An unfair dismissal claim has never been a licence to print money, although some employers may disagree. It has always been the case that the employee must actively look to reduce the losses they suffer as a result of their dismissal.

In the situation where an employee is offered re-engagement by their former employer (i.e. a similar job but somewhere else in the business), an employee must think very carefully before rejecting it otherwise they risk losing their claim for future loss of earnings.

The case last week of Debique v Ministry of Defence, put this point into stark relief. Ms Debique was employed in the British Army and brought a claim for unfair dismissal following on from issues of discrimination. The army offered Ms Debique an alternative role of equivalent status elsewhere in the organisation. Ms Debique refused the offer and sought 15 years loss of earnings instead, the length of time she had otherwise intended to spend in active service.

The Employment Appeal Tribunal, agreeing with the original Employment Tribunal, found that Ms Debique's refusal of the offer of re-engagement was unreasonable. As a result, her claim for future losses (15 years' pay) failed entirely.

In the right circumstances, this case provides employers faced with an unfair dismissal claim with an alternative option to an expensive claim. Employers should monitor vacancies and, where, appropriate, consider offering suitable vacancies to an employee who has brought claim.

What will or will not be reasonable will be for the tribunal to decide but the closer to the original job, the more likely it is that any refusal to accept it might be held unreasonable. Other factors will also play a part in the tribunal's decision as to whether a job was reasonably refused. For example, if the new job is in the same department as a manager or colleague accused of causing the problem in the first place, it is unlikely to be unreasonable for the employee to refuse it.

For further advice and assistance, contact our specialist employment law team on 01392 207020 or email This e-mail address is being protected from spambots. You need JavaScript enabled to view it .