Employee Unfairly Sacked After Spy Software Shows Her Online Shopping During Work Hours

In Miss A Lanuszka v Accountancy MK Services Limited, an accountancy administrator has been awarded more than £14,000 by the employment tribunal. Miss Lanuszka was dismissed after spy software captured her undertaking personal matters on her work computer, but the tribunal found both the reason and procedure for dismissal to be unfair.

Below, we discuss exactly what happened before outlining the reasons behind the tribunal’s judgment. We then examine whether spying on employees is lawful and how individuals can identify staff monitoring at the workplace.

If you’ve been sacked after being monitored at work and believe it was unfair, contact us now. As employment specialists, Redmans Solicitors can answer your questions, discuss your options and assess your eligibility to make a claim.

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• Phone us on 020 3397 3603
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The Facts in Miss A Lanuszka v Accountancy MK Services Limited

Background to Employment

Miss A Lanuszka (“the Claimant”) began working as an accountancy administrator for Accountancy MK Ltd on 30 October 2017. Ms Krauze, the company’s founder and sole director, set up Accountancy MK Services Ltd (“the Respondent”) in 2021. At that time, Accountancy MK Ltd ceased trading, and the Claimant continued in the same role with the Respondent under a contract dated 1 September.

Workplace Surveillance: Spy Software Installed

During the hearing, much of the discussion centred on documentation and diary entries allegedly recording the Claimant’s performance issues between June 2022 and July 2023. These referred to, among other things, lateness, an alleged disclosure of confidential information, a formal warning, and a “notice of disciplinary hearing.”

Notably, the tribunal found the diary entries had been created after the fact, with the Claimant maintaining they were produced solely to support the Respondent’s case. She also denied receiving a formal warning, stating she only became aware of the Respondent’s concerns when she was dismissed. The tribunal preferred the Claimant’s evidence.

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In July 2023, Ms Krauze installed spy software on the Claimant’s computer, enabling her to monitor and record activity. The workplace surveillance showed that on 13 and 14 July, the Claimant used her computer for just over two and a half hours, of which one hour and nine minutes was work-related, with the remainder spent on “personal matters.”

Tribunal Claims Brought Following Sudden Dismissal

The Claimant admitted to online shopping, but maintained that Ms Krauze had permitted such use, provided her work was done. She noted that the director herself had attended to personal matters on her own work computer, too. She also asserted that some activities labelled “personal matters” were, in fact, work-related, including Excel training.

Nonetheless, the Claimant was summarily dismissed on 31 July, as per a letter setting out the reasons. It stated that she had used company property for “private business activities,” described as “a direct violation of our company’s code of conduct.” During proceedings, the tribunal observed that the letter made no reference to previous conduct issues, warnings, or disciplinary hearings.

Following dismissal, the Claimant began Acas early conciliation on 7 August. She then brought claims of wrongful dismissal, holiday pay, and unfair dismissal, but withdrew all but the latter.

The Employment Tribunal’s Judgment

The tribunal considered whether the Claimant had been unfairly dismissed. It first noted that her dismissal was said to arise from conduct—specifically, personal use of her work computer—which could potentially amount to a fair reason for dismissal.

However, the tribunal emphasised that Ms Krauze also used her own work computer for personal purposes. No workplace policy prohibited such use, and it was understood to be acceptable during breaks and “when work commitments permitted.” Combined with the Claimant’s clean conduct record, the reason for dismissal was therefore found to be unfair.

Even if the reason had been fair, though, the tribunal found further failings in the disciplinary process. After installing spy software and undertaking workplace surveillance, the Respondent didn’t thoroughly investigate the extent of the Claimant’s use or give her a chance to respond. Accordingly, the tribunal held that neither a fair reason for dismissal nor a fair procedure had been established.

Crucially, the Respondent argued that the Claimant’s contract from 1 September 2021 prevented her from bringing an unfair dismissal claim, as she wouldn’t have accrued the two years required to do so. The tribunal rejected this, however, finding that her employment had continued seamlessly from 30 October 2017 following the transfer. As such, she met the qualifying period.

The tribunal upheld the Claimant’s unfair dismissal claim and awarded her £14,120.41 in compensation. Her award comprised a basic award of £2,064.20 and a compensatory award of £12,056.21.

Is Your Employer Allowed to Spy on You?

In the UK, monitoring staff at work is permitted, provided employers adhere to strict rules. Workplace surveillance can be used for legitimate purposes, like ensuring productivity, protecting company property, or investigating misconduct. Such surveillance can include spy software, CCTV, keystroke logging, and internet usage tracking.

It is important to note, however, that the ability to monitor staff isn’t absolute. Employers have an obligation to respect the workforce’s right to privacy and must comply with data protection legislation, including the UK General Data Protection Regulation (UK GDPR) and the Data Protection Act 2018 (DPA 2018).

In practice, employers must have a legitimate reason for monitoring at the workplace and, in most cases, be transparent about what is being monitored and why. Staff can be informed about workplace monitoring practices via policies, employment contracts, privacy notices and staff handbooks. Should surveillance go beyond the scope of its legitimate business reason or that which has been disclosed, unless justified in exceptional circumstances, it could breach privacy laws and potentially result in legal action.

Can I Tell if My Employer is Monitoring My Computer?

As mentioned, employers generally have to disclose whether they’re spying on employees, along with the reasons for doing so. That said, if an employee believes they’re being monitored at work and haven’t been informed, there are some signs they can watch out for:

• Changes in internet speed: When spy software is installed, internet connections may be affected, resulting in slower loading speeds on certain websites
• Unexpected emails or alerts: Access requests, software installations or security updates from IT could be associated with monitoring tools
• Direct or indirect mentions of monitoring: Employers may issue communications about productivity tracking or policy updates, potentially indicating that monitoring is being increased or more closely applied

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In such circumstances, employees should review their employment contracts and workplace policies to ensure they are aware of their rights. It’s possible that information about such surveillance was publicised, and they were simply unaware. If concerns remain, however, it may be wise to discuss the matter with HR or a suitable manager for clarification.

Where an employee believes their privacy rights have been breached, seeking specialist legal help is advised. An expert in the field can clarify one’s rights and assist with any further action that may be required.

Get Help From Redmans

If you believe your employer is monitoring staff at work and breaching your employment rights, contact Redmans Solicitors without hesitation. Our team of employment specialists are here to help. Following a brief consultation, we can address your queries and discuss the next steps you can take.

Find out how we can help you by:

• Giving us a call directly on 020 3397 3603
• Requesting a callback via our online form