Industrial Tribunals Northern Ireland Decisions

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URL: http://www.bailii.org/nie/cases/NIIT/2010/05778_09IT.html
Cite as: [2010] NIIT 05778_09IT, [2010] NIIT 5778_9IT

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THE INDUSTRIAL TRIBUNALS

CASE REFS: 5778/09

6171/09

CLAIMANT: Dianne Shields

RESPONDENT: Hawleys Lane Limited

DECISION

The decision of the tribunal is as follows:-

1. That the correct respondent to the claim is Hawleys Lane Limited and it is hereby ordered that the title of the proceedings should be amended accordingly.

2. That the respondent is hereby ordered to pay to the claimant the sum of £690 in respect of a statutory redundancy payment.

3. That the respondent is hereby ordered to pay to the claimant the sum of £615.52 in respect of notice monies.

Constitution of Tribunal:

Chairman (sitting alone): Ms Turkington

Appearances:

The claimant appeared and represented herself.

The respondent had lodged a response form in which it indicated that it did not intend to resist the claim. The respondent did not appear at the hearing.

1. The Claims

The claimant brought a claim in respect of the respondent’s failure to pay a statutory redundancy payment to the claimant upon termination of her employment and a claim for breach of contract in respect of the respondent’s failure to pay notice monies.

2. The Issues

The issues to be determined by the tribunal were:-

(1) The correct respondent to the claim. At the hearing, the claimant accepted that, as the respondent had contended in its response form, the company Hawleys Lane Limited had been her employer and was therefore the correct respondent to the claim.

(2) Whether the claimant’s employment was terminated by reason of redundancy and whether the claimant was therefore entitled to a statutory redundancy payment and, if so, the amount of such statutory redundancy payment.

(3) Whether the respondent failed to provide the required period of notice to the claimant or to pay the claimant in lieu of notice and, if so, the amount of pay in lieu of notice due to the claimant.

3. Disposal of the claim in the absence of the respondent

The respondent did not appear at the hearing. The respondent had presented a response form, but had indicated that it did not intend to contest the claim. The tribunal was satisfied that the Notice of Hearing had been sent to the correct address of the respondent at least 14 days before the date of hearing. Accordingly, the tribunal decided that it was appropriate to proceed to hear the claim in the absence of the respondent.

4. Sources of Evidence

The tribunal heard oral evidence from the claimant and considered a number of documents submitted by the claimant.

5. Facts of the Case

(1) Having considered the claim form submitted by the claimant, and having heard the claimant’s evidence and considered the documents submitted by the claimant and the content of the response form submitted by the respondent, the tribunal found the following relevant facts:-

(2) The claimant whose date of birth is 15 January 1981 started her employment as a shop assistant in the respondent’s pet shop on 1 August 2004. The claimant never received a statement of main terms and conditions of employment.

(3) The claimant worked 30 hours per week and earned £153.88 per week net.

(4) On Saturday 14 February 2009, Mr McCammond of the respondent came into the shop after 5 pm and told staff that this had been the last day of trading and as of Monday, the claimant would not have a job. The claimant’s employment was terminated on 14 February. The claimant was handed her P45 and a note telling her how to go about getting a redundancy payment through Redundancy Payments branch.

(5) The claimant did not receive any statutory redundancy payment from the respondent.

(6) The claimant did not receive notice of termination of her employment nor did she receive pay in lieu of notice.

(7) The claimant wrote to the respondent on 20 April 2009 and again on 8 May asking for her redundancy payment and pay in lieu of notice. The claimant did not receive any reply.

(8) At the date of hearing, the claimant understood that the respondent company had not been wound up.

6. Statement of Law

Under article 170 of the Order, an employer shall pay a redundancy payment if an employee is dismissed by reason of redundancy. By article 174, an employee who is dismissed shall be taken to be dismissed by reason of redundancy if the dismissal is wholly or mainly attributable to the fact that the employer has ceased to carry on the business for the purposes of which the employee was employed.

By article 118 of the Employment Rights (Northern Ireland) Order 1996 (“the Order”), the notice required to be given by an employer to terminate the contract of employment of an employee is one week’s notice for each year of continuous employment between 2 years and 12 years.

7. Conclusions

The tribunal had no hesitation in concluding that the claimant’s employment was terminated by reason of redundancy in view of the clear indication from the respondent that the business in which the claimant was employed had ceased to trade with immediate effect. The claimant is therefore entitled to a statutory redundancy payment as follows:-

1 weeks gross pay for each full year of continuous employment during which the claimant was aged between 22 and 41:-

1 multiplied by £172.50 per week multiplied by 4 = £690

At the date of termination of her employment, the claimant had 4 years continuous employment with the respondent. The claimant is therefore entitled to a minimum of 4 weeks notice or 4 weeks pay in lieu of notice. Since the claimant did not receive notice or pay in lieu, the claimant is entitled to pay in lieu of notice as follows:-

£153.88 (net) per week multiplied by 4 weeks = £615.52

The total sum due to the claimant by the respondent is £1305.52.

8. Interest

This is a relevant decision for the purposes of the Industrial Tribunals (Interest)

Order (Northern Ireland) 1990.

Chairman:

Date and place of hearing: 25 November 2009, Belfast.

Date decision recorded in register and issued to parties:

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