Claimant v CAREERVANTAGEUK Limited
Outcome
Individual claims
The tribunal found that the claimant's email of 4 October 2021 and subsequent emails amounted to qualifying and protected disclosures under Section 43B ERA 1996, as they disclosed information about misuse of the furlough scheme (employees working full-time while 80% furlough payments were claimed), which the claimant reasonably believed showed breach of legal obligation and/or criminal offence, and was in the public interest. The disclosures were made to the employer.
The tribunal found that the claimant had been subjected to the detriments set out in his ET1 and witness statement, and that this treatment was on the ground that he had made protected disclosures contrary to Section 47B ERA 1996. The respondent failed to appear or provide evidence to contest this.
The tribunal found that the principal reason for the claimant's dismissal was that he had made protected disclosures, rendering the dismissal automatically unfair under Section 103A ERA 1996. The respondent did not attend to provide any alternative explanation for the dismissal.
Facts
The claimant reported to his employer via email on 4 October 2021 and in subsequent emails that employees were working full-time while the respondent was claiming furlough payments for 80% of their remuneration, constituting misuse of the government furlough scheme. The claimant was subsequently subjected to detriments and dismissed on 3 January 2021 (likely 2022 based on timeline). The respondent entered voluntary liquidation and did not attend the hearing or submit any evidence.
Decision
The tribunal found the claimant's disclosures about furlough fraud were protected disclosures under whistleblowing legislation. The dismissal was automatically unfair as the principal reason was the protected disclosures. The claimant was awarded compensation totalling £86,038.27 including basic and compensatory awards (grossed up for tax) and £20,000 injury to feelings for pre-dismissal detriments.
Practical note
Reporting employer fraud of government schemes like furlough constitutes protected whistleblowing, and dismissal for such reporting is automatically unfair with awards subject to grossing up for higher rate taxpayers.
Award breakdown
Vento band: middle
Legal authorities cited
Statutes
Case details
- Case number
- 3202875/2022
- Decision date
- 2 July 2025
- Hearing type
- default judgment
- Hearing days
- 1
- Classification
- default
Respondent
- Sector
- professional services
- Represented
- No
Employment details
- Service
- 1 years
Claimant representation
- Represented
- Yes
- Rep type
- solicitor