Labour Research September 2018

Law Matters

Unpaid tribunal awards


Last year, nearly £400,000 of employment tribunal awards were not paid due to employers becoming insolvent, People Management reports, further to a freedom of information request it made to the Department of Business, Energy and Industrial Strategy.


The magazine speculates that these figures might be evidence of a practice known as “phoenixing”, where insolvency is used as a deliberate device to avoid payment of tribunal awards, with the insolvent business then re-forming as a new company.

https://www.peoplemanagement.co.uk/news/articles/over-390000-tribunal-awards-unpaid-last-year-insolvancy