Employment Law Unfair Dismissal - Constructive Dismissal - Last Straw
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Employment Law: Unfair Dismissal - Constructive Dismissal and the 'Last Straw'
Summary
In the case of Bell v The Spirit Group Ltd [2005], the employment tribunal addressed a claim of unfair and constructive dismissal. The tribunal found that a series of actions by the employer collectively amounted to a repudiation of the employee's contract.
Case Overview
The employee, a manager at a national pub and restaurant chain, filed a complaint for unfair constructive dismissal. He claimed that his employer failed to support him over the course of a year. Specifically, he alleged:
- Harassment by senior managers regarding changes to his and his wife's contracts, resulting in a lower-paid joint contract.
- Bullying, with his initial grievances ignored.
- Continued bullying, even after parts of his grievance were upheld.
- A fundamental breach of the contract's implied term of mutual trust and confidence, leading to his resignation.
- An overall unfair dismissal given the circumstances.
The tribunal concluded that the employer's ongoing conduct substantially breached the implied trust and confidence inherent in the employee's contract, effectively causing his resignation. Thus, the claim for unfair constructive dismissal was upheld. An appeal by the employer to the Employment Appeal Tribunal (EAT) was subsequently dismissed.
EAT Findings
The EAT determined that:
- Constructive dismissal hinges on whether the employer's actions constitute a repudiatory breach of the implied term of mutual trust and confidence.
- Even a minor act can justify resignation if it is the 'last straw' in a series of incidents.
- In this instance, the employer did nothing to break the chain of misconduct.
- The employee's persistent complaints about the lack of support underscored the tribunal's conclusions, which stood firm.
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RT COOPERS, 2005. This Briefing Note is not exhaustive nor a complete legal statement on the issues discussed and is not intended as legal advice. Always seek specialist legal counsel for specific situations.
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