Claimant v Multiliving Ltd — 2021

Maja Dimova-Handley was employed by Multiliving Limited as a designer from 25 June 2018 and was dismissed on 27 May 2020. The tribunal identified the central issue as the effective date of termination, because the claimant argued that her contractual notice period pushed the termination date to 27 June 2020 and therefore increased the holiday entitlement said to remain outstanding.

The tribunal found that the claimant’s contract entitled her, after probation, to one month’s written notice, and that the termination letter of 27 May 2020 stated that her employment was terminated with immediate effect and that a payment in lieu of notice would be made. An email sent on 28 May 2020 referred to a statutory notice period, but the tribunal found that this was an error and did not change the fact that the contract had already ended the day before.

Applying Adams v GKN Sankey Ltd, the tribunal treated the case as a Scenario 2 dismissal: immediate termination with payment in lieu of notice, so the effective date of termination was 27 May 2020 rather than the date the notional notice would have expired. On that basis, the claimant’s argument that holiday entitlement continued to accrue until 27 June 2020 was rejected.

The tribunal also noted the holiday records showing 11.35 days accrued, 11 days used, and a payment in the final itemised pay statement for 0.35 days holiday outstanding. It held that the claim for unauthorised deduction from wages in respect of holiday entitlement accrued and outstanding at termination was not well founded and dismissed the claim in its entirety.