An estate agent who felt demoted after he transferred to another branch where his desk would be in the middle of the office – rather than at the back – has won his case for constructive unfair dismissal.
Mr Walker began work as branch manager at Robsons estate agents in Rickmansworth in 2017.
In February 2022, company director Mr Young told Walker he would be moving to the Chorleywood branch because a new recruit, Mr Rosenthal, who was “too good to miss out on”, would take his role in Rickmansworth.
Walker was disappointed at the move as the Chorleywood branch was quieter and less successful. His pay initially included an element of commission based on the turnover at Rickmansworth, as well as commission for sales at Chorleywood. His on-target earnings (OTE) figure was £69,400.
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In May 2023, he found an envelope on his chair containing a “Contract Amendment” letter outlining a new commission structure, which did not include any commission related to Rickmansworth.
Walker messaged Young to express his disappointment, to which he received a reply saying: “The same OTE that you would have achieved last year for hitting your target?? Yes let’s talk tomorrow”.
However, the following day, Young told him that Rosenthal had resigned and that he should ignore the contract amendment letter.
Discussions then took place about filling the now-vacant role. Young told Walker that he did not think that another colleague, Mr Gooder, was ready for the role, but he may interview him anyway, and that he might look for an external candidate. Young asked the claimant to return to Rickmansworth.
The tribunal heard that Walker had mixed feelings about returning to Rickmansworth. He had worked hard to improve the Chorleywood branch, but there was better earning potential at Rickmansworth.
‘Symbolic significance’
An external candidate, Ms Withers, was hired. During this period, Young told Gooder that he had decided to split the role of manager at Rickmansworth between Gooder and Walker, with Walker taking on higher-value sales.
The tribunal heard that Walker was unaware of this plan and did not know he would be sharing the role with a more junior colleague.
It found that both Gooder and Walker knew that the desk at the back of the office had a “symbolic significance” as it was where the branch manager would traditionally sit.
At some point after Rosenthal’s departure, Gooder moved to the back desk. The tribunal found he did so deliberately because he saw it as confirmation of his status as joint branch manager and because he was “ambitious”.
On 8 June 2023, Gooder sent Walker a WhatsApp message regarding desks stating, “You are going in the middle” and that Young had “already moved me back last week”.
Fuss about a desk
After Walker complained about this to Young, a confrontation took place and the panel found that Young said words to the effect that he could not believe that “a fucking 53-year-old man” or “a man of your age” was making a fuss about a desk.
Walker threatened to resign, which confirmed Young’s suspicion that he had already got another job. He responded by saying words to the effect of “go on then”. The tribunal found there was an element of Young goading Walker into resigning. In that light and because of Young’s demeanour and the ultimatum he had issued, Walker said that he was handing in his notice.
Young said to him that he should get on with it and put it in writing, and accompanied Walker to his desk to type up a letter of resignation. While Walker wrote his letter Young emailed Robsons’ external HR consultant, saying “He is typing up his notice as we speak. Never heard anything like it .. he had no reason that he could give btw”.
Young asked the Claimant to return his keys and phone and to leave the premises.
Two days later, in an attempt to recover the situation, Walker called Young and left a message. However, Young did not return his call. By letter, Robsons informed Walker he would receive pay in lieu of notice and that his last day of work would be 9 June 2023.
Breach of trust and confidence
The tribunal found that the desk move was perceived as a demotion and that it formed part of a breach of the implied term of trust and confidence, in that it was “conduct that was likely to destroy or seriously damage the relationship”.
The judgment said that Walker had not been told that he would be sharing the branch manager role with Gooder, and that finding out that Gooder was sitting at the back desk amounted to being told that he would be assistant manager and Gooder would be branch manager.
“This was a logical conclusion for him to draw in circumstances where communication with him about the logistics of the Rickmansworth move had been poor. Either becoming assistant manager or becoming joint manager with Mr Gooder would have amounted to a demotion by comparison to the role he was performing at Chorleywood and that which he had performed at Rickmansworth previously,” said the panel.
It added: “It is quite clear to us that the claimant resigned in response to the breach, other than our finding that he did not resign in response to the reference Mr Young made to his age. No other credible reason for the claimant’s resignation has been proposed.”
The judgment found that Walker was constructively and unfairly dismissed, but found that Young’s reference to Walker’s age was not discriminatory and was not part of his reason for resigning. Accordingly, the claimant’s age discrimination claim failed.
A remedy hearing to decide Walker’s compensation will be scheduled.
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