Claimant v The Sofa and Chair Company (in voluntary liquidation)
Outcome
Individual claims
The respondent failed to establish a potentially fair reason for dismissal. The claimant was performing well (85% of target) and had never received any warnings. The dismissal was procedurally unfair as it came without notice and the employer had a pre-determined outcome with a dismissal letter prepared before the meeting. The respondent also failed to follow the ACAS Code.
Facts
Kanwaljit Bal worked as a sales executive for The Sofa and Chair Company from July 2021 to November 2024. She consistently performed well and was meeting around 85% of her sales target when she was dismissed on 28 November 2024. The dismissal came without warning - she had never received any verbal or written warnings. The company entered voluntary liquidation shortly after dismissing her. At what was described as a performance discussion meeting, the employer had already prepared a dismissal letter, showing a pre-determined outcome.
Decision
The tribunal found the dismissal was both substantively and procedurally unfair. The respondent failed to establish a potentially fair reason for dismissal given the claimant's good performance record. The dismissal was procedurally flawed as it came without any prior warnings and the outcome was predetermined. The respondent also failed to follow the ACAS Code. A basic award of £3,235.50 was ordered, payable from the National Insurance Fund due to the respondent's insolvency.
Practical note
Where an employer dismisses an employee without any prior warnings, with a pre-determined outcome, and fails to follow ACAS Code procedures, the dismissal will be both substantively and procedurally unfair even if the company is in financial difficulty.
Award breakdown
Legal authorities cited
Statutes
Case details
- Case number
- 6005904/2025
- Decision date
- 27 November 2025
- Hearing type
- full merits
- Hearing days
- 1
- Classification
- contested
Respondent
- Sector
- retail
- Represented
- No
Employment details
- Role
- sales executive
- Service
- 3 years
Claimant representation
- Represented
- Yes
- Rep type
- lay rep