Cases3202875/2022

Claimant v CAREERVANTAGEUK Limited

2 July 2025Before Employment Judge John CrosfillLondon Eastremote video

Outcome

Claimant succeeds£86,038

Individual claims

Whistleblowingsucceeded

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.

Detrimentsucceeded

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.

Automatic Unfair Dismissalsucceeded

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

Basic award£554
Compensatory award£65,484
Injury to feelings£20,000
Pension loss£1,237

Vento band: middle

Legal authorities cited

Statutes

ERA 1996 s.43BERA 1996 s.103AERA 1996 s.47BERA 1996 s.49(1)(a)ERA 1996 s.94

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