Complainant

Respondent

Parties

Roman Abramović

High Spec Tech Limited

Complainant

Respondent

Anonymised Parties

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Representatives

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-00061455-001

08/02/2024

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

CA-00061295-001

30/01/2024

The Complainant worked as a repair technician for the respondent from 15th of August 2020 to 16th of April 2023.

He submitted claims to the WRC on 30th of January 2024 and 8th of February 2024 in respect of his entitlement to a redundancy payment.

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

CA-00061455-001

08/02/2024

The complainant submits that.

he was employed by the respondent from 15th August 2020 and in  March 2023 the respondent owner came to him and said that he couldn’t pay the wages anymore because of the financial problems of his Company,

The complainant submits that he was given an end date of 16th April 2023 and the reason given for terminating his employment was due to the company s financial situation.

The complainant and the owner were the only two employees and the owner advised the complainant in March 2023 that he could no longer afford to keep him on.  The complainant was not replaced.  

The complainant spoke with the Owner after his employment terminated asking about a Redundancy payment which the respondent agreed to look into at end of 2023.  The respondent did not follow up on this matter despite further communications from the complainant.

The respondent submits as follows.

He employed the complainant from 15th August 2020 to 16th of April 2023 when he had to let the complainant go due to financial problems the company was having.  He and the complainant were the only two employees and he did not replace the complainant.

The respondent submits that in March 2023 he had a meeting with his accountant regarding the direction of the company and its financial issues. At the time it became apparent that he could not afford to keep the complainant working for him full time and could only afford to keep him on a part time basis.

The respondent submits that he had told the complainant about the ongoing struggles with the company and mentioned to him that he  could only afford to keep him on a part time role which the complainant rejected because of his own financial situation.   It is submitted that the complainant  then asked when he would finish up.   The respondent submits that this amounts to a mutual agreement between both parties to walk away and submits that he did not terminate the complainant’s employment.

The respondent submits that after his departure the complainant sent him website links with information regarding redundancy payments via WhatsApp, to which the respondent replied that he would look into it and seek advice from his accountant.

The respondent submits that he could not afford to pay the complainant a redundancy payment.

The complainant advised the hearing that he was employed by the respondent as a Repair Technician  from 15th August 2020 to 16th of April 2023.   This complaint is submitted under the Redundancy Payments Act 1967. 

The Respondent advised the hearing that he ran into financial difficulties in March 2023 and was no longer able to provide the complainant with full time hours.

There was  some discussion at the hearing as to whether the complainant’s employment was terminated or whether there was an agreement between the parties that the complainant would leave due to the respondent no longer being able to afford to give him full time hours. 

The respondent claimed to have offered the complainant part time hours due to cash flow problems but stated that the complainant refused this offer as he couldn’t afford to live or pay rent of only on part time hours.  The complainant advised the hearing that part time hours offer was made prior to this around mid-March but that eventually the respondent later conceded that he could not even afford to keep the complainant on a part time basis even if the complainant were willing to accept that.

The respondent at the hearing agreed that the business had been experiencing cashflow problems and that he could no longer afford to employ the complainant.    In referring to the complainants claim for redundancy the respondent stated that he had asked his accountant about this and that his accountant had said that the complainant would probably be entitled to a redundancy payment, but the respondent stated that he could not afford to pay such payment as the company had no money and so could not afford to pay the complainant a redundancy payment.    He added that the accountant had mentioned a fund for the redundancy payment but had not followed up on it.

Having considered the evidence adduced I am satisfied that the Complainant is entitled to a statutory redundancy lump sum payment under the Redundancy Payments Act 1967.

I have decided that the Complainant is entitled to a statutory redundancy payment based on the following criteria:

Date of Commencement:     15th August 2020

Date of Termination:            16th of April 2023

Gross Weekly Pay:                   €615

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

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

CA-00061295-001

30/01/2024

This is a duplicate claim and is adjudicated upon in CA-00061455-001 above.    Accordingly, I declare this claim to be not well founded.