a chairman (now employment judge) plus one lay member can constitute a valid tribunal but only if all parties consent - however if a respondent has not even entered an appearance he does not count as a "party" to the proceedings so if he fails to show up at a tribunal hearing his consent is not needed for the tribunal to go ahead with just a chairman (employment judge) and one lay member.
For relevant general notes see Employment Tribunals/employment judge sitting with one lay member and Employment Tribunals/constitution and history of .