Unfair Constructive Dismissal: Care Home Worker Awarded £23k Over “Knee-Jerk” Suspension
Published : August 3, 2026
A recent Employment Tribunal decision has highlighted the risks employers face when suspending employees without proper consideration or investigation. The case involved a care home worker who was awarded more than £23,000 for unfair constructive dismissal. Her claims arose from what the Tribunal described as a “knee-jerk” suspension following allegations concerning Easter eggs donated to residents.
The judgment serves as an important reminder that suspension shouldn’t be treated as an automatic response to workplace concerns. Employers may sometimes need to remove an employee from the workplace during an investigation. However, doing so without reasonable justification can damage trust and confidence, potentially leading to Employment Tribunal claims.
If you believe you’ve faced similar treatment, please contact us without delay. Redmans Solicitors are specialists in the employment law sector. Following a brief consultation, we can assess your circumstances, answer your questions and provide expert advice. We can also determine your eligibility to bring a claim and guide those eligible through the legal process.
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The Facts in the Unfair Constructive Dismissal Case?
The Claimant worked at a care home where Easter eggs had been donated for residents. Concerns later arose regarding the handling of those gifts, and the employee was suspended while the employer investigated the matter.
The Employment Tribunal heard that the employer’s decision to suspend the Claimant had been made hastily. It was also found that this decision followed insufficient consideration of whether such action was actually required. The Tribunal was critical of the employer’s approach, describing the suspension as a “knee-jerk” reaction rather than a measured response based on the available evidence.
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Following the suspension and breakdown in the employment relationship, the employee resigned and brought an Employment Tribunal claim. The Tribunal ultimately concluded that the employer’s actions had fundamentally damaged the relationship of trust and confidence. As such, this entitled the Claimant to resign and claim constructive unfair dismissal, leading to her £23,409 award.
What Is Unfair Constructive Dismissal?
Constructive unfair dismissal occurs when an employee resigns because their employer has committed a serious breach of the employment contract. Rather than being dismissed, the employee argues that the employer’s conduct left them with no reasonable alternative but to resign.
One of the most common examples is a breach of the implied term of mutual trust and confidence. Every employment contract contains an implied obligation that neither party will, without reasonable and proper cause, act in a manner likely to destroy or seriously damage the relationship of trust and confidence.
Employers can breach this obligation in a variety of ways. Examples include failing to deal appropriately with grievances, harassment or making unilateral changes to contractual terms. A breach could also arise if an employer fails to support employees or imposes unnecessary disciplinary measures without proper justification.
To succeed in a claim for constructive unfair dismissal, an employee will usually need to demonstrate that the employer committed a fundamental breach of contract. They must also show that resignation occurred directly because of said breach and that they didn’t wait so long before resigning that they could be said to have accepted the employer’s conduct.
Why Was the Employer Ordered to Pay Compensation?
The Tribunal concluded that the employer’s handling of the situation had fundamentally undermined the employment relationship.
Although employers are entitled to suspend employees while investigating serious allegations where appropriate, suspension shouldn’t be treated as a disciplinary sanction or an automatic response whenever concerns arise. It should normally be reserved for situations where there is a genuine business need. This may include protecting evidence, safeguarding vulnerable individuals or preventing interference with an investigation.
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In this case, the Tribunal found that the employer hadn’t properly considered whether suspension was necessary and reacted too quickly. The decision was viewed as disproportionate in the circumstances and contributed to the breakdown in trust between the parties. It therefore demonstrates that even when employers have legitimate concerns, the way they are managed can influence whether claims arise.
What Does This Mean for Employers?
The judgment serves as an important reminder that suspension should always be considered carefully rather than imposed as a default. Before suspending an employee, employers should consider whether there are realistic alternatives, such as temporary changes to duties, closer supervision or remote working where appropriate. Any decision should be based on the specific circumstances of the case and supported by clear reasons.
Employers should also ensure that investigations are conducted fairly, promptly and objectively. Keeping employees informed throughout the process and explaining why particular decisions have been made can help maintain trust, even where difficult issues arise.
Furthermore, managers responsible for disciplinary matters should receive appropriate training so they understand when suspension is appropriate and how to avoid decisions that could later be viewed as unreasonable or disproportionate.
What Can Employees Do If Their Rights Are Breached?
Employees who believe their employer has fundamentally breached the employment contract should seek advice before deciding whether to resign. Constructive unfair dismissal claims can be legally complex because the employee must establish that the employer’s conduct amounted to a serious contractual breach. Resigning without obtaining advice may weaken a potential claim if the legal threshold hasn’t been met.
Where appropriate, employees should consider raising a formal grievance before resigning, particularly where the employer may have an opportunity to address the issue. However, this will depend on the nature of the alleged breach and whether the employment relationship has already broken down beyond repair.
If an employee believes they’ve been subjected to constructive unfair dismissal, they may be able to bring an Employment Tribunal claim. Before doing so, they will generally need to notify Acas and participate in Early Conciliation. Strict time limits apply, meaning legal advice should be sought as soon as possible.
Unfair Constructive Dismissal: Our Final Thoughts
The care home Easter egg case illustrates that suspension should never be viewed as a routine administrative step. While employers may sometimes have legitimate reasons for removing an employee from the workplace during an investigation, any decision must be reasonable, proportionate and supported by the circumstances.
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For employers and HR professionals, the judgment reinforces the importance of fair procedures, careful decision-making and preserving the relationship of trust and confidence throughout disciplinary processes.
As for employees, the case provides a useful illustration of what constructive unfair dismissal can look like in practice. Where an employer’s actions fundamentally undermine the employment relationship, individuals may have legal rights that allow them to challenge that treatment through an Employment Tribunal claim.
Get Help with Redmans
If you believe you have been forced to resign because of your employer’s conduct or have concerns about constructive unfair dismissal, contact us today. Redmans Solicitors are employment law specialists. Following a brief consultation, we can assess your circumstances, explain your legal rights and advise whether you may have a potential Employment Tribunal claim. If you have an eligible claim, we can also guide you through each stage of the legal process.
To learn more about how we could help you, simply:
- Give us a call on 020 3397 3603
- Complete our online form with your details to request a callback
Contact Our Employment Solicitors
Our employment lawyers are experts in dealing with Employment Tribunal claims and advising on employment disputes.
Chloe Holmes is an Associate in our employment team and has extensive experience in advising employees on workplace references, employment claims, Employment Tribunal proceedings, and settlement agreements.
Speak to Chloe today to discuss your situation.