Constructive dismissal: grievance handled by the very manager complained about
A general manager who resigned after his grievance was assigned to the manager he complained about, and who was then suspended pending disciplinary proceedings, has won his constructive unfair dismissal claim. The tribunal awarded £4,354.33.
1 min read · Last updated 18 May 2026
Case details
Key facts
- The claimant was employed as a general manager from 4 September 2019 to 31 December 2022.
- The claimant went on sick leave with stress and anxiety from 28 September 2022 after being told by his assistant manager that his line manager said he was no longer with the company.
- The claimant raised a grievance on 7 October 2022, but the respondent insisted it be heard by the same line manager.
- On 31 December 2022, the claimant was notified of disciplinary proceedings and suspended, prompting him to resign the same day.
- The respondent was in voluntary liquidation from 6 February 2023 and did not defend the claim.
Timeline
-
Employment started
Claimant began employment as general manager at Minories M Limited.
-
Sick leave started
Claimant went on sick leave with stress and anxiety after learning his line manager said he was no longer with the company.
-
Grievance raised
Claimant raised a grievance against his line manager Peter Shakeshaft.
-
HR response
HR manager advised that the grievance should be heard by the line manager.
-
Grievance update
HR confirmed the line manager would deal with the grievance on claimant's return to work.
-
Disciplinary notice and resignation
Claimant received disciplinary notice for alleged negligence and breach of confidentiality, was suspended, and resigned the same day.
-
Claim filed
Claimant filed the claim with the Employment Tribunal.
-
Hearing and judgment
The tribunal heard the case and issued judgment upholding constructive unfair dismissal and holiday pay claims.
The legal issue
The tribunal had to decide whether the employer's conduct—insisting the grievance be handled by the manager complained about, delaying resolution, and then initiating disciplinary proceedings—amounted to a fundamental breach of contract entitling the claimant to resign and claim constructive unfair dismissal.
The outcome
The tribunal upheld the claim of constructive unfair dismissal. It found that the respondent's failure to allocate the grievance to an impartial person, combined with the delay and the initiation of disciplinary proceedings, constituted a fundamental breach of the implied duty of trust and confidence. The claimant's resignation was in response to that breach.
Compensation:
- Basic award: £1,142.00
- Unpaid holiday pay: £3,212.33 (gross)
- Total: £4,354.33
Lessons & takeaways
- If you raise a grievance against your line manager, the employer should appoint someone else to hear it—not the person you are complaining about.
- Delaying a grievance resolution while simultaneously starting disciplinary action against the same employee can amount to a fundamental breach of trust and confidence.
- Even if the employer goes into liquidation, you can still pursue a claim and the tribunal may award compensation, though recovery may be limited.
- Resigning promptly after the employer's breach is key to a successful constructive dismissal claim—delaying may suggest you accepted the breach.
What this case shows
This case illustrates how an employer's mishandling of a grievance can lead to a successful constructive dismissal claim. The claimant, a general manager with three years' service, went on sick leave after learning that his line manager had told colleagues he was no longer with the company. He raised a grievance against that manager, but the employer insisted the grievance be heard by the very same manager—and then delayed any resolution until his return to work. When the employer then initiated disciplinary proceedings against him and suspended him, the claimant resigned immediately.
What the employer could have done differently
The employer could have avoided liability by appointing an impartial manager to handle the grievance, responding promptly to the claimant's concerns, and refraining from starting disciplinary action while the grievance was unresolved. By doing the opposite, they created a situation where the claimant felt he had no choice but to resign.
Why this matters
This case is a reminder that the implied duty of trust and confidence is a fundamental term of every employment contract. A breach of that duty—such as failing to deal with a grievance fairly—can justify a resignation and lead to a finding of constructive unfair dismissal. Even where the employer is in liquidation and does not defend the claim, the tribunal will still assess the evidence and may award compensation, though enforcement may be difficult.
Similar cases
Team manager awarded £18,900 after removal of duties and disciplinary action
A team manager with eight years' service was constructively dismissed after his employer removed all managerial duties for over 10 months and then disciplined him for swearing. The tribunal awarded £18,923.
EFL teacher wins constructive dismissal claim after zero-hours contract imposed
An EFL teacher with 18 years' service was constructively dismissed after her employer unilaterally imposed a zero-hours contract and refused union representation. The tribunal awarded £39,208.47.
Duty manager with 39 years' service wins constructive dismissal after split shifts imposed without consultation
A duty manager who resigned after her employer imposed split shifts and reduced hours without consultation, and then failed to address her grievance for over a month, has been awarded £10,683.75 for constructive unfair dismissal.
Head of Maintenance loses constructive dismissal claim against Roehampton University
A tribunal has dismissed a head of maintenance's constructive unfair dismissal claim against Roehampton University, finding that the employer's handling of workplace incidents did not breach the implied term of trust and confidence.