NHS Employee wins £185,000 in a breach of contract claim regarding redundancy pay.
Where an employee is dismissed due to redundancy, the amount of payment is normally fixed under the Employment Rights Act 1996 at: £525 per year capped at 20 years.
In this case the employee had a contractual right to higher redundancy pay (1 month’s actual pay per year). Due to his length of service Mr O was entitled to £128,000. The issue was whether the employee had “unreasonably refused to accept…suitable alternative employment.”
The law looks at such offers objectively but “in relation to the employee” and his circumstances which include things like career trajectory, skills etc.
Mr O won the full amount plus interest of £12,632.99 and all his legal costs.
Read Mr O's testimonial for Gordon Turner Employment Laywers here.
