Dismissals due to breakdown in trust and confidence

A breakdown in trust and confidence can lead to a fair dismissal for “some other substantial reason” (Huggins v Micrel Semiconductor (UK) [2004] All ER (D) 07), although employers must not use mutual trust and confidence as a “convenient label to stick on any situation” to justify a dismissal (Leach v OFCOM [2012] EWCA Civ 959).

In most cases of relationship breakdown, it is unfair to dismiss an employee for breakdown of trust and confidence without offering at least one genuine chance to show that they can work alongside their colleagues (Phoenix House Limited v Stockman [2016] UKEAT/0264). Other options should be considered before dismissal, such as redeployment, mediation and training.