Employer refusing to provide a reference

This is a common concern and the answer has a few layers to it.

General position:

There is no general legal obligation on an employer in England and Wales to provide a reference for a current or former employee. In most cases, an employer can simply decline to give one. This is well established as a matter of common law.

Exceptions where a reference may be required:

1. Contractual obligation. If your contract of employment, staff handbook, or a settlement agreement includes a term requiring your employer to provide a reference, then your employer is contractually bound to do so. Settlement agreements very commonly include an agreed reference as part of the deal, and if your employer has signed one and then refuses to provide the reference, that is a breach of contract.

2. Regulated industries. In certain sectors, particularly financial services regulated by the FCA and PRA, there is a regulatory obligation on employers to provide references. This applies to firms covered by the Senior Managers and Certification Regime. If you work in such a sector, your employer cannot simply refuse.

3. Discrimination. An employer cannot refuse to give a reference for a discriminatory reason. For example, if your employer gives references for other former employees but refuses to provide one for you because of a protected characteristic such as race, sex, disability, or because you have raised a grievance or brought a tribunal claim, that refusal could amount to unlawful discrimination or victimisation under the Equality Act 2010. A refusal to provide a reference can also amount to a detriment for making a protected disclosure under whistleblowing legislation.

Where a reference is given:

If an employer does choose to give a reference, it must be true and accurate. It does not have to be detailed or glowing, but it must not be misleading. The employer owes a duty of care both to the employee who is the subject of the reference and to the recipient. A negligent or malicious reference can give rise to a claim.

Practical considerations:

Many employers now adopt a policy of providing only basic factual references confirming job title and dates of employment. This is lawful and increasingly standard. It can be frustrating but it is not something you can challenge unless one of the exceptions above applies.

If you believe your employer is refusing a reference for a discriminatory or retaliatory reason, the key step is to gather evidence of the reason for the refusal. Consider whether colleagues in comparable situations have been given references, and whether there is any connection between the refusal and something you have done, such as raising a complaint or asserting a legal right.

If you have a settlement agreement that includes a reference and your employer is not honouring it, that is a straightforward breach of contract and you should raise it in writing, referring to the specific clause, before considering further action.

If you are in a regulated sector and your employer is refusing, you may wish to raise the matter with the relevant regulator.

Would you like me to go into more detail on any of these points or help you work out which exception might apply in your situation?