Losing your part-time or full-time job is a potentially life-changing experience and is undoubtedly stressful, especially if you think that dismissal was unjustified. You have a growing home business to support and you rely on the supplement income from your job to keep it going in the early stages. So, what constitutes ‘wrongful dismissal’ and what should you do if the unthinkable happens to you?
What Is Wrongful Dismissal?
Wrongful dismissal occurs when an employer terminates an employee’s employment whilst in breach of their contract of employment. A claim for breach of contract looks solely at the terms of the employment contract to establish if the employer has actually breached it.
One of the most common breaches is where the employer dismisses the member of staff without giving them the stated period of notice in the contract or the minimum statutory notice period. You must be given advance notice that your employment is to be terminated, as per the terms set out in your contract of employment. This cannot be less than one week for each week for every year of your service up to a maximum of 12 weeks, with a minimum of one week.
For a wrongful dismissal to be proven, you must have evidence that you were dismissed with less than the minimum statutory notice period and that you have incurred losses as a direct result, for example, the loss of income.
Note that your employer can justify dismissing you if you have committed gross misconduct or are seriously in breach of your employment contract, for example, if you engaged in violence, theft, or misuse of client data. However, if your employer fails to follow the correct disciplinary procedures, this can amount to wrongful dismissal.
If you are dismissed because of your political opinions, you automatically have the right to an employment tribunal.
What to Do Next
The best course of action is first to discuss the matter with your employer if possible. You may be able to come to an agreement and resolve the issue, without the need for third-party intervention.
It is also possible to get assistance from a third party to try to solve the problem through mediation, conciliation or arbitration. If you’re a member of a Trade Union, you can discuss the matter with your union representative.
If discussion between you and your employer fails to resolve the problem, you can go to an employment tribunal.
If you think that you have been wrongfully dismissed, you have three months from the date of termination of your employment to bring a claim for damages through an employment tribunal.
However, if your employer offers to pay you to work your notice period so that they can let you go immediately and you accept this offer, you will not be entitled to claim for wrongful dismissal. The payment would be construed as being made in lieu of your notice period and would, therefore, mean that your employer was not in breach of your contract.
If you are summarily dismissed without notice or any monetary offer in lieu of notice, and you do not consider that you have done anything to breach your contract, you may have a claim for wrongful dismissal.
Before lodging any claim for wrongful dismissal, you should alert ACAS. This action will effectively pause your employment tribunal time limit until ACAS contacts you to inform you that your claim has been completed.
If your claim for wrongful dismissal is likely to be for more than £25k, your claim should be brought through the courts, rather than via an employment tribunal. You have a window of six years to make a wrongful dismissal claim through the courts.
Seek Professional Guidance
Contractual law can be something of a minefield. Therefore, if you think you have been wrongfully dismissed, you should contact an experienced commercial solicitor to handle your claim for you and secure the best outcome.