Accounts manager with 22 years' service loses constructive dismissal claim after role changes during furlough
A tribunal has dismissed a constructive unfair dismissal claim brought by an accounts manager who resigned after her role was reduced during furlough and her grievance was handled informally.
1 min read · Last updated 18 May 2026
Case details
- #constructive-dismissal
- #furlough
- #job-role-changes
- #grievance-handling
- #email-access
- #covid-19
Key facts
- The claimant was employed as an Accounts Manager from 10 November 2008.
- The claimant was furloughed from 1 April to 22 April 2020 and from 10 June to 19 July 2020.
- During the claimant's furlough, another employee (Chloe Rowlerson) was trained in accounts duties.
- The claimant returned to work with reduced responsibilities and was asked to focus on clearing invoices.
- The claimant raised a formal grievance on 6 August 2020, which was investigated and responded to.
- The claimant resigned with immediate effect on 23 September 2020.
Timeline
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Employment started
Claimant began employment with Prestige Primeurs Ltd, later transferring to Le Marche Ltd via TUPE.
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TUPE transfer
Claimant's employment transferred to Le Marche Ltd.
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First COVID-19 lockdown
Government ordered lockdown, significantly impacting the respondent's business.
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Furlough started
Claimant placed on furlough reluctantly, from 1 April to 22 April 2020.
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Return to work
Claimant returned to work, tasked with invoicing (purchase ledger) until 9 July 2020.
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Second furlough period
Claimant furloughed again from 10 June to 19 July 2020.
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Return from furlough
Claimant returned to work and was told to focus on clearing invoices; other duties assigned to Chloe Rowlerson.
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Sales task suggestion
Claimant was suggested to assist with sales tasks if she ran out of accounts work.
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Letter with errors
Respondent sent a letter erroneously referring to a meeting on 1 July 2020 and stating the claimant's role had diminished.
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Grievance raised
Claimant raised a formal grievance with four complaints about her role changes and lack of consultation.
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Grievance meeting
Sarah Baker met with the claimant by telephone to discuss the grievance.
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Grievance outcome
Iain Furness provided the grievance outcome, explaining the changes were temporary and apologising for poor communication.
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Email access issue
Claimant was unable to access the accounts@ email account; she left work early.
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Resignation
Claimant resigned with immediate effect via email.
The legal issue
The tribunal had to decide whether the employer's conduct—including reducing the claimant's duties during furlough, training another employee in her tasks, and the handling of her grievance—breached the implied term of mutual trust and confidence, entitling her to resign and claim constructive dismissal.
The outcome
The tribunal dismissed the claim of unfair dismissal.
The key reasons were:
- The changes to the claimant's role were temporary and justified by the business impact of COVID-19.
- The respondent had a genuine need to train another employee during furlough to keep the business running.
- The grievance was investigated and responded to, even if not as formally as the claimant expected.
- The email access issue was a minor administrative matter, not a fundamental breach.
No compensation was awarded as the claim failed.
Lessons & takeaways
- Constructive dismissal requires a fundamental breach of contract—temporary changes during a crisis like COVID-19 may not meet that threshold.
- Employers should communicate clearly about temporary role changes and the reasons behind them to avoid misunderstandings.
- A grievance process that addresses complaints, even informally, can help defend against constructive dismissal claims.
- Employees considering resignation should ensure the breach is serious enough to justify leaving, and not resign prematurely.
When role changes during furlough don't amount to constructive dismissal
This case illustrates the high bar for constructive dismissal claims, particularly when an employer's actions are driven by a genuine business need during a crisis. The claimant, an accounts manager with 22 years' service, argued that being asked to focus on clearing invoices while another employee was trained in her duties, and the way her grievance was handled, fundamentally breached her contract.
However, the tribunal found that the changes were temporary and a reasonable response to the disruption caused by the COVID-19 pandemic. The employer had to keep the business afloat, and training another staff member during furlough was a practical step. The grievance was investigated and the claimant received an apology for poor communication, which the tribunal considered sufficient.
What the employer did right
Le Marche Limited avoided a finding of constructive dismissal by showing that the role changes were not permanent and were explained to the claimant. They also responded to her grievance, even if not as formally as she wanted. The tribunal noted that the email access issue was a minor glitch, not a deliberate act to undermine her.
What this means for similar claims
For employees, this case is a reminder that constructive dismissal is not about feeling undervalued or unhappy with changes—it requires a serious breach that goes to the root of the contract. Temporary adjustments during exceptional circumstances, like a pandemic, are unlikely to meet that standard if the employer communicates openly and addresses concerns. For employers, it shows that a fair process, even if informal, can be enough to defend a claim.
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