Unsolicited telephone calls misusing our name - We do not nuisance cold call -
Have a question? Call us on 0800 1979 345
This article was published on October 3rd, 2019
In a redundancy situation, an employee might be entitled to both statutory and contractual redundancy pay. Statutory redundancy payments are calculated using age, length of service and weekly pay (currently capped at £525). Contractual payments can be more generous. What happens when a contractual sum isn’t paid, and the employee brings a breach of contract claim to recover it? Does the statutory redundancy element form part of the £25,000 cap for a breach of contract claim in the employment tribunal?
In Uradar v Lancashire Care NHS Foundation Trust, the employee’s contractual redundancy pay was about £44,000, including the statutory element of around £6000. The employee was dismissed but the employer said he had refused suitable alternative employment so refused to pay the redundancy pay. The employee brought a tribunal claim and won. The tribunal said the statutory redundancy element was part of the breach of contract claim and awarded him £25,000 (the maximum allowed), rather than £25,000 plus £6000 for the statutory redundancy pay. The employee appealed.
The EAT agreed that the tribunal had got it wrong. The employee had two separate claims: one for statutory redundancy pay and one for breach of contract. He should have been awarded both sums.
This is a logical decision. More concerning to employers is the EAT’s criticism about the statutory cap of £25,000. As in this case, the cap often prevents full recovery of breach of contract sums in the employment tribunal. The EAT noted the potential injustice and said that the current cap had been in place since 1994. They queried whether it should be raised. Although higher value breach of contract claims can be brought in the civil courts, tribunals are attractive to employees because they are faster and there are no fees.
This website privacy notice sets out how Thorneycroft Solicitors uses and protects any information that you give Thorneycroft Solicitors when you use this website.
Thorneycroft Solicitors is committed to ensuring that your privacy is protected. Should we ask you to provide certain information by which you can be identified when using this website, then you can be assured that it will only be used in accordance with this privacy statement.
Thorneycroft Solicitors may change this policy from time to time by updating this page. You should check this page from time to time to ensure that you are happy with any changes. This policy is effective from 01/05/2018.
What we collect
We may collect the following information:
We will collect the information directly from you via completion of our enquiry form on the website.
What we do with the information we gather
We require this information to understand your needs and provide you with a better service, and in particular for the following reasons:
We will also collect and process your personal data if you have consented to receiving marketing in respect of our services. You are able to unsubscribe or withdraw your consent at any time by emailing [email protected] or writing to ‘Marketing’ at Thorneycroft Solicitors, 9a Bridge Street Mills, Bridge Street, Macclesfield, Cheshire SK11 6QA.
We are committed to ensuring that your information is secure. In order to prevent unauthorised access or disclosure, we have put in place suitable physical, electronic and managerial procedures to safeguard and secure the information we collect online.
If you do not instruct us in relation to your legal matter, your personal details will be retained for a period of 12 months.
If we are instructed in relation to your legal matter, we will keep it in line with our data retention periods. Details of our retention period for your legal matter can be found within our Client Care Letter and/or Terms of Business, under the heading file retention.
Links to other websites
Our website may contain links to other websites of interest. However, once you have used these links to leave our site, you should note that we do not have any control over that other website. Therefore, we cannot be responsible for the protection and privacy of any information which you provide whilst visiting such sites and such sites are not governed by this privacy statement. You should exercise caution and look at the privacy statement applicable to the website in question.
You can set preferences for how Google advertises to you using the Google Ad Preferences page, and if you want to you can opt out of interest-based advertising entirely by cookie settings or permanently using a browser plugin.×