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WRC awards Aidan Lynch €5,884.89 over unlawful pay cut

By Eimear Byrne

Historic decision · Decision date:

Place: no local area assigned from the source.

The Workplace Relations Commission directed Xs Direct Insurance Brokers Ltd to pay Aidan Lynch €5,884.89, less statutory deductions, after finding an unauthorised wage deduction. The decision was dated 4 May 2023.

Lynch, a senior claims handler, said the company cut his pay by 15% without his agreement. The reduction continued until his pay was restored in February 2022. He claimed losses for November 2021 to January 2022, including salary, pension contributions and a pro-rata bonus. The company was in receivership.

The receiver said the claims related to a period before its appointment and it would not take part in the hearing. The respondent did not attend; the WRC said it had been properly notified. The adjudicator found the cut was unilateral and that wages properly due had not been paid in full. The complaint was well founded, meaning the employer had breached the Payment of Wages Act by deducting wages without agreement. The WRC ordered payment of the claimed €5,884.89, less statutory deductions.

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