LRD guides and handbook May 2017

Law at Work 2017

Chapter 10

Dismissals due to a breakdown in trust and confidence 



[ch 10: page 368]

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). However, the Court of Appeal has reminded employers that the duty of mutual trust and confidence is not 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 would be beyond the band of reasonable responses – and therefore unfair – to dismiss an employee without giving them at least one genuine chance to show that they can work harmoniously with colleagues (Phoenix House Limited v Stockman [2016] UKEAT/0264).