did not submit a response and did not appear.
Issues
1. Is the claimant entitled to receive payment in respect of her redundancy, notice pay, holiday pay and unpaid wages? If so, how much?
2. What is the proper name of the respondent company?
Facts
3. The claimant had given the name of the respondent as Roy Millar t/a LMC Systems Ltd on her claim form. However, the tribunal noted from her contract that, while Roy Millar was the owner of the business, the proper name of the company is LMC Systems Ltd and the tribunal amends the title of these proceedings accordingly to reflect the correct name of the claimant’s employer.
4. The claimant began her employment with the respondent company as an Office Administrator on 2 February 2005. She was aged over 40 years throughout her employment and was paid £395.00 per week gross, £309.00 net.
5. The claimant was last paid by the respondent on 16 January 2010 but continued working for the next five weeks before the business stopped trading on 19 February 2010 when she and the remaining employees were dismissed by reason of redundancy.
6. The claimant contacted Mr Millar and asked for payment of money due to her on foot of the redundancy but she was informed that the business was closing due to the loss of a major customer and the company did not have any funds to make any payments.
7. At the date of termination, the claimant had not taken any holiday in the leave year which had begun on I January. She had been employed for five years and did not receive any notice pay, redundancy pay or payment for the final five weeks of her employment.
Legal Provisions
8. The Employment Rights (Northern Ireland) Order 1996 (as amended) provides that an employee who is redundant, as defined by Article 174, is entitled to a redundancy payment.
9. The amount to be paid is calculated under Article 197 by reference to the employee’s age and length of service at the date of termination subject to a qualifying period of at least two years continuous employment. There is also a cap on the week’s wage payable which was £350.00 at the date of termination.
10. Article 118 of the Order provides that employees are entitled to one week’s notice for each year of service up to a maximum of 12 weeks.
11. Employees are also entitled under the Working Time Regulations to receive payment for any holidays not taken at the date of termination.
Determination
12. Applying the statutory provisions, the tribunal determines the claimant’s entitlement as follows;-
Redundancy payment
5 weeks @ statutory maximum x 1.5 =
5 x 350 x 1.5 = £2,625.00
Notice Pay
5 weeks @ net pay = 5 x 309.00 = £1,545.00
Unpaid wages
5 weeks @ net pay = 5 x 309.00 = £1,525.00
Holiday pay
28 annual leave = 4.66 days for 2 months
@ £61 per day = £284.66
Total = £5,999.26
13. This is a relevant decision for the purposes of the Industrial Tribunal (Interest) Order (Northern Ireland) 1990
Chairman:
Date and place of hearing: 30 July 2010 Belfast
Date decision recorded in register and issued to parties: