Shanahan’s Closure: Staff Owed €35K | Irish Times
Shanahan’s Restaurant Closure Leaves Staff Out of Pocket – WRC Awards Total Over €35,000
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The sudden closure of Shanahan’s restaurant last October has left a trail of unpaid wages and holiday pay, with the Workplace Relations commission (WRC) issuing awards totaling over €35,000 to former staff. The restaurant, a local establishment nearing its 25th anniversary, ceased trading abruptly, leaving employees blindsided and seeking redress.
Unpaid Wages and Statutory Notice Claims
Several former employees have successfully pursued claims against JMS International Holdings,the restaurant’s parent company,for breaches of the Payment of Wages Act 1991 and failure to provide statutory notice of termination. Notably, the restaurant’s management has not attended any of the WRC hearings to date.
Individual Cases Highlight Financial Hardship
Mr. Byrne: WRC adjudication officer Conor Stokes found the restaurant failed to pay Mr. Byrne €360 for three dinner shifts worked, along with €74.80 in service charges and €47.63 in tips, resulting in a total award of €684.93.
Luke Carragher: Awarded €3,300 for unpaid wages and accrued holiday pay.
Paul Harte: A Shanahan’s employee as 2006, Mr.Harte received €9,855, encompassing one week’s gross pay and eight weeks’ notice. Angelo Lamberti: The assistant manager, earning €1,200 weekly including tips, was awarded €5,280 for unpaid notice, wages, and holiday entitlements.
Piotr Fraszczyk: The chef secured a €5,950 award.
Kathleen Friel: The book-keeper won €9,855 based on the same criteria as Mr. Harte.
* Gheorge Danescu: A chef with 19 years of service, Mr. Danescu’s case was heard last month, with a decision pending. WRC adjudicator Penelope McGrath acknowledged the challenging circumstances, noting the owner’s abrupt departure and lack of communication.
Owner’s Description and Limited Recourse for Staff
The owner, in an email presented to the WRC, cited a Revenue freeze on the restaurant’s bank accounts and stated his intention to return to the United States to seek funding. This explanation offered little comfort to staff left without income or clarity regarding their entitlements.
Adjudicator Penelope McGrath informed Mr. Danescu’s wife,who inquired about payment,that while the restaurant itself is unlikely to fulfill the awards,some funds might potentially be recoverable through the social insurance fund. She advised employees to consult with colleagues and seek independent legal advice, acknowledging that “it’s not without hope.” The Department of Social Protection is aware of the respondent’s status.
Long-Term employees Left Vulnerable
The closure has especially impacted long-serving employees. Five workers have already secured orders for statutory notice, recognizing their decade-plus commitment to the restaurant.The emotional toll was evident in Mr. Danescu’s testimony, describing his colleagues as “like a family.” Ms. McGrath acknowledged the owner had a good rapport with staff but ultimately “left you in the lurch.”
The total awards made against JMS International Holdings by the WRC currently stand at €34,992.93, representing a important financial loss for the affected employees and highlighting the vulnerability of workers when faced with sudden business closures. Further updates will be provided as the WRC’s decision on Mr. Danescu’s case is published.
