Mostyn v S and P Casuals Ltd: EAT 22 Feb 2018

CONTRACT OF EMPLOYMENT – Wrongful dismissal
UNFAIR DISMISSAL – Constructive dismissal
UNFAIR DISMISSAL – Reasonableness of dismissal
The EAT allowed the appeal of the Claimant against a Judgment of the ET dismissing, among other claims, his claim for constructive unfair dismissal. The Claimant had relied on a threat unilaterally to impose a substantial cut in his basic pay (before commission) as a breach of the implied term of trust and confidence. The ET held that the Claimant resigned because of the breach and that the breach was a breach of the implied term, but that the Respondent had reasonable and probable cause for imposing the pay cut. The EAT held that, given that the breach relied on was a significant breach of an important express term (as well as a pleaded breach of the implied term) the ET had erred in law in asking itself whether the employer had reasonable and probable cause for repudiating the contract of employment. It also held that the ET’s conditional decision that any dismissal was unfair could not stand. The case was remitted to a different ET for it to consider whether or not the Claimant was unfairly dismissed.

Judges:

Elisabeth Laing DBE HHJ

Citations:

[2018] UKEAT 0158 – 17 – 2202

Links:

Bailii

Jurisdiction:

England and Wales

Employment

Updated: 13 April 2022; Ref: scu.609158