Company insolvency/redundancy office

[southofequator]

Has snyone ever made an application to the redundancy office following winning your case at an employment tribunal because your ex company is going through the insolvency process?

My question is what do they pay out on?

I have an injury to feelings award
Loss of earnings award

Do they pay these?

You cannot make a claim at all if the employer is still going through the insolvency process - the debt still lies with the insolvency practitoner and should be dealt with as part of the overall insolvency.

You would definitely not get any injury to feelings award paid - the service is specific to a set series of payments which are primarily of the unpaid earnings type / protective award. Loss of earnings I think would depend on exactly what that consists of, but broadly I think not - unless that was money which you had actually worked for and had not been paid, which I assume it is not.

If the company is in a formal insolvency process (liquidation, administration or bankruptcy) your tribunal award is a debt in the insolvency. I think you'd be a preferential creditor ie paid first if there are funds but it's been a while since I dealt with this kind of situation. If there is no money after the assets have been sold and the insolvency fees paid I'm afraid you're not going to get anything. Likewise if the company just stops trading, highly unlikely you'd get anything.

If there was a redundancy element (not loss of earnings) you may be able to claim some of Ifrom the redundancy payments service.

Unfortunately I have come across companies closed down by their directors in order to avoid paying out a tribunal award.

www.citizensadvice.org.uk/cymraeg/Gwaith/employment-tribunals/employment-tribunals/the-tribunal-hearing/check-what-happens-if-you-win-your-employment-tribunal-case/

www.citizensadvice.org.uk/work/pay/getting-paid-if-your-employer-goes-out-of-business-or-disappears/

If the company is in a formal insolvency process (liquidation, administration or bankruptcy) your tribunal award is a debt in the insolvency. I think you'd be a preferential creditor ie paid first if there are funds but it's been a while since I dealt with this kind of situation.

Only a protective award, which is not the case here, is a preferential creditor. Assuming nothing else in the award is "monies due" - wages, a redundancy payment - then the tribunal award is only an unsecured debt.