Ms P Deridet v Secretary of State for BEIS: 2204189/2021
JUDGMENT
[1]Pursuant to section 188(3) of the Employment Rights Act 1996 it is declared that the Secretary of State ought to make a payment to the Claimant under section 182 in the sum of £2,649.64, net.REASONS
[1]The claim is for unpaid wages for October 2020. The Claimant’s employer, We Are Cha Cha Ltd. is in voluntary liquidation. The Secretary of State has defended the claim.[2]The Secretary of State has an unusual case to assert, namely that the liquidator has said that no wages are owed for October, because “funds had been paid by a third party company”’ and that the debt is a matter between the Claimant and that company. The Respondent did not wish to attend the hearing.[3]At the hearing the Claimant readily demonstrated that rejection of her claim is misconceived. When the employer was unable to pay the wages, the landlord of the commercial premises made her a ‘bridge loan’ and I have seen the agreement in the form of a letter. The net wage was loaned and it was repayable by 31 March 2021 (unless extended) or on earlier payment of wages by the Case No: 2204189 /2021 employer. Therefore, the obligation to pay wages to the Claimant is left undisturbed and it is correct that a declaration should be made, as above. The short term loan to the Claimant is no impediment to a Judgment in her favour against the Secretary of State. Once she has received payment, she will be obliged to repay the loan, if that has not already occurred.