Dismissed by redundancy without consultation: multiple claims succeed
A former employee won over £24,500 after being made redundant without consultation and suffering unauthorised deductions, unpaid holiday pay, and breach of contract.
1 min read · Last updated 18 May 2026
Case details
Key facts
- The claimant was employed by the respondent and was dismissed by reason of redundancy.
- The respondent failed to consult with the claimant before dismissal.
- The respondent made unauthorised deductions from the claimant's wages for the period 1-15 March 2022.
- The respondent failed to pay holiday pay for 32 accrued but untaken days.
- The respondent failed to pay notice pay, expenses, and pension contributions due under the contract.
Timeline
-
Unauthorised deduction period begins
The respondent began making unauthorised deductions from the claimant's pay.
-
Unauthorised deduction period ends
The period of unauthorised deductions ended.
-
Hearing and judgment
The Employment Tribunal heard the case and issued judgment, finding in favour of the claimant on several claims.
The legal issue
The tribunal had to decide whether the employee was entitled to a statutory redundancy payment, whether the employer made unauthorised deductions from wages, whether holiday pay was due, whether the dismissal was unfair due to lack of consultation, and whether damages for breach of contract were payable.
The outcome
The tribunal determined that the former employee was entitled to a redundancy payment of £12,926.88. It also found that the employer made unauthorised deductions from wages for the period 1–15 March 2022, ordering repayment of £849.60. The claim for unpaid holiday pay for 32 accrued days succeeded, with an award of £2,718.72.
In addition, the tribunal awarded damages for breach of contract totalling £6,765.02, comprising:
- 12 weeks' unpaid notice pay: £5,248.44
- Unpaid expenses: £1,201.22
- Unpaid employer pension contributions (Jan/Feb 2022): £290.24
- Unpaid employer pension contributions (1–15 March 2022): £25.12
The unfair dismissal claim also succeeded, with a compensatory award of £874.74 (representing two weeks' pay and pension contributions that would have been payable during a consultation period) plus £400 for loss of statutory rights. No basic award was made. The total compensation awarded was £24,534.96.
Lessons & takeaways
- If you are being made redundant, your employer must consult with you before dismissal – failing to do so makes the dismissal unfair.
- Keep records of all wages, holiday entitlement, and expenses – unauthorised deductions and unpaid holiday pay can be claimed at tribunal.
- Employers must pay notice pay, expenses, and pension contributions as contractually due – breach of contract claims can be brought in the employment tribunal.
- A redundancy payment is a statutory right if you meet the qualifying criteria – the tribunal can determine entitlement even if the employer disputes it.
What this case shows in practice
This case illustrates how a redundancy process that lacks any consultation can unravel into multiple successful claims. The former employee was dismissed by reason of redundancy without any consultation, which the tribunal found rendered the dismissal unfair. But the problems did not stop there: the employer also made unauthorised deductions from wages, failed to pay 32 days of accrued holiday pay, and did not honour contractual obligations for notice pay, expenses, and pension contributions.
What the employer could have done differently
The employer could have avoided most of these claims by following basic employment law requirements. Consulting with the employee before making them redundant would have addressed the unfair dismissal claim. Paying all wages, holiday pay, and contractual sums on time would have prevented the unauthorised deduction and breach of contract claims. The total compensation of over £24,500 – including a statutory redundancy payment of nearly £13,000 – shows the financial risk of cutting corners.
Why this result matters for similar claims
For employees facing redundancy, this case confirms that the right to a statutory redundancy payment is enforceable even when the employer disputes it. It also reinforces that multiple claims can be brought together in one tribunal case, covering unpaid wages, holiday pay, notice pay, expenses, and pension contributions. The compensatory award for unfair dismissal was modest (just over £1,200), but the other awards made up the bulk of the total. Employees should ensure they claim all potential losses, not just the dismissal itself.
Similar cases
Unfair dismissal but 100% Polkey reduction due to workplace closure
A former employee was unfairly dismissed but received only limited compensation because the tribunal found he would have been fairly dismissed a month later when the workplace closed. Total award: £12,419.29.
Two employees unfairly dismissed after wage deductions and ACAS code breach
Two former employees of Strong Maker Limited were awarded over £20,000 in total after the tribunal found they were unfairly and automatically unfairly dismissed, with a 25% uplift for the employer's failure to follow the ACAS Code of Practice.
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.
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.
