Case law: unfair dismissal claim rejected where new terms and conditions imposed unilaterally - 06/06/2008
In this case, the employee was a sales manager, and his employer sought to increase the size of the territory that he covered. At this stage, the employee could have claimed constructive dismissal, as it was accepted that the variation of the contract was significant, but he chose instead to work according to the new terms but 'under protest'.
When the employee later refused to carry out duties under the new terms, he was found to have disobeyed a reasonable management instruction, which constituted gross misconduct, and was summarily dismissed.
On his claim before the employment tribunal, the employee argued that he had written a 'stand and sue' letter (ie that he would work under protest but seek damages) in accordance with Acas guidance. However, the tribunal decided that he had not kept his side of the bargain, because he had insisted on working to the terms of the original contract. That decision was upheld by the Employment Appeal Tribunal.
In view of the course of action taken by the employee, his dismissal by the company had been within the band of reasonable responses.
Recommendation
Where an employee agrees to new terms of employment 'under protest', employers should make it clear to him that this does not mean that he may continue to work to the terms in the old contract.
