Care home manager dismissed after breakdown in relationship with CEO: flawed process leads to £24,697 award
A registered care home manager with four years' service has won her unfair dismissal claim after a tribunal found her employer failed to establish a fair reason for dismissal. The tribunal awarded £24,697.76, including a 15% uplift for breaching the ACAS Code.
1 min read · Last updated 18 May 2026
Case details
- #covert-recording
- #acas-code-uplift
- #breakdown-in-relationship
- #flawed-investigation
- #pre-decided-dismissal
Key facts
- The claimant was employed as a Registered Care Home Manager from 24 January 2018 until 17 February 2022.
- The claimant's relationship with the CEO, Mrs Farrier-Twist, soured from around August 2021.
- The claimant was dismissed following a disciplinary hearing on 2 February 2022, with the decision made by Mr Novis based on a Peninsula consultant's recommendation.
- The claimant withdrew her appeal against dismissal on 20 April 2022, which the tribunal found to be a clear and unequivocal withdrawal.
- The tribunal found that the respondent did not establish a potentially fair reason for dismissal, and the principal reason was the breakdown in the relationship between the claimant and Mrs Farrier-Twist.
- The respondent breached the ACAS Code of Practice, leading to a 15% uplift on the compensatory award.
Timeline
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Employment start
Claimant began employment as Registered Care Home Manager.
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Meeting with Ms Rogers
Claimant informed Ms Rogers she would leave earlier; voices were raised.
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CQC complaint
Anonymous complaint to CQC about claimant's alleged discrimination.
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Grievance by Ms Rogers
Ms Rogers raised a grievance against the claimant.
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Fact-finding meeting
Claimant attended a fact-finding meeting without prior notice.
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Disciplinary invitation
Claimant invited to disciplinary hearing the next day.
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Covert recording
Claimant recorded conversation with CEO without consent.
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Rescheduled meeting
Meeting described as 'disciplinary investigation'; no further action taken.
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Suspension
Claimant suspended pending investigation.
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Disciplinary hearing
Hearing on six allegations of misconduct.
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Dismissal
Claimant dismissed for gross misconduct.
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Appeal lodged
Claimant appealed dismissal.
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Appeal hearing
Appeal hearing conducted by Peninsula consultant.
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Appeal withdrawn
Claimant withdrew appeal via email.
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Reinstatement offered
Respondent offered reinstatement with written warning, but claimant had already withdrawn appeal.
The legal issue
The tribunal had to decide whether the claimant was dismissed for a potentially fair reason (conduct) and whether the dismissal was fair. It also considered whether the respondent breached the ACAS Code of Practice on disciplinary and grievance procedures.
The outcome
The tribunal found that the claimant was unfairly dismissed and wrongfully dismissed. The respondent did not establish a potentially fair reason for dismissal; the principal reason was a breakdown in the relationship between the claimant and the CEO, Mrs Farrier-Twist. The disciplinary process was flawed: the investigation was inadequate, the decision was pre-determined, and the respondent breached the ACAS Code by failing to follow proper procedures.
Compensation:
- Basic award: £3,264
- Compensatory award: £21,433.76 (including a 15% uplift of £2,795.71 for ACAS Code breach)
- Total: £24,697.76
Lessons & takeaways
- Employers must ensure that disciplinary processes are not pre-determined; a genuine investigation and fair hearing are essential.
- A breakdown in personal relationships does not amount to a fair reason for dismissal; employers must focus on conduct or capability.
- Failure to follow the ACAS Code can result in a 15% uplift on compensation, significantly increasing the award.
- Withdrawing an appeal does not necessarily prejudice a claim for unfair dismissal, especially if the appeal process was also flawed.
What this case shows in practice
This case illustrates how a breakdown in a working relationship, if not handled properly, can lead to an unfair dismissal claim. The claimant, a registered care home manager with four years' service, had a close friendship with the CEO that soured in August 2021. When a junior employee raised a grievance, the respondent launched a disciplinary process that the tribunal found was fundamentally flawed. The decision to dismiss was made before the hearing, and the investigation was inadequate. The tribunal concluded that the real reason for dismissal was the breakdown in the relationship, not misconduct.
What the losing side could have done differently
Hastings & Rother Voluntary Association for the Blind could have avoided this outcome by conducting a proper investigation and ensuring the disciplinary process was fair. They should have separated the personal relationship from the professional issues and focused on whether the claimant's conduct genuinely warranted dismissal. Following the ACAS Code would have prevented the 15% uplift. Offering reinstatement after the appeal was withdrawn was too late; the damage was already done.
Why the result matters for similar claims
This decision reinforces that employers cannot use a breakdown in relationships as a cover for unfair dismissal. It also highlights the importance of following the ACAS Code; failure to do so can significantly increase compensation. For employees, it shows that even if you withdraw an appeal, you can still succeed in an unfair dismissal claim if the original process was flawed. The total award of £24,697.76 reflects the seriousness of the procedural failures.
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