Claim types
Wrongful Dismissal: Notice Pay and Contract Breach
Understand wrongful dismissal as a contractual claim, including notice pay, gross misconduct, compensation and available routes.
Last updated 17 August 2026
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What is wrongful dismissal?
Wrongful dismissal is a breach-of-contract claim. A common example is dismissal without the contractual or statutory notice due, where the employer was not entitled to dismiss summarily for gross misconduct.
The central question is contractual entitlement, not whether the employer acted reasonably overall. A dismissal can therefore be unfair, wrongful, both or neither depending on the facts.
This guide covers England, Scotland and Wales. Forum, procedure and time-limit rules differ, so obtain advice promptly. This is general information rather than legal advice.
Wrongful dismissal compared with unfair dismissal
| Wrongful dismissal | Unfair dismissal |
|---|---|
| Based on breach of the employment contract | Based mainly on statutory fairness rules |
| Often concerns notice pay or a contractual procedure | Considers the reason for dismissal and whether the employer acted reasonably |
| Compensation usually reflects contractual loss | Remedies can include a basic award and compensation for qualifying financial loss |
| Does not generally require two years of service | Ordinary unfair-dismissal eligibility has statutory conditions and exceptions |
Check your notice entitlement
- Read the employment contract, written statement and any incorporated policy.
- Compare contractual notice with the statutory minimum that applied on the termination date.
- Check any payment-in-lieu-of-notice clause and the employer's final-pay calculation.
- Identify salary, pension contributions, commission, benefits and holiday that would have arisen during notice.
- Check whether the employer alleges gross misconduct and what evidence supports that allegation.
Gross misconduct and dismissal without notice
An employer may dismiss without notice where conduct amounts to a fundamental breach that justifies summary dismissal. Calling conduct gross misconduct in a policy does not remove the need to establish what happened and whether it justified termination without notice.
A fair disciplinary procedure and contractual entitlement are related but distinct questions. A procedural failure may support an unfair-dismissal argument without necessarily creating all the notice loss claimed, while an incorrect gross-misconduct finding may create both statutory and contractual issues.
Compensation, routes and time limits
Wrongful-dismissal compensation normally aims to put the employee in the financial position they would have occupied if the contract had been performed, commonly by reference to the net value of the notice period and relevant contractual benefits.
A qualifying breach-of-contract complaint may be brought in an Employment Tribunal after employment has ended, subject to the Tribunal's jurisdiction and strict time limit. A court claim follows different rules and deadlines. Check the correct forum and the earliest possible deadline before choosing a route.
Wrongful-dismissal questions
Can I claim wrongful dismissal with less than two years of service?
Potentially, because wrongful dismissal is contractual rather than the ordinary statutory unfair-dismissal claim. You must still establish a breach and financial loss.
Is notice pay always due after gross misconduct?
No. Proven conduct amounting to a fundamental contractual breach can justify dismissal without notice. The label alone does not decide the issue.
Can I bring wrongful and unfair dismissal claims together?
Potentially, if the facts support both and the relevant eligibility, jurisdiction and time-limit requirements are met.
Key guidance
Next steps
Keep your facts organised and protect your time limits with the tools below.
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