Disability harassment and victimisation: former employee awarded £320,000 after employer goes into liquidation
A former employee with a disability was awarded over £320,000 after an employment tribunal found she was harassed, victimised, and unfairly dismissed by Woods Catering Staffordshire Ltd and its director.
1 min read · Last updated 18 May 2026
Case details
Key facts
- The claimant was a disabled person within the meaning of the Equality Act 2010 at all material times.
- The first and second respondents contravened Part 5 of the Equality Act 2010 by victimising and harassing the claimant on grounds of disability.
- The claimant was unfairly dismissed on 7 April 2022.
- The first respondent failed to pay accrued holiday pay and breached contract by failing to pay notice pay and pension contributions.
- The second respondent's response was struck out for non-compliance with tribunal orders.
- The total award including tax grossing-up was £320,475.52.
Timeline
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Discrimination begins
The earliest date of discrimination as referenced in interest calculation.
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Sickness absence starts
Claimant began sickness absence.
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Claimant requests change of respondent
Claimant asked that the respondent be changed to the company.
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Case management hearing
Employment Judge Wedderspoon held a case management hearing and agreed both the company and Mr Wood would be respondents.
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First respondent enters liquidation
Woods Catering Staffordshire Ltd entered creditors voluntary liquidation.
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Dismissal
Claimant was dismissed.
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First respondent's response struck out
Employment Judge Flood struck out the first respondent's response.
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Aborted preliminary hearing
Employment Judge Algazy adjourned the preliminary hearing due to documentation issues.
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Preliminary hearing adjourned
Employment Judge Faulkner adjourned the disability question hearing because the second respondent was not properly notified.
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Disability status determined
Employment Judge Wedderspoon found the claimant was a disabled person.
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Second respondent's response struck out
Employment Judge Wedderspoon struck out the second respondent's response for non-compliance.
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Final merits hearing begins
Final hearing held in Birmingham before Employment Judge Perry and members.
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Judgment issued
Tribunal found in favour of claimant and awarded compensation.
The legal issue
The tribunal had to decide whether the claimant, who was disabled, had been harassed and victimised on grounds of disability, whether reasonable adjustments were failed, and whether she was unfairly dismissed and owed holiday pay and breach of contract damages.
The outcome
The tribunal found in favour of the claimant on all grounds. The first respondent, Woods Catering Staffordshire Ltd, was in liquidation and did not defend the claim. The second respondent, Mr Neil Wood, had his response struck out for failing to comply with tribunal orders.
Compensation awarded:
- Basic award: £2,288.25
- Total award (including tax grossing-up): £320,475.52
Lessons & takeaways
- Employers must take reasonable steps to avoid disability harassment and victimisation, or face substantial compensation.
- Failing to comply with tribunal orders can result in your response being struck out, leaving you unable to defend the claim.
- Even if an employer goes into liquidation, individual directors may still be held personally liable for discrimination.
- Claimants should ensure all potential respondents are named early, including individuals who may have personal liability.
This case highlights the serious consequences for employers who mistreat disabled employees. The claimant, a disabled person within the meaning of the Equality Act 2010, was subjected to harassment and victimisation by her employer, Woods Catering Staffordshire Ltd, and its director, Mr Neil Wood. The tribunal found that the respondents contravened the Equality Act by treating her unfavourably because of her disability, and that she was unfairly dismissed in April 2022.
What went wrong
The employer's response was struck out after it entered liquidation, and the director's response was also struck out for failing to comply with tribunal orders. This meant the claims were effectively undefended. The tribunal was able to proceed on the basis of the claimant's evidence, which it accepted. The case shows that even when a company is in liquidation, individual directors can still be pursued for discrimination claims.
The outcome
The tribunal awarded the claimant £320,475.52 in total, including a basic award of £2,288.25 and a grossing-up for tax. The award covered disability harassment, victimisation, unfair dismissal, unpaid holiday pay, and breach of contract for notice pay and pension contributions. The substantial sum reflects the seriousness of the discrimination and the impact on the claimant.
Key takeaway for similar claims
This case is a reminder that disability discrimination claims can succeed even when the employer is no longer trading. Claimants should ensure they name all potentially liable parties, including individual directors, and that they comply with tribunal procedures. Employers must take their obligations under the Equality Act seriously, particularly regarding harassment and victimisation, or risk significant financial penalties.
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