Cases2305189/2021

Claimant v Pan Asia GB Ltd

17 November 2025Before Employment Judge MJ ReedLondon Southhybrid

Outcome

Partly successful£11,832

Individual claims

Unfair Dismissalsucceeded

The tribunal found serious procedural failings: Mr Kim's 25 March 2021 email containing threats of 'dirty tricks' and creating 'unbearable' situations fundamentally tainted the process; and the actual decision-makers (Mr and Mrs Chung) were not the persons who conducted the disciplinary hearing (Mr Ji and Ms Chung), yet Mr Joo was not informed who would decide and the Chungs received at best an oral summary. Both failings alone would render dismissal unfair.

Automatic Unfair Dismissalfailed

Although the tribunal accepted Mr Joo made protected disclosures in October 2020 and January 2021 reporting Director Kim's embezzlement, the reason for dismissal was unrelated to those disclosures. It was implausible that the Chungs would investigate and dismiss Director Kim then later punish the whistleblower. The actual reasons were Mr Joo's threats to report wrongdoing unless compensated, refusal to provide information, and ceasing to work.

Detrimentfailed

Multiple alleged detriments were found: not appointing Mr Joo as Director, Mr Kim's threatening email, suspension, and unfair disciplinary process. However, none were done on the ground of protected disclosures. The reorganisation was a legitimate response to Director Kim's dismissal; Mr Kim's email, suspension and disciplinary process all arose from Mr Joo's subsequent misconduct (threats and refusing to work), unconnected to his earlier whistleblowing. The promotion detriment was also out of time by over four months.

Wrongful Dismissalfailed

Although Mr Joo had 12 years service entitling him to 12 weeks statutory notice, the tribunal found his actions in threatening the respondent to improve his negotiating position and failing to perform his duties were sufficiently serious to amount to gross misconduct justifying summary dismissal without notice.

Breach of Contractfailed

The tribunal found no contractually binding agreement that Mr Joo would receive shares. Mr Chung's statement when Mr Joo joined was at best a general intention or expectation for the future if the business succeeded, not a specific enforceable promise. No written agreement existed and no witness suggested one did.

Unlawful Deduction from Wagessucceeded

The respondent accepted Mr Joo was entitled to accrued holiday pay on termination and had not paid it. The tribunal calculated the correct sum based on gross pay (not net as respondent argued), using a leave year starting 1 November (anniversary of employment start), resulting in an award of £4,487.79 for 308/365 of 28 days at £189.94 per day.

Facts

Mr Joo worked for Pan Asia GB Ltd as general manager for 12 years. In October 2020 he reported his superior Director Kim for embezzlement. Director Kim was dismissed in February 2021. Mr Joo expected to be promoted to Director but instead the company reorganised with Ms Oh taking day-to-day operational control. Mr Joo was bitterly disappointed, ceased carrying out his duties, and threatened to report the company to authorities unless paid £100,000 plus salary to year-end. He was suspended, investigated, and dismissed in September 2021 for misconduct.

Decision

The tribunal found the dismissal procedurally unfair due to: (1) Mr Kim's threatening email promising 'nasty tactics' which tainted the investigation; and (2) the actual decision-makers not conducting the disciplinary hearing and Mr Joo not being told who would decide. However, even with a fair process Mr Joo would have been dismissed (100% Polkey reduction), so only the basic award (reduced 25% for contributory fault to £7,344) was payable. Holiday pay of £4,487.79 was awarded. The whistleblowing detriment claims failed as the dismissal was unrelated to the protected disclosures.

Practical note

A dismissal can be substantively justified but procedurally unfair if the investigation is tainted by prior threats or if the actual decision-maker does not conduct the disciplinary hearing and the employee is not informed who will decide—yet such procedural unfairness may result in minimal compensation if a Polkey reduction of 100% applies because fair dismissal was inevitable.

Award breakdown

Basic award£7,344
Holiday pay£4,488

Award equivalent: 12.5 weeks' gross pay

Adjustments

Polkey reduction100%

Even with a fair process, Mr Joo would have been dismissed. Any fair investigation would have concluded Mr Joo committed serious misconduct (ceasing work and threatening employer) about which he was unrepentant. In those circumstances Mr Chung would have reached the same conclusion. There was no real likelihood the situation could have been deescalated. 100% Polkey reduction applied to compensatory award.

Contributory fault25%

25% reduction applied to basic award balancing two factors: Mr Joo had committed extremely serious misconduct (threats and refusal to work) which directly led to dismissal; but respondent had also behaved fundamentally unfairly. The tribunal also noted it would have applied 100% contributory fault to compensatory award if not already reduced to nil by Polkey.

Legal authorities cited

Cavendish Munro Professional Risks Management Ltd v Geduld [2010] ICR 325BHS v Burchell [1978] IRLR 379Iceland Frozen Foods v Jones [1983] ICR 17Polkey v A E Dayton Services Ltd [1988] ICR 142Kuzel v Roche Products Ltd [2008] ICR 799Newbound v Thames Water Utilities Ltd [2015] IRLR 734Hill v Governing Body Great Tey Primary School [2013] IRLR 274Software 2000 v Andrews [2007] IRLR 568Nelson v BBC (No.2) [1980] ICR 110Shamoon v Chief Constable of the Royal Ulster Constabulary [2003] ICR 337Dahou v Serco Ltd [2017] IRLR 81Palmer and Saunders v Southend-on-Sea Borough Council [1984] IRLR 119Neary v Dean of Westminster [1999] IRLR 288West London Mental Health NHS Trust v Chhabra [2014] IRLR 227Charalabous v National Bank of Greece [2023] EAT 75

Statutes

Employment Rights Act 1996 s.123(6)Working Time Regulations 1998 reg.13Working Time Regulations 1998 reg.14(2)Employment Rights Act 1996 s.43BEmployment Rights Act 1996 s.43CEmployment Rights Act 1996 s.47BEmployment Rights Act 1996 s.86Employment Rights Act 1996 s.98Employment Rights Act 1996 s.103AEmployment Rights Act 1996 s.118-126

Case details

Case number
2305189/2021
Decision date
17 November 2025
Hearing type
full merits
Hearing days
8
Classification
contested

Respondent

Sector
retail
Represented
Yes
Rep type
solicitor

Employment details

Role
General Manager
Salary band
£40,000–£50,000
Service
13 years

Claimant representation

Represented
No