ADJUDICATION OFFICER DECISION
Adjudication Reference: ADJ-00051050
Parties:
| Complainant | Respondent |
Parties | Noeleen Black | Rhd Leisurewear Ltd |
Representatives |
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Complaint(s):
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-00062682-001 | 09/04/2024 |
Date of Adjudication Hearing: 16/07/2024
Workplace Relations Commission Adjudication Officer: Roger McGrath
Procedure:
In accordance with Section 39 of the Redundancy Payments Acts 1967 - 2014following the referral of the complaint to me by the Director General, I inquired into the complaint and gave the parties an opportunity to be heard by me and to present to me any evidence relevant to the complaint.
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, that testimony under Oath or Affirmation would be required and full cross examination of all witnesses would be provided for. The required Affirmation / Oath was administered to all witnesses. The legal perils of committing Perjury were explained to all parties. Full cross examination of witnesses was allowed.
The matter was heard by way of a remote hearings on 16 July 2024 pursuant to the Civil Law and Criminal Law (Miscellaneous Provisions) Act 2020 and S.I. 359/2020, which designated the WRC as a body empowered to hold remote hearings.
Background:
The complainant commenced employment with the respondent, a clothes manufacturer, as machinist on 3 July 1998. Her gross weekly pay was €281.25, and she worked 22.50 hours a week. Her employment ended on 31 October 2023. A complaint form was received by the WRC on 9 April 2024. |
Summary of Complainant’s Case:
The complaint submits that in October 2023 after weeks of no work her employer told her he had no work for her, could not guarantee any work and that he would be letting her go. The complainant never received any information from her employer about redundancy. The complainant gave evidence on affirmation at the hearing. The complainant stated that she had worked for the respondent for many years and let go in October 2023. She approached the respondent about getting a redundancy payment, but she was told that the company did not have funds to pay her redundancy. She then sent in an RP 77 in March 2024, but she had not heard anything back from the respondent. |
Summary of Respondent’s Case:
Mr Mark Carr junior gave evidence for the respondent, on affirmation at the hearing. Mr Carr stated that he had spoken to the complainant about the amount of work available was diminishing. The witness stated that the only other employee had been let go in October 2023 and there were no remaining employees at present. The company is still trading but the dire financial situation the company finds itself in is due to things outside of its control. There has been a significant change in the market for school-wear and the company has lost a considerable number of orders. It is a “horrible situation.” Mr Carr stated that as things stand the company cannot tell how things are going to pan out in the future. The company is in debt and the only assets it has is the machinery used to make the clothes, which are not in use now. |
Findings and Conclusions:
This is a difficult situation for both the complainant and the respondent. In the first instance it is the responsibility of the respondent to pay the complainant the redundancy lump sum she is due for her long service. From the evidence adduced by the respondent, which I accept, it would seem there is no possibility of the respondent being able to find the money needed to fulfil its obligations to the complainant. In those circumstances I find that the complainant’s redundancy lump sum should be paid by the Social Insurance Fund.
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Decision:
Section 39 of the Redundancy Payments Acts 1967 – 2012 requires that I make a decision in relation to the complaint in accordance with the relevant redress provisions under that Act.
Accordingly, the claim under the Redundancy Payments Acts 1967 to 2007 is allowed and the complainant is awarded a statutory lump sum under those Acts, and based on the following: Date of Commencement; 3 July 1998. Date of Termination; 31 October 2023. Gross weekly pay; €281.25 The award is made subject to the appellant having been in insurable employment under the Social Welfare Acts during the relevant period. |
Dated: 16th September, 2024
Workplace Relations Commission Adjudication Officer: Roger McGrath
Key Words:
Redundancy, Social Insurance Fund |