Carer dismissed after raising concerns about family finances: unfair dismissal win
A tribunal found that a carer for his brother was unfairly dismissed after he raised concerns about how family finances were being managed, awarding over £7,000 in compensation.
1 min read · Last updated 18 May 2026
Case details
- #family-employment
- #carer-role
- #acas-code-uplift
- #no-procedure
- #wrongful-dismissal
Key facts
- The claimant was employed as a carer for his brother NEA, who has mental health conditions.
- The claimant raised concerns about management of family finances in late 2018, causing tension.
- The respondent dismissed the claimant without notice, effective 30 August 2019.
- The claimant was not informed of his dismissal until 11 September 2019.
- The tribunal found the real reason for dismissal was the financial dispute, not misconduct or capability.
- The respondent failed to follow any disciplinary procedure or the ACAS Code.
Timeline
-
Employment started
Claimant began working as a carer for his brother NEA.
-
Contract signed
Formal contract of employment signed between claimant and respondent.
-
Financial concerns raised
Claimant first raised issues about financial arrangements for NEA and FM.
-
Telephone call
Claimant called respondent from airport; respondent claims she dismissed him, but tribunal found no clear notice given.
-
Payroll notified
Respondent emailed payroll company stating claimant's end of service would be 30 August 2019.
-
Effective dismissal date
Respondent considered claimant dismissed from this date.
-
Claimant learned of dismissal
Claimant discovered he was no longer employed when another carer had picked up NEA.
-
Claim presented
Claimant brought claims of unfair dismissal and breach of contract.
-
Preliminary hearing
Employment Judge Klimov found respondent was the correct employer.
-
Final hearing day 1
Substantive hearing commenced via video.
-
Final hearing day 2 and judgment
Tribunal found unfair dismissal and breach of contract; awarded compensation.
The legal issue
The tribunal had to decide whether the claimant was unfairly dismissed and wrongfully dismissed, and if so, what compensation was due.
The outcome
The tribunal found that the claimant was unfairly dismissed and wrongfully dismissed. The employer dismissed the claimant without notice, effective 30 August 2019, but the claimant was not informed until 11 September 2019. The tribunal concluded that the real reason for dismissal was the financial dispute, not misconduct or capability, and that the employer failed to follow any disciplinary procedure or the ACAS Code.
Compensation:
- Basic award: £3,046.14
- Compensatory award: £3,979.55
- Total: £7,025.69
Lessons & takeaways
- Employers must follow a fair disciplinary procedure, even in family employment relationships.
- Raising legitimate concerns about finances should not be a reason for dismissal.
- Failing to follow the ACAS Code of Practice can lead to increased compensation awards.
- Employees should be informed of dismissal promptly and in writing.
- A dispute over family finances does not justify summary dismissal without notice.
This case highlights the risks of informal employment arrangements within families, particularly where personal disputes spill over into the workplace. The claimant, who had worked as a carer for his brother for five years, was dismissed after he raised concerns about how family finances were being managed. The employer, Mrs. Naima El-Alaoui, did not follow any formal disciplinary process and simply decided to end the employment, effective from 30 August 2019, but did not tell the claimant until 11 September 2019.
What went wrong
The tribunal found that the real reason for dismissal was the financial dispute, not any misconduct or capability issue. The employer had no evidence of poor performance or wrongdoing, and the dismissal was a direct response to the claimant's concerns. By failing to follow any procedure or the ACAS Code, the employer left herself exposed to a finding of unfair dismissal. The tribunal also noted that the claimant was not given notice or pay in lieu, making the dismissal wrongful.
Why this matters
For employees in similar caring roles, this case is a reminder that even where family relationships are involved, employment rights still apply. Employers cannot simply dismiss someone because of a personal disagreement, especially without following a fair process. The award of over £7,000 reflects the basic and compensatory awards, with no reduction for contributory fault or Polkey. The case also shows that tribunals will scrutinise the real reason behind a dismissal, even if the employer tries to frame it as something else.
Similar cases
Dismissed without notice and discriminated against: a double blow for a former employee
A former employee was unfairly dismissed, wrongfully dismissed without notice, and discriminated against on grounds of sex. The tribunal awarded £16,208.68, including an uplift for the employer's failure to follow the ACAS code.
Dismissed after raising health and safety concerns: a partial win for the employee
A former employee of Ian Henery Solicitors Ltd was initially found to be unfairly dismissed for raising health and safety concerns, but the unfair dismissal judgment was later revoked. The tribunal confirmed wrongful dismissal and awarded £3,336 in total.
Unfair dismissal and unpaid wages: former employee awarded £12,503
A former employee has been awarded £12,503 after an employment tribunal found she was unfairly dismissed, not given notice, and had wages unlawfully deducted by RR Swami Ltd.
Cleaner with 7 years' service dismissed without any redundancy process: bowling club found liable
A cleaner was unfairly dismissed when a bowling club committee decided to let her go without notice or any redundancy procedure. The tribunal awarded £7,252 in compensation, including an ACAS uplift for failing to follow the statutory code.