In one of the largest unfair dismissal awards in Ireland to date, the Labour Court has ordered music composition software company Hyph to pay €445,440 in compensation to its Irish founder, Mick Kiely.

Mr Kiely, who was earning €326,000 annually as CEO of Hyph Ireland Ltd, was dismissed in November 2021 following a dispute with the company’s group CEO. Although the employer admitted unfair dismissal during the Workplace Relations Commission (WRC) hearing in 2023, it challenged the compensation amount, calling it “excessive.”

Initially, the WRC awarded Mr Kiely €440,000 in February 2024 — the largest award under the Unfair Dismissals Act 1977 at that time. However, the Labour Court has now slightly increased the compensation to €445,440 after the company’s appeal failed.

The court rejected the employer’s claims that Mr Kiely failed to mitigate his losses by seeking alternative work. It accepted that, given his high-level role and a restrictive non-compete clause preventing him from working in his industry for a year, his decision to focus on establishing a new business was reasonable.

This case highlights two important points for employees and employers alike:

• Non-compete clauses can heavily impact compensation if an employee cannot work in their sector after dismissal.
• Unfair dismissal awards can be significant, especially where the employee held a senior role and has evidence of financial loss.

At Employment Matters, we support employees facing unfair dismissal claims. If you believe your dismissal was unjust, it’s important to seek professional advice as early as possible.

👉 Need advice on an unfair dismissal? Contact our team today for expert guidance.