Compensation

Case 2: The facts

Mr Fox and Mrs Brading won their claims for disability discrimination and unfair dismissal respectively. In each case, the tribunal awarded compensation for loss of earnings in periods during which they were receiving incapacity benefit. The employers appealed, arguing that the employees would have been incapable of working for them during such periods and therefore should not be eligible for compensation for loss of earnings. They said the only exception should be where the dismissal itself caused the incapacity, which was not the case here.

The ruling

The EAT rejected the appeals. The rules regarding eligibility for incapacity benefit are deeming provisions and do not necessarily mean claimants are actually unable to work. For example, under the relevant legislation (since replaced), a claimant could be deemed “incapable of work” for the purpose of claiming incapacity benefit in the second period of benefit, if s/he had certain disabilities, such as inability to walk up or down a flight of 12 stairs, but nevertheless could work.