Cases2301772/2022

Claimant v Assist Security (Retail) Limited

20 January 2025Before Employment Judge CawthrayLondon Southremote video

Outcome

Claimant fails

Individual claims

Unfair Dismissalsucceeded

The tribunal found the dismissal procedurally unfair. The disciplinary process was flawed, including inadequate investigation, lack of impartiality, and the principal reason for dismissal (conduct) was not fairly established. However, a 100% Polkey reduction and 100% contributory conduct reduction were applied due to the claimants' blameworthy conduct including uplifting staff pay rates and receiving diverted payments.

Wrongful Dismissalfailed

The tribunal found that the claimants' conduct (uplifting Dior staff pay rates and receiving diverted payments via VLA Connect Ltd) amounted to a repudiatory breach of contract entitling the respondent to dismiss summarily without notice.

Direct Discrimination(race)failed

All allegations of race discrimination failed. The tribunal found no evidence that the First Claimant's race (or the Second Claimant's association with his race) was the reason for any of the alleged treatment. The reason for the adverse treatment was the respondent's belief that the claimants had been diverting money and planning to leave and divert business, not race.

Harassment(race)failed

The tribunal did not find that Mr. Hewitt said 'Antonio is black, no one will believe him.' The comment 'if Antonio thinks he is a gangster, I know some gangsters myself' was found to have been said but was not related to race and was said in jest in response to Mr. Zayik, not with the purpose or effect of violating dignity.

Unlawful Deduction from Wagesfailed

Three allegations were withdrawn. The remaining two failed: the First Claimant's claim for 10% commission was unspecified and unproven, and the Second Claimant's claim for £902.80 December wages was unsupported by evidence.

Breach of Contractfailed

The tribunal found no failure to provide written particulars as the claimants likely had contracts from their previous employer (Sursec) which transferred under TUPE. Even if not, exceptional circumstances (the claimants ran the business and could have issued themselves contracts) made an award unjust.

Facts

The claimants, a married couple, transferred to the respondent security company under TUPE in 2019 from their failed business. Their relationship with management deteriorated. The respondent discovered the claimants had been uplifting Dior staff pay rates and receiving diverted payments via a third-party company (VLA Connect Ltd). The claimants were suspended, subjected to a disciplinary process, and dismissed for gross misconduct in January 2022. They brought claims of unfair dismissal, wrongful dismissal, race discrimination, harassment, and unlawful deductions.

Decision

The tribunal found the dismissals procedurally unfair but applied 100% Polkey and contributory conduct reductions, resulting in zero compensation. The wrongful dismissal claims failed as the claimants' conduct amounted to repudiatory breach. All race discrimination and harassment allegations failed; the tribunal found the treatment was due to the respondent's belief the claimants were diverting money and planning to leave, not race.

Practical note

Even where dismissal is procedurally unfair, tribunals can reduce awards to zero where there is a 100% chance of fair dismissal and 100% contributory fault, particularly in cases involving financial misconduct by senior employees with fiduciary-like responsibilities.

Adjustments

Polkey reduction100%

100% chance that the claimants would have been fairly dismissed in any event due to their conduct (uplifting staff rates and receiving diverted payments)

Contributory fault100%

The claimants caused or contributed to their dismissal by blameworthy conduct. Just and equitable to reduce compensatory award by 100% and basic award by 100%.

Legal authorities cited

BHS v Burchell [1978]Polkey v A E Dayton Services Ltd [1988] ICR 142

Statutes

EqA 2010 s.13TUPE 2006EqA 2010 s.26ERA 1996 s.98

Case details

Case number
2301772/2022
Decision date
20 January 2025
Hearing type
full merits
Hearing days
6
Classification
contested

Respondent

Sector
professional services
Represented
Yes
Rep type
barrister

Employment details

Role
Managing Director (Mr. Correa), General Manager (Ms. Suurkivi)
Salary band
£60,000–£80,000
Service
3 years

Claimant representation

Represented
Yes
Rep type
barrister