Ms. Cole, Lay representative v Browns Lane Garage Ltd — 2021

Mr Fisher claimed notice pay and redundancy pay after being made redundant on 30 June 2020. The respondent argued that his employment only began in 2016, but the tribunal accepted his evidence and documents showing work at the garage from September 1999, including payslips and a P60, and found that his employment had continued throughout the change in ownership.

The tribunal found that after the original owner died the garage continued to trade, Mr Fisher continued working and being paid, and there was no P45 or notice that his employment had ended. It held that his employment had been taken on by the executor of the estate and that section 218(4) ERA 1996 did not break continuity. It also found that the 30 April 2016 sale agreement transferred the business and employees, including Mr Fisher, to Browns Lane Garage Limited under TUPE, and that the 27 May 2016 signed salary summary was only a variation of terms rather than a new start date.

On that basis, the tribunal held that by June 2020 Mr Fisher had 20 years' service with the respondent. Applying the redundancy calculation in section 162 ERA 1996, it found that he was entitled to £11,550 in redundancy pay. Because the respondent had already paid £2,520, the outstanding balance was £9,030, which the tribunal awarded.

The tribunal also accepted Mr Fisher's evidence that he had not been paid notice pay. Applying section 86 ERA 1996, it held that his notice period was 12 weeks and calculated notice pay at £5,040 gross. The total award was £14,070.