Stressed VAT Manager wins £138,000 Compensation

HM Revenue & Customs (HMRC) has agreed to pay £138,000 to an ex-employee who claimed his job caused such severe stress and depression that he may never work again. Stephen Mellor, 58, won the out-of-court settlement after claiming that his employer, the then HM Customs & Excise caused him 'mental harm' while he worked as a senior manager at a VAT office in Droitwich, West Midlands.

Mellor began to suffer from stress and depression in 1998 after his management responsibilities were extended to cover three new offices. In 2001, the condition forced him to take four months off work.

Though the department knew about his condition, when he returned, his workload was increased again, making him responsible for 220 employees instead of 90.

The new role required frequent travel between offices and Mellor was taking increasing amounts of anti-depressants which made him drowsy and unsafe to drive. He requested early retirement but was refused and he was eventually force to stand down for health reasons after the department failed to find him another less stressful post.