Complainant

Respondent

Anonymised Parties

Software Developer

In Liquidation

Representatives

Declan Clancy Liquidator Software Design Ltd (In Voluntary Liquidation)

Act

Complaint/Dispute Reference No.

Date of Receipt

Complaint seeking adjudication by the Workplace Relations Commission under section 6 of the Payment of Wages Act, 1991

CA-00020955-001

01/08/2018

The Complainant was employed by the Respondent Company from 23rd July 2012 until the employment terminated on 29th June 2018. The Complainant was paid €5416.66 gross per month and he worked 37.5 hours a week. The Complainant was provided with a written statement of his Terms and Conditions of Employment.

The Complainant referred a complaint to the Workplace Relations Commission on 1st August 2018 under the Payment of Wages Act, 1991 alleging the Respondent had breached Section 5 of the Act in relation to payment of his wages for the month of June in the sum of €5416.67 and his accrued annual leave due on termination of the employment.

The Complainant is claiming payment of 7 days accrued annual leave due on termination of the employment on 29th June 2018. The Complainant stated that he had reached agreement with the Respondent in which he was given an increase in his wages and that he would give three months notice if and when he terminated his employment with the Respondent. The Complainant stated that he did give three months notice of termination of his Contract of Employment on 20th April 2018 to terminate on 20th July 2018. The Complainant stated that he left the employment on 29th June 2018. The Respondent has refused to pay him his wages for work done in June 2018 and he is claiming payment of wages of €5416.67

The Respondent confirmed that the Complainant is due payment of 7 days accrued annual leave due to the Complainant on termination of his employment on 29th June 2018.

I was provided with an exchange of emails between the Parties in relation to the outstanding wages and annual leave due on termination of the Employment. These related to an agreement reached in June 2017 with the Complainant in relation to an increase in his wages and a commitment by the Complainant to give three months notice of the termination of his employment.

The Respondent confirmed that the Complainant did give three months notice of termination on 20th April 2018 to terminate on 20th July 2018 but he informed the Respondent on 29th June 2018 that he was leaving on that date.

The Respondent stated there had been an attempt to settle but the Complainant was not agreeable to this and the exchange of emails of July 2018 confirms this. The email of 23rd July 2018 shows the Respondent was prepared to offer the Complainant €1666.67, this to take account of Consultant fees to complete the Complainant’s work when he left the employment without working his full notice period.

The Liquidator for the Company, named, sent an email to the WRC on 20th September 2018 setting out his position in relation to the complaint.

On the basis of the evidence from both Parties I find as follows –

Both Parties confirmed that the Complainant and the Respondent had reached agreement in June 2017 in relation to an increase in the Complainant’s wages and a commitment by the Complainant to give three months notice of termination of his employment. Both Parties also confirmed that the Complainant was not issued with an amendment to his Contract of Employment arising from this agreement.

Both Parties confirmed that the Complainant did work for the month of June 2018

Both Parties confirmed that the Complainant had accrued annual leave of 7 days on termination of the employment. Both Parties also confirmed that the amount is €1750.00 gross.

Both Parties also confirmed that the Complainant did work the month of June 2018 and that wages of €5416.67 were due but the Respondent argued that due to breach of contract relating to the agreement of June 2017 the Complainant was not due any payment from the Respondent and that in the circumstances he had been overpaid by €9166.67

On the basis of the evidence, my findings above and in accordance with Section 41(5) of the Workplace Relations Act, 2015 I declare this complaint is well founded. I direct the Respondent to pay the Complainant – €5416.67 gross, subject to any lawful deductions in respect of wages due for June 2018 and not paid and – €1750.00 gross, subject to any lawful deductions, in respect of accrued annual leave due and not paid on termination of the employment.

I direct the Respondent to pay the Complainant these sums within 42 days of the date of this Decision.

Payment of Wages Act, 1991 – Accrued annual leave and wages due and not paid on termination of the employment – Respondent argued the Complainant breached his Contract of Employment agreed between the Parties in June 2017 and that accordingly the Complainant had been overpaid. Decision the complaints well founded.