Unfair dismissal is one of the most common claims brought by employees in the Employment Tribunal (ET). It is therefore crucial that employers take care to follow a fair process when deciding whether to dismiss an employee.
An employee who has two years of continuous service will have the right to bring a claim for ordinary unfair dismissal. As a reminder, there are also limited circumstances whereby an employee may have the right to bring a claim for automatic unfair dismissal, and there is no qualifying service for this claim.
There are five potentially fair reasons for dismissal:
- conduct
- capability
- redundancy
- statutory restriction
- some other substantial reason.
However, just citing one of the reasons above and dismissing an employee is not enough to avoid a successful claim for unfair dismissal. Employers must follow a full and fair process when dismissing an employee.
The length and nature of the process will depend on the reason for the potential dismissal. Employers should also consult the policies and procedures they have in place, for example, disciplinary or poor performance and must always take into account the ACAS guidance.
If an employee is successful in a claim for Unfair Dismissal, the ET may award the employee either:
- Reinstatement – where the employee must return to work as if the dismissal had never occurred;
- Re-engagement – where an employee returns to work in a role that is comparable or in other suitable employment
- Compensation – in most cases, employees will request that the remedy be compensation. This may consist of a basic award (calculated the same as statutory redundancy pay) and a compensation award (this will usually be equivalent to the employees’ reasonable loss of earnings).
Following a fair process when dismissing an employee not only encourages a relationship of trust and confidence amongst staff but also can reduce the risk of a successful claim for unfair dismissal.
We can help assist in implementing procedures to follow when something goes wrong with an employee.
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For more information on unfair dismissal, please do not hesitate to contact our specialist team by filling out our online enquiry form or by calling 0333 222 0989.