Minibus driver dismissed after raising holiday pay grievance wins unfair dismissal claim
A minibus driver who was dismissed shortly after complaining about unpaid holiday pay has been found unfairly dismissed. The tribunal awarded £12,489.86 in compensation.
1 min read · Last updated 18 May 2026
Case details
- #minibus-driver
- #term-time-worker
- #holiday-pay
- #employee-status
- #unfair-dismissal
- #mitigation
Key facts
- The claimant worked as a driver for the respondent from 5 January 2018 until 19 April 2022.
- The claimant was paid a fixed weekly amount of £150 net for term-time work, with occasional overtime.
- The claimant was dismissed after raising a grievance about unpaid holiday pay.
- The tribunal found the claimant was an employee, not just a worker.
- The respondent conceded the claimant was entitled to holiday pay under the Working Time Regulations.
- The claimant was awarded £12,489.86 in total, including holiday pay and unfair dismissal compensation.
Timeline
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Start of employment
Claimant started working as a driver for the respondent.
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Meeting about holiday pay
Claimant raised issue of unpaid holiday pay with Mr Arnold.
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Formal grievance
Claimant submitted a formal grievance regarding holiday pay.
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ACAS early conciliation
Claimant contacted ACAS to initiate early conciliation.
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Dismissal
Mr Arnold told claimant he was suspended, which was in fact a dismissal.
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Respondent filed response
Respondent filed its response to the claim, accepted by tribunal.
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Liability hearing (day 1)
First day of the final hearing on liability.
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Liability hearing (in chambers)
Employment Judge deliberated and reserved judgment.
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Liability judgment
Judgment issued finding unfair dismissal and employee status.
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Remedy hearing
Hearing to determine compensation amounts.
The legal issue
The tribunal had to decide whether the claimant was an employee (and therefore entitled to claim unfair dismissal) and whether his dismissal was automatically unfair because it was for asserting a statutory right to holiday pay.
The outcome
The tribunal decided that the claimant was an employee and was unfairly dismissed. The reason for dismissal was the claimant's grievance about unpaid holiday pay, which is an automatically unfair reason.
Compensation was awarded as follows:
- Basic award: £1,140.00
- Compensatory award: £7,325.06
- Holiday pay: to be determined at a remedy hearing (included in total)
- Total: £12,489.86
Lessons & takeaways
- Employees who raise a grievance about a statutory right, such as holiday pay, are protected from dismissal for doing so.
- Even if you are paid a fixed weekly amount for term-time work, you may still be an employee and entitled to unfair dismissal protection.
- If you are dismissed shortly after asserting a statutory right, the tribunal may infer that the dismissal was because of that assertion.
- It is important to keep records of any communications about grievances or statutory rights, as they can be key evidence.
What this case shows in practice
A minibus driver with four years' service was paid a fixed weekly amount of £150 net for term-time work, with occasional overtime. When he raised a grievance about unpaid holiday pay, he was dismissed shortly afterwards. The tribunal found that the dismissal was automatically unfair because it was for asserting a statutory right to holiday pay.
This case highlights the protection given to employees who assert their statutory rights. The tribunal also confirmed that the driver was an employee, not just a worker, which entitled him to claim unfair dismissal. The respondent had conceded that the driver was a worker and entitled to holiday pay, but argued he was not an employee. The tribunal rejected that argument.
What the losing side could have done differently
The respondent could have avoided the claim by properly addressing the holiday pay grievance and not dismissing the driver. If a dismissal is necessary, employers should ensure it is for a fair reason and follow a fair procedure. Dismissing an employee shortly after they assert a statutory right is a red flag for tribunals.
Why the result matters for similar claims
This case is a reminder that term-time workers with a fixed weekly pay may still be employees, especially if there is an ongoing employment relationship. It also reinforces that dismissal for asserting a statutory right is automatically unfair, regardless of the employer's motive. Employees who believe they have been dismissed for raising a legitimate concern about their pay should consider bringing a claim.
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