Claimant v DWA Claims Limited
Outcome
Individual claims
Tribunal found the claimant resigned because the respondent would not pay what he thought he was worth, because of management changes, and because he was unhappy with the new commission structure. The tribunal found the respondent's conduct in relation to pay and commission was not unreasonable, but did find a wholesale failure to conduct a proper grievance procedure. However, the tribunal concluded the grievance failure played no part in the claimant's decision to resign, so the claim failed.
Claimant sought release from a non-compete clause. The tribunal ruled it had no jurisdiction to retrospectively draft and apply employment contract terms to avoid consequences of terms the claimant had negotiated and agreed.
Claim for unpaid commission was resolved by the time of the hearing and was not pursued.
Facts
Claimant worked as a business development manager for a credit hire company from November 2013 to March 2024. In October 2022 he requested a pay increase. The respondent reviewed pay and commission structures, ultimately offering an increase from £30,000 to £45,000 basic salary plus a revised commission structure. Claimant was dissatisfied, seeking £55,000. He complained by email in November 2023 about feeling discriminated against regarding pay. The respondent treated this as a formal grievance but conducted no proper procedure and provided no outcome. Claimant resigned on 1 February 2024 during his one-month notice period.
Decision
The tribunal found the claimant resigned because he was unhappy with his pay and commission, not because of any breach of the implied term of trust and confidence. Although the respondent wholesale failed to conduct a proper grievance procedure - which would normally constitute a serious breach - the tribunal found this failure played no part in the claimant's decision to resign. The constructive dismissal claim therefore failed. The tribunal also dismissed a claim seeking release from a non-compete clause, ruling it had no jurisdiction to retrospectively amend contractual terms the claimant had negotiated.
Practical note
Even an egregious breach of employment rights (such as wholesale failure to conduct a grievance procedure) will not support a constructive dismissal claim if the tribunal finds that breach was not in fact a reason for the employee's resignation.
Legal authorities cited
Statutes
Case details
- Case number
- 6005624/2024
- Decision date
- 20 June 2025
- Hearing type
- full merits
- Hearing days
- 2
- Classification
- contested
Respondent
- Sector
- financial services
- Represented
- Yes
- Rep type
- in house
Employment details
- Role
- Business Development Manager
- Salary band
- £40,000–£50,000
- Service
- 10 years
Claimant representation
- Represented
- Yes
- Rep type
- lay rep