Employer ordered to pay $28,000 after underpaying, and subsequently firing employee…

The Employment Relations Authority has ordered an employer to pay $28,000 after finding that the employer had underpaid the employee, and had fired her without following a proper process. The employee brought a personal grievance claim of unjustified dismissal to the Authority after being dismissed due to redundancy.

The employee worked for the employer for eight months, after which she was dismissed from her role. The employer did not offer her alternative employment options and did not consult with the employee. The Authority decided that this was not what a fair and reasonable employer would have done in the circumstance, and that the dismissal was therefore unjustified.

The employee also claimed that the employer had made changes to the employment agreement without consultation or agreement from the employee. These changes were to the hours she was required to work, and the payment’s she received for these hours worked. The Authority decided that this constituted an unjustified disadvantage by the employer.

The Authority ordered the employer to pay $10,900 in unpaid wages and holiday pay, $11,000 as compensation for the nine weeks of redundancy experienced by the employee, $2,500 as a penalty, and $3,750 in legal costs.

If there is confusion around the correct dismissal procedure, it is wise to seek advice from a professional with experience in the area.

Leading law firms committed to helping clients cost-effectively will have a range of fixed-price Initial Consultations to suit most people’s needs in quickly learning what their options are.  At Rainey Collins we have an experienced team who can answer your questions and put you on the right track.

Alan Knowsley