Skip to main content

Insight article

May 31, 2017

What is a SOSR dismissal?

“Some other substantial reason”

There are five potentially fair reasons for the dismissal of any employee under the Employment Rights Act 1996 (ERA 1996):

  1. Conduct
  2. Capability
  3. Redundancy
  4. Breach of a statutory restriction
  5. Some other substantial reason of a kind to justify the dismissal (SOSR)

SOSR is a residual “catch-all” potentially fair reason for dismissal. Whilst there is no statutory definition of the term or any statutory guidance, case law has made it clear that the reason must be substantial.

Interpretation of what is substantial is subjective and will depend on the facts and the type of case. The reason must also be of a kind which will justify the dismissal (rather than any lesser sanction) of an employee holding the job the employee actually held.

Common examples of scenarios that may constitute an SOSR dismissal

Protection from competition

Where an employee acts in a way that falls short of a breach of duty or is in a situation that creates a potential conflict with the employer’s interests, the employer may be able to dismiss the employee by relying on SOSR.

The most common types of cases in this category relate to conflict of interest or restrictive covenants.

Cases involving conflicts of interest

To be able to succeed in relying on the risk of competition as being SOSR, the employer must be able to provide evidence to substantiate its perception that the employee poses a risk to its business interests. The evidence will be as to the nature of the information to which the employee has access.

If an employee has limited access to commercial information, an employer will struggle to show that it was concerned about a risk at all. It is also usually necessary to show that the employee has close connections to a competitor (or an employee of a competitor) and that the employer fears the employee may leak confidential information.

To establish an SOSR dismissal, in these circumstances, the employer must show that continuing to employ the employee would give rise to a real commercial risk.

Cases involving restrictive covenants

The scope of any restrictive covenant will have a bearing on whether an employer can rely on it for an SOSR dismissal. Case law has established dismissal following a refusal to enter new restrictive covenants, which was found to be for SOSR and potentially fair.

Personality clashes

Personality clashes or irreconcilable differences between colleagues can amount to SOSR. However, the conflict would have to cause a substantial disruption to the business.

Other examples

  • The non-renewal of the fixed-term contract of an employee recruited as maternity leave cover.
  • The dismissal of an employee for a theft conviction unconnected with his employment.
  • The dismissal and re-engagement of an employee to impose new contractual terms and conditions that the employee has refused to agree to.

The two-stage test for any dismissal will apply notwithstanding the potentially fair reason for the dismissal.

Having identified circumstances giving rise to an SOSR dismissal, the employer must ensure that it follows a fair procedure and acts reasonably in dismissing the employee for that reason, taking into account all the circumstances.

Confused about SOSR dismissals? Call employment partner Karen Cole today to clarify the position.

Note: This article is not legal advice; it provides information of general interest about current legal issues.

Stay in touch

Subscribe to our newsletter

Stay in touch

By completing your details and submitting this form you confirm you are happy for us to send you marketing communications and that you agree to our Website Privacy Policy and Legal Notice and to us using Mailchimp to process your data.


Sending

News/Insight

  • How should an employer respond to a ‘heat of the moment’ resignation?
    Employers should remember that a 'heat of the moment' resignation should be treated differently from those that come in the usual course of business. They are often verbal and unexpected and usually follow a workplace disagreement. To do otherwise ma


    Read more
  • An Introduction to Private Client Law
    Lasting Powers of Attorney


    Read more
  • Understanding financial provisions on divorce
    Divorce can be emotionally challenging, and navigating the financial aspects can add to the challenge.


    Read more
  • Digital divorce: the highs and lows
    According to figures from the Ministry of Justice, digital divorce applications rose by 20% in the year following the introduction of no-fault divorce (2022 to 2023).


    Read more
  • Agile AI Regulation: Moving with the times
    Artificial intelligence (AI) is becoming more prominent everywhere we look in our everyday lives. The critical questions for those trying to make AI safer with regulations are: how broad, how soon and how strict should they be?


    Read more

What they say...

  • Peter W, May 2024
    “Patrick Simpson provided first class support when I experienced redundancy. I couldn’t have asked for more. Demonstrating his superior knowledge and experience and explaining everything to me with crystal clarity. Efficient and timely with a

  • Mr Rose, April 2024
    “The firm acted for me in an employment matter where the issues were as much practical as legal. The advice given was thorough and clear, marrying black letter law to the practicalities. This helped me greatly in achieving a satisfactory outcom

  • Brian Higgins, April 2024
    “Patrick was excellent, responded quickly and gave concise, clear advice. He made the process very straightforward.” Employment

  • J. Cassell, April 2024
    “We were advised by Charlotte Barbaroussis. Her dealings were very professional. She was pleasant easy to deal with and very approachable. Her help during the process of setting up my wife’s and my will made the task a lot easier.”

  • David Delicata, April 2024
    “I dealt with Pippa Marshall for my divorce, who was recommended to me by a friend who worked with Pippa for his complicated divorce. She was very professional and very informative. Pippa took her time to go through every aspect, and I really f

Read more
Send this to a friend