Brewery failed to pay salary for months before redundancy dismissal
A former employee was awarded over £22,800 after his employer stopped paying him from June 2021 and then dismissed him by reason of redundancy in November 2021 without paying notice or holiday pay.
1 min read · Last updated 18 May 2026
Case details
Key facts
- The claimant was dismissed by reason of redundancy effective 16 November 2021.
- The respondent failed to pay the claimant's salary from 1 June 2021 to 16 November 2021.
- The respondent did not pay notice pay or pension contributions due under the contract.
- The claimant had accrued but unpaid holiday pay at the date of dismissal.
Timeline
-
Unpaid salary period begins
The respondent stopped paying the claimant's salary from this date.
-
Dismissal by reason of redundancy
The claimant was dismissed with effect from this date.
-
Hearing and judgment
The employment tribunal heard the case and issued judgment in favor of the claimant.
The legal issue
The tribunal had to decide whether the claimant was dismissed by reason of redundancy, whether the respondent made unlawful deductions from wages, whether there was a breach of contract, and whether the claimant was entitled to unpaid holiday pay.
The outcome
The tribunal ruled in favour of the former employee on all claims.
The key reasons were that the respondent stopped paying salary from 1 June 2021, failed to pay notice pay and pension contributions, and did not make a statutory redundancy payment or pay accrued holiday pay upon dismissal.
Compensation breakdown:
- Statutory redundancy payment: £8,435.70
- Unlawful deduction from wages (unpaid salary): £8,074.17
- Breach of contract (notice pay and unpaid pension contributions): £4,715.57
- Accrued but unpaid holiday pay: £1,606.80
- Total: £22,832.24
Lessons & takeaways
- If your employer stops paying your salary, you may have a claim for unlawful deduction from wages.
- Employers must pay statutory redundancy pay and notice pay when making an employee redundant.
- Accrued but unused holiday pay must be paid on termination of employment.
- Pension contributions that the employer agreed to pay are part of your contractual entitlement.
- You can bring multiple claims arising from the same dismissal in one tribunal case.
This case shows what can happen when an employer simply stops paying an employee and then dismisses them without meeting their legal obligations. The former employee worked for Maldon Brewing Company Ltd but from 1 June 2021 the company stopped paying his salary. Despite this, he continued to be employed until 16 November 2021 when he was dismissed by reason of redundancy.
What the employer did wrong
The brewery failed to pay the employee's salary for nearly five and a half months, which the tribunal found was an unlawful deduction from wages. On dismissal, the company also did not pay a statutory redundancy payment, notice pay, or accrued holiday pay. Additionally, the employer had not made pension contributions due under the contract. The respondent did not attend the hearing or send a representative, so the tribunal heard only the claimant's evidence.
Why the result matters
The total award of £22,832.24 covers all the losses the employee suffered because of the employer's failures. This case is a reminder that employers cannot simply stop paying staff and then dismiss them without fulfilling their legal duties. For employees, it shows that you can bring claims for unpaid wages, redundancy pay, notice pay, holiday pay, and breach of contract all in one tribunal claim. The fact that the employer did not defend the case did not prevent the tribunal from making a full award.
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