Complainant

Respondent

Anonymised Parties

A Former Employee

A Company

Representatives

 none

 none

Act

Complaint/Dispute Reference No.

Date of Receipt

Complaint seeking adjudication by the Workplace Relations Commission under Section 39 of the Redundancy Payments Act, 1967

CA-00032788-001

08/12/2019

The Complainant commenced employment with the Respondent on 10/5/2016 and his employment was terminated on 18/1/2019. The Complainant is seeking redundancy payment pursuant to the Redundancy Payments Act [1967-2016]. The complaint was received by the WRC on the 8th December 2019.

The Complainant stated he had been a full-time employee in the Respondent and that there were two employees in the company. He stated that the Respondent informed him on Friday the 18th January 2019 that the business was closing with immediate effect. The Complainant stated that he was not surprised by the decision as he suspected the business was in financial difficulty and that in the six weeks prior to 18/1/2019, he worked without wages in order to help the business stay going. The Complainant stated that there was “no paperwork” and that he did not receive any written notice of termination of his employment or notice of redundancy.

The Complainant stated that he sought to meet with the Respondent after the business closed and that when he eventually met him, the Respondent advised him to “sign on” and said that he “didn’t have a shilling” and couldn’t pay wages or redundancy. The Complainant stated that he asked the Respondent to sign the Form RP50 which the Respondent did on the 6th June, 2019. The Complainant sent the Form RP50 to the DEASP (Department of Employment Affairs and Social Protection).

The Complainant furnished the following documentation post hearing:

·       Copy of the completed Form RP50 signed by the Complainant and Respondent on the 6th June, 2019;

·       Copy of DEASP response of 18/12/2019

·       Copy of a payslip dated 29/11/2018 and the Complainant’s last payslip dated 6/12/2018

·       P60 for year ended 31/12/2017

·       PAYE/USC Balancing Statement (P21) for the Tax Year 2016

·       PAYE/USC End of Year Statement (P21) for the Tax Year 2018

There was no appearance by or on behalf of the Respondent nor was any written submission provided.

Sections 7(1) and (2) of the Redundancy Payments Act [1967-2016] state:

“(1) An employee, if he is dismissed by his employer by reason of redundancy……shall, subject to this Act, be entitled to the payment of moneys which shall be known….as redundancy payment provided –

(a) he has been employed for the requisite period, and

(b) he was an employed contributor in employment which was insurable……

(2) For the purposes of subsection (1), an employee who is dismissed shall be taken to have been dismissed by reason of redundancy if for one or more reasons not related to the employee concerned the dismissal is attributable wholly or mainly to –

(a) The fact that his employer has ceased, or intends to cease, to carry on the business in the place where the employee was so employed, or…..”

Based on the uncontested evidence of the Complainant, I find there was a genuine redundancy as a result of the closure of the Respondent’s business. Consequently, I find that the Complainant’s employment was terminated on the 18th January 2019 by reason of redundancy.

CA-00032788-001

I find that the complaint under the Redundancy Payments Act [1967-2016] is well founded and that the Respondent should pay the Complainant his statutory redundancy entitlements based on the following criteria:

·       Date of Commencement:     10th May, 2016

·       Date of Termination:             18th January, 2019

·       Gross Weekly Pay:                   €609.57

This award is made subject to the Complainant having been in insurable employment under the Social Welfare Acts during the relevant period.

Redundancy payment