£1.45 million award following redundancy whilst on parental leave

An Employment Tribunal awarded a former Goldman Sachs executive £1.45 million for sex discrimination and unfair dismissal after he was selected for redundancy while on parental leave.

There are a number of points that employers can take from this particular case including that employees taking parental leave must not be disadvantaged in redundancy, promotion, performance management, or other employment decisions because of their leave.

Managers should avoid making assumptions about an employee’s commitment, ambition, or availability after becoming a parent. Despite being on leave, employees should receive fair communication, appropriate consultation, and equal treatment throughout organisational changes.

The management of redundancy and performance processes involving employees on family leave must ensure decisions are objective, well documented, and free from discrimination.

Employers should consider providing training for managers on family leave rights, unconscious bias, and how to support employees before, during, and after parental leave.

Return-to-work planning should be a shared responsibility, with structured support and meaningful engagement rather than leaving employees to manage the transition alone. Employers should foster a culture in which both mothers and fathers feel able to take parental leave without concern that it will negatively affect their careers.

This case is a reminder that failing to protect employees on parental leave can expose employers to significant legal, financial, and reputational risks. Strong oversight, consistent management practices, and inclusive workplace policies are essential to ensuring compliance with employment law and supporting working parents.

Should you be considering any changes to structure, contact us to discuss the potential risk involved of managing tricky situations at enquiries@121hrsolutions.co.uk.

£1.45 million award following redundancy whilst on parental leave

121 HR Solutions Ltd