Made redundant - receiving payment enquiry

libra10

Hope this is the correct forum.

Basically about a year ago my son was made redundant, and went to Tribunal.

About a month ago he was awarded approximately £4000, by the Tribunal Judge. The ex employer ordered to pay within 2 weeks.

However, the ex employer (a small firm) is also being chased (we think) by several other companies, although he hasn't declared bankruptcy.

He is offering to pay my son a derisory amount (in my opinion) of £100 a month, providing he can afford it!

Am I right in thinking that my son (as an ex employee claiming redundancy) should be quite high in the list of creditors waiting to be paid? The ex employer doesn't seem to be thinking that way!

Would be very grateful for any advice.

uknick

The company is not yet in liquidation and as such there is just a possible breach of contract for your son to consider. As such this breach would have to be pursued through the civil court by your son. As you may be aware the ET has no power to enforce the order on your behalf. Whilst your son would no doubt win his claim and be able to recover his costs, I'm not sure if it won't be another hollow victory, I'm sorry to say.

With regard to the award being for redundancy and your son becoming a preferential creditor, I think the only amount he could claim under this is for statutory redundancy pay he would have been due. In your son's case I assume this will be relatively small. But, as I said, the company is not yet in liquidation, so this is a moot point.

If none of the resident lawyers comment further you could try the CAB. They should be able to point you to an employment solicitor who will give some pro bono advice.

libra10

Thank you for your comments.

I agree that his only course of action may be to sue in the courts, although - as you say - it may be a hollow victory!

He has wondered about consulting the CAB, however this is difficult getting time off work in order to see them. However, it is an option to consider.

Much appreciated.