£58,000 awarded to former staff of company which ceased trading

Tribunal service. Picture: ROB CURRIE. (39045875)

A COMPANY which claims it is insolvent and has no assets has been ordered to pay former staff almost £58,000 in compensation by the Employment and Discrimination Tribunal.

Five ex-employees of Offshore International Advertising Ltd brought a series of claims relating to unpaid wages, unpaid holiday allowances and redundancy pay against the company after it ceased trading on 6 October last year.

In his judgment tribunal deputy chair Advocate Fraser Robertson said that the tribunal had received an email from the company’s owner and representative, Mr Welch, indicating that he would “not be participating in the tribunal, as from my side there is no point”.

The email added: “As previously explained, the company was placed into liquidation in October 2023 because of its insolvency. It is not trading and has no assets.”

However, the tribunal notified the parties that the hearing would go ahead in the absence of the respondent.

Meeting earlier this year, it made awards ranging from £4,275 to £20,120 to the five former employees who had worked for varying periods between 2011 and 2023.

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