The claimant was employed as a reinforcing operative. Initially, the claimant worked very well but reports were then made by his supervisors of performance and behavioural problems. Relevant alcohol misuse policy and procedure tests were then carried out with the consent of the claimant. Whilst he was suspended on full pay for 2 weeks, it was clear that the claimant wished to return to work and an occupational physician confirmed that the claimant was ‘fit to return to work without any adjustment’. 

After much delay and then being suspended without pay the claimant wrote to the respondent stating that had ‘’no alternative but to resign’’ citing the company’s failure to pay him as a fundamental breach of his contract of employment. The respondent did not reply to the resignation, but instead sent the claimant’s p45 and an amount for outstanding holiday and sick pay.

The tribunal was unequivocal that the decision to stop the claimant’s pay during his period of suspension was a serious matter that went to the root of the contract of employment. On numerous occasions the respondent was aware of the claimant’s financial difficulties and chose not to address the issue of payment. This amounted to a repudiatory breach. It was held that the claimant was constructively dismissed.

PRACTICAL LESSONS 

The tribunal stated the respondent conducted itself impeccably in a number of ways, but the clear issue of non-payment of wages was the overarching fault which could not be ignored. Employers must ensure that they act in accordance with the contract of employment in relation to pay whilst an employee is suspended. The employer here simply chose not to address the issue which consequently culminated in a serious breach of contract.