Dismissed without notice: ACAS code breach leads to £31,000 settlement
A former employee of Reclamet Ltd settled their unfair dismissal claim for £31,000 after the tribunal found the company breached the ACAS Code of Practice and dismissed without notice.
1 min read · Last updated 18 May 2026
Key facts
- The claimant was employed by Reclamet Ltd.
- The respondent dismissed the claimant without notice.
- The respondent unreasonably failed to comply with the ACAS Code of Practice.
- The parties reached a settlement of £31,000 for the unfair dismissal claim.
Timeline
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Initial judgment on withdrawal of redundancy claim
Employment Judge Braganza KC dismissed the redundancy payment claim on withdrawal and allowed other claims to proceed.
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First day of substantive hearing
Hearing on liability for unfair dismissal and breach of contract.
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Second day of substantive hearing
Hearing concluded; judgment given orally that unfair dismissal was well-founded and ACAS uplift of 10% applied.
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Written judgment on liability
Employment Judge Krepski issued written judgment confirming unfair dismissal and breach of contract.
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Remedy hearing
Hearing to decide remedy; parties reached settlement.
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Consent judgment
Judgment by consent: respondent to pay £31,000 in full and final settlement.
The legal issue
The tribunal had to decide whether the employee was unfairly dismissed and whether the employer breached contract by dismissing without notice, and whether an uplift for non-compliance with the ACAS Code was warranted.
The outcome
The tribunal found the dismissal unfair and a breach of contract. The respondent unreasonably failed to comply with the ACAS Code of Practice, leading to a 10% uplift. The parties settled for £31,000 before the remedy hearing.
- Total settlement: £31,000 (full and final settlement of all claims)
Lessons & takeaways
- Dismissing an employee without notice is a breach of contract and will likely make a dismissal unfair.
- Failing to follow the ACAS Code of Practice can increase compensation by up to 25%.
- Settling before a remedy hearing can save costs but may mean accepting a lump sum rather than a detailed breakdown.
- Lay representation can be effective, but having legal advice may help in negotiating settlements.
What this case shows
This case demonstrates the risks employers take when they dismiss an employee without notice and without following proper procedures. The former employee was dismissed abruptly, with no notice pay and no regard for the ACAS Code of Practice. The tribunal found the dismissal unfair and a breach of contract, and applied a 10% uplift for the employer's unreasonable failure to comply with the Code.
What the employer could have done differently
Reclamet Ltd could have avoided the finding of unfair dismissal by providing proper notice or pay in lieu, and by following a fair disciplinary or capability process. Engaging with the ACAS Code of Practice, even in a dismissal without notice, would have reduced the risk of an uplift. The company's decision to fight the claim rather than settle early led to a larger payout and legal costs.
Why this matters
For employees, this case reinforces that a dismissal without notice is a red flag for unfairness. The ACAS Code uplift is a powerful tool for claimants when employers ignore basic procedural fairness. The £31,000 settlement, while not broken down, likely includes compensation for lost earnings, notice pay, and the uplift. It shows that even without a long service history, a clear procedural failure can result in a substantial award.
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