Buddy says:  Employees may be entitled to recover certain debts owed by insolvent employers from the Department for Business, Enterprise and Regulatory Reform (DBERR), via the Redundancy Payments Office (RPO).

The employee may obtain payment of certain debts, known as 'guaranteed debts' from the National Insurance Fund, via the Redundancy Payments Office (RPO) of the Secretary of State’s  Insolvency Service. This includes:

• Unpaid wages: up to 8 weeks’ arrears of pay (current maximum £2,640).
• Statutory notice pay: up to 12 weeks' pay (current maximum £3,960).
• Holiday pay: up to 6 weeks taken or accrued within the last 12 months.
• Basic award for unfair dismissal: (current maximum £9,900).
• Statutory redundancy payment:  (current maximum £9,900).

Employer information:  Where the outstanding wages etc are more than the entitlement set out above, the debt to the employee goes back into the pot with the other unsecured creditors. In that case, any outstanding wages in respect of a period of four months or £800, whichever is less will be treated as a preferred debt.

Employees should fill in the RP1 claim form and send it to the RPO that will deal with the claim, unless the insolvency practitioner dealing with the employer's insolvency directs that it be sent directly to them. In that case they will record details of the claim as part of the insolvency and then pass the claim forms to the RPO.

After the RPO has paid the money owed, it will take over the employee’s rights in the insolvency proceedings in relation to those debts.  Employees should claim any additional sums not recovered from the RPO from the independent insolvency practitioner or Official Receiver who is handling the employer's insolvency. 

Advice should be sought to find out exactly what you are owed and if you do indeed have a potential unfair dismissal claim.