Labour Court Orders Tech Firm to Pay €445,440 for Unfair Dismissal

A tech company has been ordered to pay €445,440 (approximately $512,000) to its founder, Mick Kiely, following a ruling by the Labour Court regarding his unfair dismissal. This decision comes after the company lost its appeal against what it described as an “excessive” compensation award, which was initially granted in February 2024 under the Unfair Dismissals Act 1977.

The dismissal stems from Kiely’s ousting as chairman and CEO of Hyph Ireland Ltd in November 2021. The Labour Court’s ruling emphasized that Kiely’s high salary and successful business track record entitled him to focus on establishing a new venture during his unemployment rather than seeking alternative employment.

Kiely, who earned approximately €326,000 ($384,000) annually, was terminated from his role in the company after a disagreement with group CEO Max Renard on November 18, 2021. Kiely recounted that the dispute escalated later that evening when he encountered Renard at a bar in Boston. The following day, Steve Gallucci, the company’s then-chief financial officer, notified him of his termination.

The company admitted to the unfair dismissal during the case presented to the Workplace Relations Commission (WRC) in 2023. Despite this admission, the primary contention in the Labour Court was the amount of compensation owed to Kiely. During the proceedings, the employer contended that the WRC’s award was excessive, citing the circumstances surrounding Kiely’s dismissal and subsequent actions. They argued that he had not actively sought alternative employment to mitigate his losses.

The company claimed that Kiely had returned from Los Angeles, where he had worked since 2017, on the wrong visa, thus making his employment illegal. Kiely, however, refuted this assertion, labeling it a “complete fabrication” and affirming his right to continue working in research and development roles.

Kiely’s lawyer, Jason Murray, indicated that his client had been hesitant to pursue other job opportunities due to fears of breaching a 12-month non-compete clause following his dismissal. Murray stated that Kiely had requested to be released from this clause but was denied, effectively rendering him unable to work in his field for a year after being let go.

During the period of his unemployment, Kiely reportedly earned around €10,000 from managing holiday homes in Co Clare and an additional $2,000 for music production. However, he successfully launched a new business by May 2023.

The Labour Court ultimately ruled that the dismissal was unfair, awarding Kiely compensation equivalent to 16 months’ pay, amounting to €445,440. This figure reflects the exchange rate as of June 2025, highlighting the significant financial implications of the case for both the individual and the company.

This ruling sets a precedent regarding the responsibilities of employers in cases of unfair dismissal, reinforcing the rights of employees to seek reasonable compensation when terminated without just cause.