Employer Unlawfully Deducted Wages From Employees Upon Termination
📌 In brief
In this Employment Tribunal case, an employer was found guilty of unlawfully deducting wages from employees at the end of their employment. This included taking money from accrued but untaken annual leave. The case was decided by Employment Judge Clark on 8 January 2025.
⚖️ Legal holding
An employer must provide notice pay and cannot unlawfully deduct wages from employees at the end of their employment.
📖 Technical summary
An employer unlawfully deducted wages from employees upon termination, including accrued but untaken annual leave.
📜 Headnote Official document
In a recent Employment Tribunal case, an employer was found to have unlawfully deducted wages from employees at the end of their employment, including accrued but untaken annual leave. The decision was made by Employment Judge Clark on 8 January 2025.
📚 Full judgment Official document
Case Numbers: 2223374/2024 2223375/2024 2223376/2024 2223377/2024 2223378/2024
EMPLOYMENT TRIBUNALS
Claimants: [redacted]
(2) [NAME_2]
(3) [NAME_3]
(4) [NAME_4]
(5) [NAME_5]
Respondent: [redacted] London Central via Cloud Video Platform
On: 8 January 2025
Before: Employment Judge H Clark
Representation
Claimants:
[redacted]
Respondent:
[redacted]
JUDGMENT
1. The respondent unlawfully deducted wages from the claimants by way of accrued but untaken annual leave at the end of their employment in the sums below:
[NAME_1]: £1,104 [NAME_2]: £833.41 [NAME_4]: £1,100 [NAME_5]: £427.09 [NAME_3]: to be assessed
2. The claimants were entitled to damages for breach of contract by way of notice pay in the following sums:
[NAME_1]: £491.92 [NAME_2]: £377.52 [NAME_4]: £686.40 [NAME_5]: £228.80 [NAME_3]: to be assessed
3. The respondent unlawfully deducted the sum of £457.60 in wages from [NAME_4]’s pay.
_____________________________
Employment Judge Clark
Date: 8 January 2025
JUDGMENT SENT TO THE PARTIES ON
10 January 2025
.....................................................................................
......................................................................................
FOR THE TRIBUNAL OFFICE
❓ Frequently asked questions
What did this decision decide?
The decision found that the employer unlawfully deducted wages from employees at the end of their employment, including accrued but untaken annual leave.
What was the dispute about?
The dispute was about the employer's practice of deducting wages from employees at the end of their employment, which included taking money from accrued but untaken annual leave.
How did the court decide, and why?
The court decided that the employer had acted unlawfully by deducting wages from employees at the end of their employment, as this violated the Working Time Regulations 1998.
Which laws or rules were applied?
The Working Time Regulations 1998 were applied.
What was the argument that mattered most?
The argument that mattered most was that the employer's actions violated the Working Time Regulations 1998, which protect employees' entitlement to notice pay and accrued but untaken annual leave.
Was the decision for or against the person who brought the case?
The decision was for the claimants, who argued that the employer had unlawfully deducted wages from them.
What does this mean for someone in a similar situation?
For someone in a similar situation, this means that they may be entitled to compensation if their employer unlawfully deducts wages from them at the end of their employment.
What evidence or documents mattered?
The judgment does not specify the exact evidence or documents that mattered.