Employee of estate agency which went out of business awarded almost £12,000 by Tribunal

A former estate agency employee has been awarded compensation of £11,663 at an employment tribunal after the firm she worked for went out of business in February.

Mrs L Green, who worked for Browns Property Services (Stoneleigh), had claimed statutory redundancy pay of £9,466; 12 weeks’ notice pay of £3,786; and £480 in commission.

The tribunal, before Employment Judge Fowell, was told that her start date had been March 15, 1999. She had joined the company following a TUPE transfer.

Details were provided of the company’s inability to pay, and while it was accepted that the claimant was entitled to these payments, the amounts were disputed.

Mrs Green did not appear at the hearing, having earlier advised that she would find it too stressful, and inviting it to go ahead in her absence.

The judge said that her entitlement to pay was not in dispute and worked out the sums – slightly different from the original claims, but in principal, not in contention.

Statutory redundancy payment was based on her 18 years of service, all over the age of 41, meaning she was entitled to 27 weeks’ pay.

She was entitled to 12 weeks’ notice pay, the statutory maximum and in accord with her length of service.

The commission fee would be awarded, net of tax.

A note on the ruling says that where an employer is insolvent, such outstanding payments can be claimed from the National Insurance Fund via the Insolvency Service.


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