The appellant employer appealed a trial judgment finding it had constructively dismissed the respondent employee by transferring him from Vice President of Operations to Purchasing Manager.
The trial judge awarded 24 months' notice and found the employee was not required to mitigate by accepting the new role.
The Court of Appeal upheld the constructive dismissal finding and the notice period.
On mitigation, the Court held that while the principle of efficient breach might apply, the employer failed to trigger the mitigation duty because it did not offer the employee a clear opportunity to work out the notice period after he claimed constructive dismissal.
The appeal was dismissed.