Claimant v Secretary of State for Business and Trade
Outcome
Individual claims
The tribunal found that Fluttr Limited committed a fundamental breach of contract entitling the claimant to resign. The claimant did resign in response to that breach on 19 August 2021, constituting a constructive dismissal.
The tribunal determined that the employer Fluttr Limited was liable to pay the claimant notice pay for the period required by section 86(1) ERA 1996. The claimant had made a claim for three months notice pay.
The claimant made a claim for breach of contract relating to failure to pay notice pay. The tribunal found the employer committed a fundamental breach and was liable for notice pay under section 86(1) ERA 1996.
Facts
The claimant was employed by Fluttr Limited from 1 June 2021. After approximately two and a half months, her employer committed a fundamental breach of contract. In response to this breach, the claimant resigned on 19 August 2021. The claimant subsequently filed a tribunal claim on 13 December 2021 against the Secretary of State for Business and Trade for three months notice pay, breach of contract and failure to pay notice pay, following Fluttr Limited's apparent insolvency or inability to pay.
Decision
The tribunal found in favour of the claimant on all claims. It determined that Fluttr Limited committed a fundamental breach of contract entitling the claimant to resign, that the claimant was constructively dismissed with an effective termination date of 19 August 2021, and that the employer was liable to pay notice pay under section 86(1) Employment Rights Act 1996. The respondent Secretary of State did not attend the hearing.
Practical note
A claim against the Secretary of State for unpaid notice pay following constructive dismissal will succeed where the tribunal finds the employer committed a fundamental breach and the claimant resigned in response, even where the employer was only employing the claimant for a short period of two and a half months.
Legal authorities cited
Statutes
Case details
- Case number
- 2410777/2023
- Decision date
- 26 February 2025
- Hearing type
- full merits
- Hearing days
- 1
- Classification
- contested
Respondent
- Sector
- central government
- Represented
- No
Employment details
- Service
- 2 months
Claimant representation
- Represented
- No