Mr Robson, counsel For the v Mr Howson, consultant — 2019

This was a remitted hearing before Employment Judge Segal sitting alone on 14 November 2019, dealing only with the remaining disputes on compensation, interest and costs after a partially successful appeal. The parties had already agreed the period of loss up to 1 May 2019, and most material facts were agreed, including the claimant’s tax position, her mitigation earnings in Mykonos, and her out-of-pocket mitigation expenditure.

The main compensation issue was how to reflect the admitted difference between London and Mykonos living and wage levels, which was broadly quantified at about 35%. The tribunal preferred the respondent’s broad-brush approach and held that, in order to reach a just and equitable compensatory award, the differential should be taken into account by ignoring the claimant’s out-of-pocket expenses and future tax liability rather than by applying a percentage reduction to the overall award. On that basis the figures were agreed, and the tribunal maintained the unfair dismissal awards of a basic award of £1,956 and a compensatory award of £41,750. It also recorded the wrongful dismissal award of £3,127 net.

On interest, the tribunal held that interest was payable under the Employment Tribunals (Interest) Order 1990, but only on the sums payable by virtue of the original tribunal decision. It rejected the claimant’s argument that interest should run retrospectively on the remitted awards and accepted the respondent’s case that the order did not retrospectively adjust the amount payable. The interest award was £3,705.

The tribunal also made a costs award of £10,000 plus VAT. It accepted that the respondent had unreasonably failed to accept the claimant’s without prejudice save as to costs offer of £29,000 dated 14 June 2019, and that there had been significant non-compliance with the tribunal’s directions for the hearing on 10 September 2019. The respondent’s organisation-level explanation for that non-compliance was noted, but not treated as an excuse.