Operations Manager dismissed during redundancy after furlough holiday pay dispute
A wedding venue operations manager lost her unfair dismissal claim but won £107.69 in unpaid holiday pay after being required to take holiday while on furlough.
1 min read · Last updated 18 May 2026
Case details
Key facts
- The claimant was employed as Operations Manager from 1 November 2019.
- The effective date of termination was 30 March 2021.
- The claimant was contractually entitled to 4 weeks' notice.
- The respondent gave sufficient notice on 20 April 2020 requiring the claimant to take holiday while on furlough.
- The claimant did not have two years' continuous employment for a statutory redundancy payment.
- The claimant's claim for unauthorised deductions succeeded only for unpaid contractual holiday pay of £107.69.
Timeline
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Employment started
Claimant commenced employment as Operations Manager.
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Furlough began
Claimant was furloughed due to COVID-19.
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Holiday notice given
Respondent emailed requiring 2.5 days holiday deduction per month.
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Claimant raised holiday pay issue
Claimant emailed asserting holiday deductions were not compliant with Working Time Regulations.
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Redundancy consultation started
Respondent wrote to claimant about potential redundancy.
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Dismissal letter sent
Respondent gave 4 weeks' notice of dismissal for redundancy.
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Employment terminated
Effective date of termination.
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Claim presented
Claimant filed ET1 claim.
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Preliminary hearing (Green)
Determined notice entitlement, EDT, and holiday notice.
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Preliminary hearing (Smith)
Determined continuous employment started 1 November 2019.
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Final hearing (Miller)
Heard remaining claims.
The legal issue
The tribunal had to decide whether the claimant's dismissal was automatically unfair because she asserted a statutory right regarding holiday pay, and whether she was entitled to various payments including notice pay, holiday pay, and unauthorised deductions.
The outcome
The tribunal found that the claimant did not have the required two years' continuous employment to bring an ordinary unfair dismissal claim, and her automatic unfair dismissal claim failed because the reason for dismissal was redundancy, not her assertion of a statutory right.
- The claimant's claim for unauthorised deductions succeeded only in respect of unpaid contractual holiday pay of £107.69.
- All other claims, including for notice pay, statutory redundancy payment, and arrears of pay, were dismissed.
Lessons & takeaways
- Employees with less than two years' continuous service cannot claim ordinary unfair dismissal, but may still have claims for automatic unfair dismissal or breach of contract.
- Requiring employees to take holiday during furlough is lawful if the employer gives notice that complies with the Working Time Regulations.
- Asserting a statutory right, such as the right to holiday pay, does not automatically make a subsequent dismissal unfair if there is a genuine redundancy situation.
- Keep records of all communications regarding holiday requests and notice periods, as these can be crucial in tribunal claims.
This case shows the limits of protection for employees with short service during a redundancy process. The claimant, an operations manager at a wedding venue, was furloughed during the pandemic and later made redundant. She argued that her dismissal was automatically unfair because she had raised concerns about being required to take holiday while on furlough, which she believed breached her statutory rights.
However, the tribunal found that the employer had given sufficient notice requiring her to take holiday, as permitted by the Working Time Regulations. The real reason for dismissal was redundancy, not her holiday pay complaint. Because she had less than two years' service, she could not bring an ordinary unfair dismissal claim, and her automatic unfair dismissal claim failed on the facts.
What the employer did right
Thicket Priory Limited followed a proper redundancy process and gave clear notice about holiday deductions during furlough. Their emails were sufficient to comply with the legal requirements, and they were able to show that the redundancy was genuine.
What the claimant could have done differently
While the claimant was right to question her holiday pay, the timing of her complaint did not protect her from a genuine redundancy. Employees with short service should be aware that the two-year qualifying period for unfair dismissal claims is a significant barrier, unless they can show the dismissal was for an automatically unfair reason such as asserting a statutory right.
The modest award of £107.69 for unpaid contractual holiday pay reflects the narrow scope of her successful claim. For most employees, this case is a reminder that redundancy processes can lawfully proceed even when there are ongoing disputes about holiday pay, provided the employer follows proper procedures.
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