Constructive dismissal after flawed grievance process: DHL manager wins unfair dismissal claim
A warehouse first line manager with three years' service at DHL Services Limited resigned after a flawed grievance process. The tribunal upheld his claim for constructive unfair dismissal.
1 min read · Last updated 19 May 2026
Case details
Key facts
- The claimant was employed as a warehouse first line manager from 7 May 2018 to 9 June 2021.
- The claimant had a disability (anxiety and depression) of which the respondent gained constructive knowledge on 22 March 2021 via an occupational health report.
- The claimant was suspended on 2 March 2021 pending investigation into alleged falsification of company documents.
- The claimant submitted a grievance on 15 April 2021, which was not upheld after a flawed investigation.
- The claimant resigned on 9 June 2021, the same day he received the grievance outcome letter.
- The tribunal found the respondent breached the implied term of trust and confidence due to multiple failings in the grievance process.
Timeline
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Start of second employment
Claimant started as a warehouse first line manager at DHL's Allington site.
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Raised concern about team size
Claimant first raised concern about managing 17 team members in a WhatsApp group.
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Error log incident
Claimant completed an error log indicating he had spoken to employees about errors, which he later admitted was a mistake.
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Suspension
Claimant was suspended pending investigation into alleged falsification of company documents.
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First disciplinary investigation meeting
Meeting held where allegation of falsifying error log was put to claimant.
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Sick leave begins
Claimant visited GP and was signed off sick with depression and work stress.
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Occupational health report
OH report indicated claimant had long-term anxiety and depression, giving respondent constructive knowledge of disability.
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Second grievance submitted
Claimant submitted grievance raising concerns about bullying, lack of one-to-ones, and disciplinary process.
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Reconvened disciplinary investigation
Claimant admitted mistake; investigator found a case to answer for falsification.
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Resignation
Claimant received grievance outcome letter dismissing his grievance and resigned with immediate effect.
The legal issue
The tribunal had to decide whether DHL's handling of the claimant's grievance and disciplinary process amounted to a fundamental breach of contract that justified his resignation.
The outcome
The tribunal upheld the claimant's claim for constructive unfair dismissal. However, his claims for failure to make reasonable adjustments, discriminatory constructive dismissal, and victimisation were not upheld.
The key reason was that DHL's flawed grievance process—including failing to properly investigate the claimant's complaints—destroyed the trust and confidence required in the employment relationship.
No compensation was awarded in this judgment; a separate remedy hearing will determine any damages.
Lessons & takeaways
- Employers must conduct thorough and impartial grievance investigations; a flawed process can amount to a fundamental breach of contract.
- Employees who resign in response to a serious breach of trust may have a valid constructive dismissal claim, even if other discrimination claims fail.
- A grievance outcome that ignores key issues raised by the employee can be enough to justify resignation.
A breakdown of trust
This case shows how a poorly handled grievance can unravel the employment relationship. The claimant, a warehouse first line manager with three years' service, was suspended in March 2021 over an allegation that he had falsified a company document. While suspended, he raised a grievance about bullying and the disciplinary process itself. DHL's investigation into his grievance was flawed: it failed to interview key witnesses or properly consider his concerns. When he received the outcome letter dismissing his grievance, he resigned the same day.
What DHL could have done differently
The tribunal found that DHL's failings in the grievance process were so serious that they destroyed the mutual trust and confidence between employer and employee. A more thorough investigation—one that genuinely engaged with the claimant's complaints—might have avoided this outcome. Employers should ensure that grievance investigations are independent, timely, and address all issues raised.
Why this matters
This case is a reminder that constructive dismissal claims can succeed even where other discrimination claims fail. The tribunal rejected the claimant's disability discrimination and victimisation claims, but still found that DHL's conduct was a fundamental breach of contract. For employees, it shows that a flawed internal process can be grounds for resigning and claiming unfair dismissal. For employers, it underscores the importance of getting grievance procedures right.
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