Nathan May-O'Brien is a Solicitor at specialist employment law firm, Collingwood Legal. Nathan considers the importance of resolving grievances.
Background
The decision in Eddie Stobart Ltd v Graham [2025] EAT 14 primarily concerned overruling an Employment Tribunal award which was “manifestly excessive”. However, the facts of the case concern an employer’s failure to investigate a grievance.
The Claimant informed her employer that she was pregnant in October 2021. In March 2022, the employer commenced a redundancy process. She believed that she had the right to be offered a suitable alternative vacancy as a Transport Shift Manager because she would shortly be commencing maternity leave. The employer did not view that this role was “suitable”. The Claimant applied for the role and was unsuccessful.
The Claimant raised a grievance about the redundancy process, but this email was twice blocked by the employer’s firewall. She was eventually dismissed by reason of redundancy. While discussing maternity pay with the Head of HR she mentioned her unanswered grievance. The Head of HR investigated this, was informed by a colleague that no grievance was received, and no further mention was made of the grievance when replying to the Claimant’s maternity pay query.
She brought a number of claims in the Employment Tribunal including unfair dismissal. She also brought a claim that the failure to investigate her grievance was an unlawful detriment for taking maternity leave and pregnancy and maternity discrimination. She was successful only in respect of the claims related to her grievance in that she had made her employer aware that she wished to raise a grievance, and this was not sufficiently followed up. The employer did not have a sufficient reason to explain why it did not follow this up and the Claimant was awarded £10,000 in injury to feelings. The Employment Appeal Tribunal (“EAT”) agreed with the employer that this award was excessive on the basis that failure to deal with the grievance was “limited in scope and impact”.
Comment
It is perhaps unsurprising that the EAT reduced the amount awarded to the Claimant as it accepted that the failings of the employer were procedural, and any discriminatory conduct was not overt.
However, it is important to note that the employer was still liable for discrimination arising from their failure to investigate the grievance. It is possible that the risk of the claim could have been negated by providing some sort of outcome to the grievance.
In this case, the Claimant argued that the failure to investigate her grievance amounted to discrimination, but it is also possible, in appropriate circumstances, for a failure to investigate a grievance to amount to a repudiatory breach of contract entitling the employee to resign and claim for constructive unfair dismissal.
While this employer was able to reduce their liability on appeal, the case demonstrates that employers can be put to significant time and money for failing to investigate a grievance.
How we can help – Essential Manager Training
Managing discipline and grievances is one of six modules that Collingwood Legal are covering in their Essential Manager Training from April to July 2025.
Each module is 90 minutes long and takes place remotely.
1. Introduction to employment law for managers – 10 April 2025
2. Having difficult conversations – 1 May 2025
3. Managing discipline and grievances – 15 May 2025
4. Absence management, disability and adjustments – 5 June 2025
5. Discrimination, harassment and bullying – 19 June 2025
6. Ending the employment relationship – 3 July 2025
Collingwood Legal is a specialist employment law firm and we provide bespoke training and advice to organisations on all areas of employment law.
Early-Bird Discounts are available for bookings made before 31 March 2025.
Please email sue.graham@collingwoodlegal.com or view the Events section of our website www.collingwoodlegal.com for further information.