ADJUDICATION OFFICER DECISION

Adjudication Reference: ADJ-00043763

Parties:

	Complainant	Respondent
Parties	Per Johansson	Csis Health Ltd.

Representatives

Self Represented

Managing Director

Complaint(s):

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-00054749-001	29/01/2023
Complaint seeking adjudication by the Workplace Relations Commission under section 6 of the Payment of Wages Act, 1991	CA-00054749-002	29/01/2023
Complaint seeking adjudication by the Workplace Relations Commission under section 6 of the Payment of Wages Act, 1991	CA-00054749-003	29/01/2023
Complaint seeking adjudication by the Workplace Relations Commission under section 6 of the Payment of Wages Act, 1991	CA-00054749-004	29/01/2023
Complaint seeking adjudication by the Workplace Relations Commission under section 27 of the Organisation of Working Time Act, 1997	CA-00054749-005	29/01/2023
Complaint seeking adjudication by the Workplace Relations Commission under section 6 of the Payment of Wages Act, 1991	CA-00054749-006	29/01/2023

Date of Adjudication Hearing: 28/06/2023

Workplace Relations Commission Adjudication Officer: Peter O'Brien

Procedure:

In accordance with Section 41 of the Workplace Relations Act, 2015 following the referral of the complaints to me by the Director General, I inquired into the complaints and gave the parties an opportunity to be heard by me and to present to me any evidence relevant to the complaints. In deference to the Supreme Court ruling, Zalewski v Ireland and the WRC [2021] IESC 24 on the 6th of April 2021 the Parties were informed in advance that the Hearing would be in Public, Testimony under Oath or Affirmation would be required and full cross examination of all witnesses would be provided for.

Background:

The Complainant sought payment of wages due for the period from September 2022 (partly) and the months of October, November and December. He also sought payment of his notice due and outstanding holidays.

Summary of Complainant’s Case:

The Complainant was employed as a Software Engineering Manager from May 4th 2022 to December 16th 2022 when his employment ceased due to non payment of wages. The Complainant also submitted he was due 3 months notice pay, accrued holidays and the balance of wages unpaid in September 2022.

Summary of Respondent’s Case:

The Respondent advised they were a start up company and had gone through various ways of trying to get grants or shareholder funding for the business but after repeated attempts to get same they were declined. They had engaged consultants in the UK to assist with their funding efforts and despite their best efforts were unsuccessful in their application. This was a major surprise to the Respondent as they were confident of funding and being accepted for an EIC grant. They had also engaged with potential Investors in the US and were promised investment but due to Covid the Investors and business opportunity was affected. The Respondent confirmed the payments sought were due and uncontested.

Findings and Conclusions:

At the Hearing the Respondent representative accepted that the payments sought were due to the Complainant. They confirmed due to the lack of funding for the venture the Company had no funds to pay the amounts due and there was little likelihood in the near future that the funds would exist to make the payments.

Section (6)of the Payment of Wages Act 1991 states

” Where—

(a) the total amount of any wages that are paid on any occasion by an employer to an employee is less than the total amount of wages that is properly payable by him to the employee on that occasion (after making any deductions therefrom that fall to be made and are in accordance with this Act), or

(b) none of the wages that are properly payable to an employee by an employer on any occasion (after making any such deductions as aforesaid) are paid to the employee,

then, except in so far as the deficiency or non-payment is attributable to an error of computation, the amount of the deficiency or non-payment shall be treated as a deduction made by the employer from the wages of the employee on the occasion.”

I find that the payments sought were properly payable to the Complainant and were not paid to him in breach of Section 5.(6) of the Act.

Decision:

Section 41 of the Workplace Relations Act 2015 requires that I make a decision in relation to the complaint(s)/dispute(s) in accordance with the relevant redress provisions under Schedule 6 of that Act.

I find in favour of the Complainant in all complaints in that the wages sought were properly payable to the Complainant and were not paid to him and award him the following.

I award the Complainant an amount of 3489 Euros (gross) in lieu of the non-payment of his September wages. (CA-00054749-001)

I award the Complainant an amount of 8333.33 (gross) Euros in lieu of the non-payment of his October wages. (CA-00054749-002)

I award the Complainant an amount of 8333.33 (gross) Euros in lieu of the non-payment of his November wages. (CA-00054749-003)

I award the Complainant an amount of 4545 (gross) Euros in lieu of the non-payment of his December wages. (CA-00054749-004)

I award the Complainant an amount of 1008.06 (gross) Euros in lieu of the non-payment of his holiday entitlement due of 3.75 days (CA-00054749-005)

The Complainants contract of employment contained a three month notice period in the event of the Employer giving notice of termination of the contract. The contract was silent on what notice the Employee had to give on termination. The Complainants contract was terminated without notice and I deem he was entitled to same and to be paid for the three months. I award the Complainant an amount of 25,000 (Gross) Euros in lieu of the non-payment of his notice. (CA-00054749-006)

Dated: 14-07-2023

Workplace Relations Commission Adjudication Officer: Peter O'Brien

Key Words:

Payment of Wages