Mr Barker v Strix Varia Ltd: 2201886/2024
JUDGMENT
[1]The complaint of unauthorised deductions from pay contrary to Part II Employment Rights Act 1996 is well-founded. The respondent made unauthorised deductions from the claimant’s pay in respect of the period 1 February 2023 to 9 October 2023. The respondent did not pay the claimant any salary during this period, when £165,806 should have been paid (£20,000 for each month from February to September inclusive, plus (9/31x£20,000) for 9 days in October). Instead, the respondent gave the claimant a loan of £10,000 during each month from February 2023 to May 2023 inclusive (£40,000 total – “the £40,000 loan”).[2]The respondent is ordered to pay to the claimant the gross sum of £165,806 less any sums deductible in relation to the £40,000 loan under clause 20(b) of the Service Agreement between the respondent (under its former name of Minerva Research Limited) and the claimant dated 14 June 2023 (“the Service Agreement”).[3]The respondent was in breach of contract for dismissing the claimant without a 3- month notice period as required under clause 13.1 of the Service Agreement, during which notice period the claimant would have been paid £60,000 gross. The respondent is ordered to pay the claimant £25,000, which is the maximum amount that can be awarded for breach of contract. This amount is likely to be taxable, as post employment notice pay.