EAT Unfair Dismissal : Reason for Dismissal Including Substantial Other Reason – The employer decided that it could no longer afford to pay for the Claimant’s post as Business Development Director, and that it would cease to provide most of the services provided by the business development services and performed by the Claimant. The Employment Tribunal found that the dismissal of the Claimant was not by reason of redundancy but for ‘financial reasons’. The Employment Tribunal was in error because, on its findings. the Claimant was dismissed because the Respondent’s requirement for the performance of business development services carried out by the Claimant had ceased or diminished, or was expected to cease or diminish; see S139(1)(b) (i) ERA 1996. The fact that the decision to terminate the Claimant’s post for financial reasons supported the Respondent’s case that her dismissal was by reason of redundancy.
The rationale behind many redundancies is financial. The dismissal was however unfair by reason of the unfair procedure adopted by the Respondent.
Judge Serota QC
[2014] UKEAT 0603 – 12 – 2201
Bailii
England and Wales
Employment
Updated: 29 November 2021; Ref: scu.520736