Head of finance loses constructive dismissal claim after resignation over alleged lie
A head of finance who resigned after believing her manager had lied about instructing an external consultant to contact her has lost her constructive unfair dismissal claim. The tribunal found no breach of trust and confidence.
1 min read · Last updated 18 May 2026
Case details
- #constructive-dismissal
- #mutual-trust-and-confidence
- #last-straw
- #psychometric-testing
- #secondment-refused
- #resource-allocation
Key facts
- The claimant resigned on 4 February 2022 after her line manager allegedly lied about instructing an external consultant to continue contacting her.
- The claimant had previously expressed an intention to resign in June 2021 but did not do so.
- The claimant agreed to the removal of an 8B post and the addition of three new team members to her responsibilities.
- The respondent refused the claimant's request for a secondment in September 2021 due to business needs.
- The tribunal found that the line manager did not lie and that the claimant's assumption was unfounded.
- The tribunal concluded there was no breach of the implied term of mutual trust and confidence.
Timeline
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Claimant started work
Commenced work for North Central London CCG covering a sabbatical.
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Permanent role secured
Secured a permanent role as head of finance primary care (8C grade).
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Claimant sought time off
Claimant emailed line manager Ms Booker requesting a week off, citing feeling unable to cope.
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Claimant intimated resignation
Claimant emailed Ms Booker stating intention to resign with three months' notice.
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New team members added
Claimant took on management of three additional staff (two 8As and a band 7) with her consent.
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Secondment request
Claimant expressed interest in a nine-month secondment with NHSE.
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Secondment refused
Respondent refused the secondment request due to business needs.
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Meeting about consultant
Mr Browne told claimant she had no obligation to participate in psychometric testing.
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Resignation
Claimant resigned by email, alleging Mr Browne had lied about instructing the consultant to continue contact.
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Resignation confirmed
Claimant confirmed her resignation would stand after being encouraged to reflect.
The legal issue
The tribunal had to decide whether the respondent's actions—including removing a post, adding staff, refusing a secondment, and the alleged lie about the consultant—amounted to a breach of mutual trust and confidence, and whether the claimant was constructively dismissed.
The outcome
The tribunal dismissed the claim of constructive unfair dismissal.
The key reason was that the claimant's final straw allegation—that her line manager lied about instructing the consultant to continue contact—was not supported by the evidence. The tribunal accepted the manager's account that he did not ask the consultant to keep contacting the claimant.
No compensation was awarded as the claim failed.
Lessons & takeaways
- A constructive dismissal claim requires a fundamental breach of contract by the employer—the employee's perception alone is not enough.
- The 'last straw' must be a genuine act or omission by the employer, not a mistaken belief by the employee.
- Agreeing to changes in responsibilities or refusing a secondment for business reasons is unlikely to breach mutual trust and confidence if handled reasonably.
- If you intend to rely on a 'last straw', ensure you have clear evidence that the employer acted in bad faith or unreasonably.
When a resignation is not a dismissal
This case shows the difficulty of proving constructive dismissal when the final straw is based on a misunderstanding. The claimant, a head of finance with four years' service, resigned after believing her line manager had lied about instructing an external consultant to continue contacting her. The tribunal found that the manager did not lie, and the claimant's assumption was unfounded.
The tribunal examined several earlier events that the claimant said also damaged trust, including the removal of a team post, the addition of new staff, and a refused secondment. However, the tribunal noted that the claimant had agreed to these changes and that the secondment refusal was based on business needs. None of these, individually or together, amounted to a breach of the implied term of mutual trust and confidence.
What the employer did right
The respondent was able to show that its actions were reasonable and that the claimant's consent had been obtained where appropriate. The line manager gave clear evidence that he did not ask the consultant to continue contact, and the tribunal accepted this. The respondent also encouraged the claimant to reflect on her resignation, but she confirmed it would stand.
Why this matters for similar claims
For employees considering a constructive dismissal claim, this case is a reminder that the 'last straw' must be a genuine act by the employer—not a mistaken belief. It also highlights that earlier events, even if frustrating, may not amount to a breach if they were handled reasonably. The claimant represented herself, which may have made it harder to present the evidence effectively. Legal advice early on can help assess whether the facts support a claim.
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