Rigby v Ferodo Ltd [1988] ICR 29 is a UK labour law case concerning the contract of employment.

Mr Rigby, who worked as a lathe operator on £129 a week with a contract terminable on 12 weeks’ notice, made it known he did not accept the wage reduction.

The judge held there was a unilateral variation of the contract, which amounted to a breach, and so Mr Rigby was entitled to damages.

The House of Lords held that there had been a repudiatory breach of contract by the employer and so Mr Rigby was entitled to claim his shortfall in wages.

If the employee continued to work, this did not necessarily imply he accepted the change, nor was it the case that the contract was automatically brought to an end.