Why Did Letby Trust Pay £1.4M in Damages to Its Ex-CEO?

Dr Susan Gilby, the former chief executive of the Countess of Chester NHS Trust, has been awarded £1.4 million in damages after successfully suing the Trust for unfair dismissal. The case highlights serious concerns about workplace bullying and whistleblower protections within the NHS, marking one of the largest compensation payments ever made by the health service.

Last updated: 09 October 2023 (BST)

What’s happening now

The employment tribunal ruling in favour of Dr Gilby has sent ripples through the NHS, prompting discussions about workplace culture and the treatment of whistleblowers. Gilby had accused the Trust's board members of conspiring to remove her from her position, culminating in a £1.4 million damages award. The total cost to taxpayers, including legal fees and court costs, is expected to reach approximately £3 million after the Trust opted against settling the case earlier.

Key takeaways

Dr Susan Gilby awarded £1.4 million for unfair dismissal from the Countess of Chester NHS Trust.
The total financial impact on taxpayers could be around £3 million due to legal costs.
The case highlights issues surrounding workplace bullying and whistleblower protections in the NHS.

Timeline: how we got here

The timeline of events leading to Dr Gilby's substantial compensation award includes critical milestones:

September 2018: Dr Gilby appointed chief executive of the Countess of Chester NHS Trust shortly after Lucy Letby’s arrest.
October 2022: Director Ros Fallon allegedly pressured Dr Gilby to resign during a meeting at a pub.
December 2022: Dr Gilby is suspended from her position, leading to her resignation and subsequent legal action.
February 2023: Employment tribunal finds in favour of Dr Gilby, revealing a conspiracy to remove her from her role.
October 2023: Tribunal awards Dr Gilby £1.4 million in damages, with overall costs expected to reach £3 million.

What’s new vs what’s known

New today/this week

The recent financial ruling in favour of Dr Gilby is a significant development, drawing attention to the ongoing issues related to workplace bullying within the NHS. The compensation awarded is one of the largest in NHS history, signalling a potential shift in accountability for management practices.

What was already established

Prior to this ruling, there was already a growing awareness of the challenges faced by NHS whistleblowers and the inadequacies of current protections. Reports of bullying and harassment have surfaced frequently, but they have often gone unaddressed, leaving employees fearful of repercussions.

Impact for the UK

Consumers and households

For the general public, this case raises questions about the efficiency and ethical conduct of NHS management. The financial burden of £3 million on taxpayers may lead to calls for increased scrutiny of NHS governance and spending practices, especially in light of ongoing funding challenges within the health service.

Businesses and jobs

The situation may prompt NHS trusts across the UK to reassess their workplace policies and management structures. An increase in claims related to unfair dismissal and workplace bullying could emerge, leading to a potential rise in legal costs and a need for better employee support systems.

Policy and regulation

This case may catalyse discussions about reforming existing legislation surrounding whistleblower protections within the NHS. Stakeholders, including the British Medical Association (BMA), have urged for legislative changes to ensure that NHS employees, like Dr Gilby, feel safe and supported in raising concerns without fear of retaliation.

Numbers that matter

£1.4 million: The amount awarded to Dr Gilby in damages for unfair dismissal.
£3 million: Estimated total cost to taxpayers, including legal fees and court costs.
4: The number of directors involved in the alleged conspiracy against Dr Gilby.

Definitions and jargon buster

Whistleblower: An employee who reports unethical or illegal activities within their organisation.
Tribunal: A type of court that deals with specific disputes, including employment-related matters.

How to think about the next steps

Near term (0–4 weeks)

In the immediate aftermath of the ruling, NHS trusts may seek to review their internal policies and address any potential grievances among staff to avoid similar legal challenges in the future.

Medium term (1–6 months)

As the implications of this case are felt across the NHS, there may be increased calls for legislative reform concerning whistleblower protections. Stakeholders will likely push for clearer guidelines and support systems for employees raising concerns.

Signals to watch

Potential changes to NHS governance policies and whistleblower protection laws.
Reactions from NHS management and board members regarding workplace culture improvements.
Increased reports or claims related to workplace bullying and harassment within the NHS.

Practical guidance

Do

Encourage transparent communication within the workplace.
Foster a culture of support where employees feel safe to raise concerns.

Don’t

Ignore signs of workplace bullying or harassment.
Pressure employees to resign or remain silent about grievances.

Checklist

Assess workplace policies on harassment and bullying.
Review mechanisms for reporting concerns anonymously.
Establish clear support systems for whistleblowers.

Risks, caveats, and uncertainties

While the tribunal's ruling in favour of Dr Gilby is a landmark decision, it is important to recognise that the broader implications for the NHS remain uncertain. The potential for further legal challenges related to workplace bullying is high, and the responses from NHS management may vary widely across different trusts. Stakeholders should remain cautious and vigilant as this situation develops.

Bottom line

The case of Dr Susan Gilby underscores the pressing need for reforms in the NHS regarding whistleblower protections and workplace culture. The significant compensation awarded highlights systemic issues that could have lasting implications for trust in the health service. The outcome of this case may inspire other victims of workplace bullying to come forward, potentially leading to broader changes within NHS governance.

FAQs

What were the reasons for Dr Gilby's unfair dismissal claim?

Dr Gilby claimed she was unfairly dismissed due to workplace bullying and a conspiracy by the Trust's board members to remove her from her position.

How much compensation did Dr Gilby receive?

Dr Gilby was awarded £1.4 million in damages following the employment tribunal's ruling in her favour.

What is the expected total cost of the case to taxpayers?

The total cost to taxpayers, including legal fees and court costs, is estimated to be around £3 million.