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Unfair dismissal: Employee need not give credit for monies earned during notice period

This report relates to 1 case(s)

Key points

In Voith Turbo Ltd v Stowe, the EAT holds:

  • Applying the principles established in Norton Tool Co Ltd v Tewson [1972] IRLR 86, the tribunal was entitled, in accordance with good employment relations practice, to find that an unfairly dismissed employee did not have to give credit for earnings achieved during the period covered by notice pay made by his former employer.
  • Hardy v Polk (Leeds) Ltd [2004] IRLR 420 - where the EAT held that a compensatory award for unfair dismissal is subject to the duty to mitigate and cannot be used to penalise the employer, and that the right to a period of notice does not give rise to an entitlement in debt for a payment covering the entirety of that period - should not be followed.