Unpaid wages that will likely run into hundreds of thousands of pounds have been awarded to 127 members of staff made redundant last year by Dundee-based food retailer McLeish Brothers.
An employment tribunal judged the company had acted in breach of its obligations in terms of section 188 and section 188A of the Trade Union and Labour Relations (Consolidation) Act 1992.
The company was not present or represented at the tribunal hearing and judge Mr Ian McFatridge found the respondent should pay a protective award of 90 days pay to staff who were employed by the company across Scotland when it went into administration in January last year.
A total of 23 former staff had taken their case to the tribunal and were represented by Michael Gazeley, who had been employed by McLeish Brothers for 32 years before the company’s collapse.
Seven of the chain’s former stores were saved, including the shop in Castle Street, Dundee.
During the course of the morning of January 12, representatives from the administrators visited each shop and told staff they were being made redundant with immediate effect.
Following their dismissal, all staff received a packet from the administrators advising them they should apply to the insolvency service for arrears of pay together with any redundancy pay they might be due.
However, the pack made no mention of applying for a protective award.
Last year a number of staff who worked at the Broughty Ferry shop successfully applied to the tribunal for a protective award on the basis of lack of consultation.