EAT The EAT upheld an industrial tribunal’s finding that by unilaterally varying the employee’s job description the employer was in fundamental breach of contract, entitling the employee to resign in accordance with the Sharp contract test. However, in dismissing the employee’s appeal the Tribunal also upheld the industrial tribunal’s further findings that the employer had shown (a) some other substantial reason for dismissal and (b) that the (constructive) dismissal for that reason was fair in accordance with section 57(3) EPCA 1978.
Slynn J observed: ‘It is perfectly plain on the decision of the Court of Appeal in Hollister which is followed by this Tribunal in Bowater Containers Ltd v McCormack [1980] IRLR 50 that a re-organisation or re-structuring of a business may well be a reason which falls within section 57(1)(b) [the statutory predecessor of what is now section 98(1)]. Indeed, it may be that, if, to quote from the Court of Appeal Judgment, ‘a sound good business reason is shown,’ this may constitute ‘a substantial reason’ within the meaning of the section, even if the alternative to taking the course they propose is not that the business may come to a standstill, but is merely that there would be some serious effect upon the business.’
Judges:
Slynn P
Citations:
[1980] IRLR 297
Statutes:
Employment Protection (Consolidation) Act 1978 57(3)
Cited by:
Cited – Bournemouth University Higher Education Corp v Buckland EAT 8-May-2009
EAT UNFAIR DISMISSAL: Constructive dismissal
Whether fundamental breach of implied term of trust and confidence cured, so that the Claimant’s resignation did not amount to constructive dismissal.
Applied – Savoia v Chiltern Herb Farms Ltd CA 1982
The employee submitted that a constructive dismissal cannot be fair.
Held: The submission failed. Waller LJ said: ‘He has cited to us a number of authorities, nearly all of which are against him but which he says are wrong.’ In considering . .
Lists of cited by and citing cases may be incomplete.
Employment
Updated: 11 May 2022; Ref: scu.377343
