ATTORNEYS’ CALL: Employers told to re-examine disciplinary practices after CCJ ruling

A landmark Caribbean Court of Justice (CCJ) decision has triggered urgent calls for Barbados employers to overhaul workplace disciplinary practices, with legal experts warning that procedural fairness and contractual compliance are no longer optional. The ruling in Massy Stores (Barbados) Limited v Forde [2025] has established stringent new standards for employee discipline that could expose companies to significant legal liability if ignored.

Legal attorneys Katriel Pile and Maya L. Kellman, who conducted a comprehensive analysis of the precedent-setting case, emphasize that the court’s decision fundamentally reshapes employer obligations regarding employee misconduct proceedings. The case originated from a dispute where Massy Stores bypassed its own disciplinary procedures to summarily dismiss an employee, prompting judicial scrutiny of whether such actions constituted lawful termination.

The CCJ’s ruling clarified that while summary dismissal remains justified for repudiatory breaches of employment contracts, employers cannot automatically resort to immediate termination without considering contextual factors. The court established that mere misconduct warranting dismissal doesn’t necessarily justify bypassing progressive disciplinary measures when other considerations are present.

Pile and Kellman identify several critical principles emerging from the ruling: contractual incorporation of disciplinary procedures creates binding obligations regardless of employee tenure; suspension without pay requires explicit contractual authorization; and employers must demonstrate proportionality in sanctions considering mitigating circumstances and historical practices.

Perhaps most significantly, the attorneys note the ruling establishes that procedural fairness requirements apply to all employees beyond probationary periods, dismantling the common misconception that short-service employees lack protection against unfair dismissal claims. The decision also introduces what legal experts describe as a ‘humanizing patina’ approach, recognizing that not every rule violation justifies termination and employers must account for human fallibility in workplace contexts.

The legal analysis concludes that effective discipline now requires balancing rule enforcement with lawful, proportionate implementation that acknowledges workplace realities. Failure to adopt these standards could expose employers to claims for lost wages, breach of contract allegations, and significant reputational damage.