Redundancy dismissal without response: default judgment leads to £10,405 award
A former employee won £10,405 after his employer failed to respond to his unfair dismissal claim. The tribunal found he was dismissed by reason of redundancy without proper notice or pay for accrued holiday.
1 min read · Last updated 18 May 2026
Case details
Key facts
- The respondent failed to present a valid response to the claim on time.
- The claimant was dismissed in breach of contract regarding notice.
- The claimant was dismissed by reason of redundancy.
- The respondent failed to pay the claimant's accrued annual leave entitlement of 21 days.
- The claimant's claim of unfair dismissal succeeded.
Timeline
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Claim presented
The claimant presented his claim to the tribunal. Exact date not specified.
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Judgment issued
Employment Judge Phil Allen issued a default judgment under Rule 21 as the respondent failed to respond.
The legal issue
The tribunal had to decide whether the claimant was unfairly dismissed by reason of redundancy and entitled to damages for breach of contract, a redundancy payment, and unpaid annual leave.
The outcome
The tribunal ruled in favour of the former employee on all claims.
- The employer failed to respond to the claim, so a default judgment was entered.
- The claimant was awarded:
- £3,276 for breach of contract (notice pay)
- £4,914 as a statutory redundancy payment
- £1,965 for 21 days' accrued annual leave
- £250 compensatory award for loss of statutory rights
- No basic award for unfair dismissal was made because the redundancy payment covered that element.
Lessons & takeaways
- If you are dismissed and your employer does not respond to a tribunal claim, you may obtain a default judgment without a hearing.
- Employers must respond to tribunal claims on time or risk losing by default, even if they have a defence.
- Redundancy dismissals still require proper notice and payment of accrued holiday – failing to do so can lead to separate awards.
- A compensatory award for unfair dismissal can be minimal if no financial loss is proven beyond loss of statutory rights.
A swift outcome when the employer stayed silent
This case shows what can happen when an employer simply ignores a tribunal claim. The former employee brought claims for unfair dismissal, breach of contract, redundancy payment, and unpaid holiday. Because Ormskirk Metal Fabrications Ltd did not file a response within the required time, the tribunal entered a default judgment – meaning the employer effectively admitted the claims.
What the tribunal awarded
The judgment awarded a total of £10,405. This included £3,276 for notice pay (breach of contract), £4,914 as a statutory redundancy payment, £1,965 for 21 days of accrued annual leave, and £250 for loss of statutory rights. The tribunal did not make a separate basic award for unfair dismissal because the redundancy payment already compensated for that head of loss.
What this means for similar cases
For employees, this case illustrates that even straightforward redundancy dismissals can lead to multiple awards if the employer fails to follow basic legal requirements – such as giving proper notice and paying for holiday not taken. For employers, it is a stark reminder that ignoring a tribunal claim is almost never a good strategy: a default judgment can be entered without any consideration of the merits, and the awards can add up quickly.
The case also highlights that a compensatory award for unfair dismissal may be small if the employee has not suffered ongoing financial loss – here it was limited to £250 for loss of statutory rights. However, the other awards – notice pay, redundancy, and holiday pay – often form the bulk of the compensation.
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