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Yousif v Defaqto Leisure Ltd t/a Terrace NQ

Burying your race complaint, then coming down hard on you later, can itself be discrimination.

The ruling

Constructive dismissal succeeded; £18,975.55 awarded for race discrimination and harassment.”

Sitting on a race complaint and then disciplining you for something unrelated and minor is a combination that can itself count as unlawful discrimination.

  • Write down what was said and when, especially if a colleague acknowledges that a comment or behaviour was racist.
  • A disciplinary step that skips a stage your contract or employer's procedure normally requires is a warning sign, always worth raising.
  • A complaint that went nowhere, followed swiftly by disciplinary action, is worth raising with a specialist before you decide what to do next. They can help you assess whether you have a claim.
Read the full case

The situation

A young bar tender of mixed Arab and Black heritage was repeatedly called by the name of the only other woman of colour on the team, as though the two of them were interchangeable. A colleague openly acknowledged, laughing, that a remark connected to this was "literally racist." She raised an informal grievance about what had happened, and her employer let it drift without a proper investigation or a single follow-up, until it was as though she had never raised it at all. Months later, she was given a written warning for lateness that skipped the verbal warning her contract said should come first.

What the tribunal found

The tribunal found that the written warning was connected to unconscious race bias. Combined with the mishandled grievance, this breached the implied term of trust and confidence that every employer owes its staff, entitling her to resign and treat herself as constructively dismissed under section 39(7) of the Equality Act 2010. She was awarded £18,975.55 in total. Most of that was a compensatory award, lifted by a 10% uplift because the employer failed to follow the ACAS disciplinary Code. On top of that she received £12,000 for injury to feelings, plus interest.

An employer does not have to slam the door on your complaint to fail you. Leaving it to quietly die, without ever investigating it properly, is a failure in itself, and a tribunal can treat it that way.

Watch what happens afterwards too. A written warning that skips a verbal one first is a process failure on its own, even before you factor in a complaint sitting unresolved in the background. Combined with an ignored complaint, it can be evidence that something less visible, and unlawful, was driving the decision. Keep a running note as things happen. A dated line for what you raised, in your own words, is worth having. If a response never came, note that too. That record is what turns a feeling into evidence.

None of this is easy to piece together on your own, especially while you are still working there and still relying on the wage. This pattern, a complaint that went nowhere followed by disciplinary action that skipped a step it should have followed, is a signal worth acting on. Talk to a specialist before the disciplinary process finishes, not after. They can help you work out whether what happened to you crosses the line into discrimination, and what your options are, including resignation and a constructive dismissal claim.

Full citation

Yousif v Defaqto Leisure Ltd t/a Terrace NQ. Case 2402407/2024. Employment Tribunal. 15 December 2025.

Last reviewed 17 July 2026