Wrongful Dismissal Claims

Wrongful dismissal claims focus on breach of contract, not whether dismissal was fair. Understanding the claim helps you protect your rights.

What Is Wrongful Dismissal?

Basic Definition

Dismissal in breach of your employment contract:

• Dismissal without proper notice
• Breach of contractual terms
• Summary dismissal when not justified

Most Common Scenario

Employee dismissed immediately (no notice) when:

• There's no gross misconduct
• Or alleged gross misconduct wasn't actually gross
• Or proper process wasn't followed

Wrongful vs Unfair Dismissal

Key Differences

Aspect	Wrongful	Unfair
Legal basis	Contract	Statute
Focus	Notice/contract terms	Reason and process
Service needed	None	2 years
Compensation	Contract losses	Statutory formula + losses
Time limit	3 months (ET) or 6 years (court)	3 months less 1 day
Where to claim	Tribunal or court	Tribunal only

Can Claim Both

If you have 2 years' service:

• Can claim both wrongful and unfair dismissal
• Different compensation streams
• Same facts may support both
• Often claimed together

When Can You Claim?

Typical Situations

Scenario	Wrongful Dismissal?
Dismissed without notice (no gross misconduct)	Yes
Less notice than contract provides	Yes
Summary dismissal, misconduct not gross	Yes
Breach of contractual procedure	Possibly
Not paid during notice	Yes

No Qualifying Service Required

Unlike unfair dismissal:

• Can claim from day one
• No minimum service needed
• Contract rights apply immediately

Where to Bring Your Claim

Employment Tribunal

Aspect	Details
Compensation limit	£25,000
Time limit	3 months less 1 day
ACAS required	Yes
Costs	Usually none
Complexity	Simpler

County Court / High Court

Aspect	Details
Compensation limit	Unlimited
Time limit	6 years
ACAS required	No
Costs	Loser may pay
Complexity	More formal

Which to Choose?

Consider:

• Claim value: Over £25,000 = court
• Simplicity: Smaller claims = tribunal
• Time: Close to 3 months = tribunal (or court if past)
• Costs: Risk-averse = tribunal
• Combined claims: Unfair + wrongful = tribunal

Calculating Compensation

What You Can Claim

Loss	What's Included
Notice pay	Salary for notice period
Benefits	Value of benefits during notice
Pension	Contributions during notice
Bonus	If would have received during notice
Commission	If would have earned during notice

Example Calculation

Employee on £60,000/year, 3-month notice:

• Salary for 3 months: £15,000
• Benefits value: £500/month = £1,500
• Pension: 5% = £750
• Total claim: £17,250

Limitations

Unlike unfair dismissal:

• No basic award
• No compensation for manner of dismissal
• Only contractual losses
• Must mitigate (duty to seek new work)

The Claim Process

Before Filing

1. Calculate your losses
2. Check time limits
3. Decide tribunal or court
4. Contact ACAS (if tribunal)
5. Gather evidence

For Tribunal

1. Start ACAS early conciliation
2. Receive EC certificate
3. File ET1 claim form
4. Employer responds (ET3)
5. Case management
6. Hearing

For Court

1. Write letter before action
2. File claim (court fee applies)
3. Serve on defendant
4. Defendant files defence
5. Disclosure
6. Trial

Employer's Defence

Common Defences

Defence	Argument
Gross misconduct	Justified summary dismissal
Proper notice given	No breach occurred
Mitigation failure	You didn't seek new work
Contractual provisions	PILON clause used correctly

Proving Gross Misconduct

For employer to succeed:

• Must show conduct was genuinely gross
• Must show they reasonably believed it occurred
• Process failures don't necessarily help employee

Mitigation of Loss

Your Duty

You must:

• Take reasonable steps to find new work
• Not turn down reasonable opportunities
• Act reasonably in the circumstances

Effect on Compensation

Scenario	Effect
Found new job during notice period	Deduct new earnings
Should have found work, didn't	Reduce compensation
Genuinely tried, no success	Full compensation

Evidence Needed

For Your Claim

• Contract of employment
• Dismissal letter
• Evidence of earnings
• Payslips
• Benefit documentation
• Evidence of job search (mitigation)

To Challenge Gross Misconduct

• Investigation documents
• Hearing notes
• Evidence supporting your position
• Procedure failures

Time Limits

Tribunal

• 3 months less 1 day from EDT
• ACAS conciliation extends time
• Extensions very limited

Court

• 6 years from breach
• More flexibility
• But costs risk greater

Missing the Deadline

If past tribunal deadline:

• Consider court claim (if within 6 years)
• Court has longer limit
• But costs risk applies

Practical Considerations

Settlement

Consider settling if:

• Case has risks
• Want quick resolution
• Avoid stress of litigation
• Costs concerns

Legal Representation

Consider a lawyer if:

• High-value claim
• Complex issues
• Court proceedings
• Want professional support

Costs

Venue	Costs Position
Tribunal	Usually no costs
Court	Loser may pay (higher stakes)

Tips for Success

Preparation

1. Calculate claim accurately
2. Gather all documents
3. Understand legal arguments
4. Consider employer's defence
5. Plan for mitigation questions

During Proceedings

1. Meet all deadlines
2. Respond to requests promptly
3. Keep evidence organised
4. Be honest and consistent
5. Stay professional

Combined Claims

With Unfair Dismissal

If claiming both:

• Tribunal can hear both
• Avoid double recovery
• Wrongful covers notice
• Unfair covers broader losses

Strategic Considerations

Sometimes wrongful claim is:

• Your only option (under 2 years' service)
• Adds to unfair dismissal compensation
• Bargaining chip in settlement