Site closure without process: redundancy dismissal ruled unfair
A former employee with three years' service was unfairly dismissed after his site closed and the employer failed to follow any redundancy process. The tribunal awarded over £44,000 in compensation.
1 min read · Last updated 19 May 2026
Case details
Key facts
- The claimant worked for the respondent for three years until 10 February 2023.
- The site where the claimant worked closed down, and no suitable alternative employment was offered.
- The respondent made unauthorised deductions from the claimant's wages for four weeks.
- The claimant was not allowed to take paid annual leave and had 5.6 weeks accrued holiday.
- The respondent failed to provide a written statement of employment particulars.
Timeline
-
Unauthorised deductions begin
The respondent started making unauthorised deductions from the claimant's wages.
-
Employment ends
The claimant's employment ended; he had no further contact with the respondent.
-
Notice period would have ended
The date by which the claimant should have received proper notice of termination.
-
Claimant starts receiving Universal Credit
The claimant began receiving Universal Credit from April 2023.
-
Tribunal hearing and judgment
The Employment Tribunal heard the case and issued judgment in favour of the claimant.
The legal issue
The tribunal had to decide whether the claimant was unfairly dismissed by reason of redundancy, whether unauthorised deductions were made from his wages, whether he was entitled to notice pay, holiday pay, and a redundancy payment, and whether the respondent failed to provide a written statement of employment particulars.
The outcome
The tribunal found in favour of the claimant on all claims.
- The employer made unauthorised deductions from wages for four weeks, failed to allow paid annual leave (5.6 weeks accrued), and did not provide a written statement of employment particulars.
- The claimant was unfairly dismissed by reason of redundancy: the site closed, no suitable alternative employment was offered, and no fair process was followed.
- Compensation totalling £44,297.08 was awarded, comprising:
- Unauthorised deductions: £2,399.20
- Notice pay: £1,949.40
- Holiday pay: £3,638.88
- Statutory redundancy payment: £2,569.50
- Compensatory award for unfair dismissal: £34,420 (including £21,074 past loss and £13,364 future loss)
- Failure to provide written particulars: £1,299.60
Lessons & takeaways
- Employers must follow a fair redundancy process, including consultation and consideration of alternative roles, even when a site closes.
- Unauthorised deductions from wages and failure to allow holiday leave are separate claims that can be brought alongside unfair dismissal.
- Employees are entitled to a written statement of employment particulars; failure to provide one can result in an additional award of up to two weeks' pay.
- If an employer fails to attend a tribunal hearing, the tribunal can still proceed and make a judgment based on the evidence presented.
A redundancy without any process
When the site where the claimant worked closed down, his employer, Advanced Plant Hire Ltd, did not follow any of the usual steps expected in a redundancy situation. There was no consultation, no warning, and no offer of suitable alternative employment. The claimant was simply told his employment was ending, and he received no proper notice or redundancy payment at the time.
This case shows that even when a site closure is genuine, an employer still has a duty to act fairly. The tribunal noted the complete absence of process, which made the dismissal automatically unfair. The claimant was left without pay for four weeks before dismissal, had not been allowed to take any annual leave, and was never given a written contract.
What the employer could have done differently
A fair redundancy process would have involved consulting with the claimant about the closure, considering whether any other roles were available, and providing proper notice. The employer also should have paid wages correctly, allowed holiday to be taken or paid in lieu, and issued a written statement of employment particulars. Failing to do any of these things exposed the company to multiple claims and a significant compensation award.
Why this matters for similar claims
This decision reinforces that employees with at least two years' service are entitled to a fair redundancy procedure. The total award of over £44,000 reflects not just the unfair dismissal but also the employer's failure to meet basic legal obligations around pay and written particulars. For anyone in a similar situation, the case highlights the importance of keeping records and bringing all related claims together, as the tribunal will consider each one separately.
Similar cases
Dismissed by redundancy without pay: employer's failure to respond leads to £45,000 award
Two former employees of Cheshiregate Property Services were awarded over £45,000 after the company failed to defend claims of redundancy pay, notice pay, and unpaid wages.
Redundancy dismissal leads to £20,000 award for unpaid wages, notice, and pension deductions
A former employee with 17 years' service was awarded over £20,000 after her employer failed to pay wages, notice pay, holiday pay, and pension contributions upon redundancy.
Unfair dismissal and redundancy: employer ordered to pay £1,278 for multiple breaches
A former employee has won her claim for unfair dismissal, redundancy pay, unauthorised holiday pay deductions and breach of contract. The tribunal ordered Teresa Purdie to pay a total of £1,278.84.
Labourer wins unfair dismissal claim after being treated as self-employed
A labourer with three years' service was unfairly dismissed when his employer summarily ended his employment due to lack of work, without following any redundancy procedure. The tribunal awarded £5,600 in compensation.