Burlo v Langley & Anor
Compensation for unfair dismissal under section 123 ERA 1996 must be based on the actual loss suffered by the employee as a consequence of the dismissal. Where the contract entitles the employee only to statutory sick pay during the notice period due to sickness, compensation cannot be calculated on the basis of normal pay. The principle in Norton Tool v Tewson does not justify awarding more than actual loss, and any wider application of good industrial practice is not permitted if it results in a bonus or double recovery.
- Parties
- Appellant: Ana Burlo; Respondent: David Langley; Respondent: Caroline Carter
- Jurisdiction
- England and Wales
- Judgment Date
- 21 December 2006
- Procedural Posture
- Civil Appeal / Judgment on Appeal From Employment Appeal Tribunal
- Outcome
- appeal dismissed
- Legal Topics
- Unfair Dismissal, Compensatory Awards, Statutory Interpretation, Employment Contracts, Industrial Relations Practice
Case Brief
Summary, issues, holding and outcome
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Parties
Ana Burlo
Appellant
David Langley
Respondent
Caroline Carter
Respondent
Procedural Posture
Civil Appeal / Judgment on Appeal From Employment Appeal Tribunal
Legal Issues
- 1 Whether compensation for unfair dismissal under section 123 of the Employment Rights Act 1996 should be based on normal pay or statutory sick pay during the notice period when the employee is unfit for work due to sickness.
- 2 Whether the principle in Norton Tool v Tewson remains good law post-Dunnachie v Kingston upon Hull City Council.
Ratio Decidendi
Compensation for unfair dismissal under section 123 ERA 1996 must be based on the actual loss suffered by the employee as a consequence of the dismissal. Where the contract entitles the employee only to statutory sick pay during the notice period due to sickness, compensation cannot be calculated on the basis of normal pay. The principle in Norton Tool v Tewson does not justify awarding more than actual loss, and any wider application of good industrial practice is not permitted if it results in a bonus or double recovery.
Court Disposition
appeal dismissed
Orders
- The appeal is dismissed; the Employment Appeal Tribunal's decision stands.
Full Case Text
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