Dismissed without notice and wages deducted: a breach of contract claim
A former employee won £895.99 after being dismissed without notice and having unauthorised deductions taken from his wages. The tribunal found Kloo Ltd in breach of contract.
1 min read · Last updated 18 May 2026
Case details
- #breach-of-contract
- #unauthorised-deductions
- #notice-pay
- #consequential-loss
- #withdrawn-unfair-dismissal
Key facts
- The claimant withdrew his unfair dismissal claim during a preliminary hearing.
- The respondent dismissed the claimant without notice, breaching the contract.
- The respondent made unauthorised deductions from the claimant's wages.
- The claimant suffered consequential loss due to the respondent's actions.
- The respondent provided written particulars of employment before the claim was presented.
Timeline
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Preliminary Hearing
The claimant withdrew his unfair dismissal complaint. The claim of unfair dismissal was dismissed. Remaining claims continued.
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Final Hearing
Employment Judge Watson heard the remaining claims and issued judgment.
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Judgment
The tribunal found the respondent in breach of contract for dismissal without notice, ordered £389.78 gross. Unauthorised deductions of £310.65 gross ordered, plus £194.56 gross for consequential loss. Failure to provide written particulars claim dismissed. Employer's contract claim dismissed.
The legal issue
The tribunal had to decide whether the employer breached the contract by dismissing without notice, made unauthorised deductions from wages, and failed to provide written particulars of employment.
The outcome
The tribunal found in favour of the former employee on breach of contract and unauthorised deductions. The claim for failure to provide written particulars was dismissed because the employer provided them before the claim was presented. The employer's counterclaim was also dismissed.
Compensation:
- Damages for breach of contract (notice pay): £389.78
- Unauthorised deductions: £310.65
- Consequential loss: £194.56
- Total: £895.99
Lessons & takeaways
- If you are dismissed without the notice period you are entitled to, you may have a breach of contract claim for notice pay.
- Employers cannot make deductions from wages without your consent or a legal basis – if they do, you can claim unauthorised deductions.
- Consequential losses, such as costs incurred because of the employer's actions, may also be recoverable.
- Written particulars of employment must be provided early – if provided before you bring a claim, the claim for failure to provide them will fail.
This case shows what can happen when an employer dismisses an employee without giving the required notice and then makes deductions from wages without proper authority. The former employee brought claims for breach of contract and unauthorised deductions, and the tribunal awarded a total of £895.99.
What the tribunal decided
The tribunal found that Kloo Ltd breached the employment contract by dismissing the former employee without notice. This meant the employee was entitled to damages equivalent to the pay they would have received during the notice period. Additionally, the employer had made unauthorised deductions from wages, which the tribunal ordered to be repaid. The former employee also recovered a sum for consequential loss – financial losses that flowed directly from the employer's actions.
What the employer could have done differently
Kloo Ltd could have avoided this outcome by giving proper notice (or pay in lieu) and by ensuring any deductions from wages were authorised by law or by the employee's consent. Providing written particulars of employment earlier would have avoided that claim, though it was dismissed because particulars were provided before the claim was presented.
Why this matters
This case is a reminder that employment contracts protect both parties. Employees who are dismissed without notice or have wages deducted without good reason can bring claims in the employment tribunal. The amounts may be modest, but the principle is important: employers must follow the rules.
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