Kelly v Fylde Community Link Ltd: EAT 5 Mar 2013

EAT Unfair Dismissal : Procedural Fairness/Automatically Unfair Dismissal
Unfair Dismissal (UD) claim. Claimant dismissed for refusal to accept a 4 per cent pay cut which had been accepted by all other staff of the not-for-profit employer. Claimant had earlier brought a claim for unlawful deduction of the 4 per cent which the employer had compromised by paying the shortfall. Dismissal to avoid continuing liability for unauthorised deduction. New contract offered on the reduced rate. Claimant rejects that offer and brings UD claim alleging: (1) automatic UD because dismissal was for bringing unlawful deduction claim, and/or (2) ordinary UD because dismissal unfair – many other ways open to employer to reduce expenditure other than staff pay cuts.
Employment Tribunal rejects claim but does not explain why. No mention at all of auto UD claim or s104 ERA 1996. No mention of reasons for rejecting case based on other ways of saving money. ET simply thought it ‘fair’ to dismiss because all other staff had accepted the cut. Clear reasons challenge. Remit to another ET.


Luba QC


[2013] UKEAT 0444 – 12 – 0503




England and Wales


Updated: 17 November 2022; Ref: scu.472850