International executives frequently seek our assistance in circumstances where their employment has terminated or is about to terminate. For executives who have a sufficient connection with the UK, you may have rights which you can pursue under UK law.
Dismissal from your job as a Director or Executive can be a distressing experience. What rights do you have to compensation if this happens? It is important to note that in general terms any employment rights you have will derive from your contract of employment (sometimes called a ‘service agreement’) not from being a director or shareholder per se.
Wrongful Dismissal & Breach of Contract
Wrongful dismissal is a contractual claim. This arises where you have been dismissed and your employer has failed to fulfill their contractual obligations. For example, if you are not guilty of gross misconduct, but your employer has failed either to allow you to work out your notice or make a payment in lieu of notice (usually to include all benefits due like pension payments, company car benefits etc).