In Garside and Laycock Ltd v Booth  IRLR 735 EAT, the EAT allowed an appeal against a tribunal's decision that the dismissal of an employee for refusing to accept a pay cut proposed because of the employer's business difficulties was unfair.
The Employment Appeal Tribunal has held that, when considering whether or not a dismissal for refusing to take a pay cut was fair for "some other substantial reason", the employment tribunal should look at the reasonableness of the employer's decision to dismiss, not whether or not the employee was reasonable in refusing the reduction in wages.
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