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Whistleblowing dismissal liability for dismissing managers to be clarified by the Supreme Court in Wicked Vision
- Posted
- AuthorEd McFarlane
Whistleblowers (makers of public interest disclosures) are specially protected in law against suffering 'detriments' and dismissal. Company managers or directors who unfairly dismiss whistleblowers employed by their company can be made personally liable for compensating them alongside the company as the law stands, which is not the case in a 'normal' unfair dismissal claim.
The law in this area is currently in a state of flux, as in a case in 2017 called Timis v Osipov, the Court of Appeal held that an insolvent company's directors who had instigated a whistleblower's dismissal were liable for the 'detriment' of instructing the company (i.e. the employer) to dismiss him. As the employer was insolvent, and the directors were insured, it was vital for the employee to have a claim against those directors as they were able to pay compensation. In another 'whistleblowing dismissal case' called Wicked Vision Ltd v Rice, an employee claimed that he had been dismissed due to whistleblowing and he tried to add a claim against the company that dismissed him, which would make the company liable for a 'detriment' claim for dismissing him, giving him 'two claims for the price of one' and a claim for injury to feelings. An Employment Tribunal allowed this to be done, but on appeal to the Employment Appeal Tribunal that decision was overturned (Chattertons' Ed McFarlane won that appeal in 2024 in a previous job).
The employee then appealed to the Court of Appeal which upheld his appeal, restoring his claim for detriment, but the Court said that they disagreed with the Court of Appeal's previous decision in Timis v Osipov and thought that it was wrong, but they weren't able to formally disagree with it because of a legal principle that meant that they had to follow previous decisions of their colleagues in the Court of Appeal, meaning that the employee was still able to sue the director personally for dismissing him. The employer then appealed to the Supreme Court for a final decision on the point, which should provide some certainty for all.
With the Supreme Court weighing in on the case, it will provide a ruling that all courts in the UK have to follow and it should provide clarity on the scope for whistleblowers to bring unfair dismissal claims against directors or managers involved in their dismissal who are not the employer and for claims for detriments where an employee is dismissed. The case will be heard on Thursday 21st May 2026 with a decision likely in a few months.
Takeaways
1. For now, employees with whistleblowing dismissal claims would be well-advised to add claims in against the individuals who dismissed them (dismissal and appeal managers or panels) particularly if they have concerns about the solvency of the employer.
2. Individual managers and directors implementing dismissals for their employer should be clear to document their reasoning for doing so and to be able show that any whistleblowing was not a factor in their decision.
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