Failure to Pay for Private Medical Treatment Amounted to Disability Discrimination

The Employment Appeal Tribunal (EAT) held in Croft Vets Ltd v Butcher [2013] UKEAT 0430 that an employer had discriminated against a disabled employee when it failed to pay for the private medical treatment of her work-related stress and depression. 

Ms Butcher was a finance and receptionist manager at Croft Vets Ltd (Croft).  She was on long-term sick leave with work-related stress and depression, and was disabled for the purposes of UK discrimination legislation.  Croft referred her to a consultant psychiatrist, Dr Parry, who recommended that Croft should fund psychiatric sessions and counseling for Ms Butcher. He believed this would assist, although not guarantee, her return to work.  Croft failed to follow either recommendation, without explanation or consultation with Ms Butcher.  The EAT upheld the Employment Tribunal's findings of disability discrimination and constructive dismissal.  By not implementing Dr Parry's recommendations, Croft had failed to make reasonable adjustments to assist her to return to work and this amounted to both disability discrimination and a fundamental breach of contract.  The EAT made clear that it was not imposing an obligation on employers to fund private medical treatment in general, but that employers should pay for specific forms of medical support where this would assist disabled employees to return to work.

This decision will be of concern to employers as it highlights the need to follow recommendations regarding medical treatment, even where this may be costly and may not guarantee the employee's return to work.  Failure to do so could expose employers to disability discrimination and constructive dismissal claims.