1) Miss A Gallagher 2) Miss N Denniss 3) Miss I Ahmad v 1) Operations One Ltd (dissolved on 21 February 2020) 2) Mr Simon Peter Hayes 3) Mrs Lisa Jane Hayes — 2021

The tribunal found that Operations One Ltd was dissolved on 21 February 2020, and that Mr Simon Peter Hayes and Mrs Lisa Jane Hayes became the claimants' employers from that date. The claimants were not told of the dissolution, the gym continued to trade, and wages were still paid in March and April 2020 while Mr Hayes discussed furlough and a possible transfer or sale of the business, but no furlough application was made and no clear termination was communicated.

The tribunal rejected the suggestion that the employment ended when the April 2020 payments were made. It found no decisive terminating act until the landlords repossessed the gym premises on 21 August 2020, and treated that date as the effective termination date for the statutory claims. On that basis the dismissals were treated as dismissal without notice under section 95(1)(a) ERA 1996 rather than frustration of contract. The tribunal held that the reason for dismissal was redundancy, but also found the dismissals unfair because the respondents had not properly communicated with the claimants about the change of employer, the failed furlough plan, or the ending of the employment relationship.

Miss Gallagher and Miss Denniss each had more than two years' continuous service, so their unfair dismissal claims succeeded and they each received a basic award and a compensatory award for loss of statutory rights. Miss Ahmad had less than two years' continuous employment, so her unfair dismissal and redundancy claim were dismissed. The tribunal did not make a separate redundancy payment order; it treated the redundancy finding as part of the unfair-dismissal analysis and awarded the basic awards on that footing. It also recorded that the Employment Protection (Recoupment of Benefit) Regulations 1996 did not apply to the unfair-dismissal awards.

All three claimants succeeded on wrongful dismissal, unlawful deduction from wages, and regulation 14 Working Time Regulations 1998 holiday pay claims. The tribunal awarded Miss Gallagher £866.76 gross notice pay, £4,847.81 net for unpaid wages and NEST deductions, and £769.25 gross holiday pay; Miss Denniss £2,210.75 gross notice pay, £8,236.51 net for unpaid wages and NEST deductions, and £1,569.63 gross holiday pay; and Miss Ahmad £114.80 gross notice pay, £1,976.40 gross for unlawful deductions, and £407.54 gross holiday pay. The tribunal declined any ACAS uplift.