A rail company has failed to overturn a tribunal's decision it had unfairly dismissed an employee because she was pregnant.

New Southern Railway Limited's appeal against the victory for Hannah Quinn was thrown out at an employment tribunal.

Mrs Quinn, 26, of Trafalgar Road, Portslade, was demoted two days before Christmas when her Brighton-based employers learned she was having a baby.

She said: "I hope when my baby grows up she'll be proud of what I've done. I'm keeping a scrapbook about the case so one day she can read about all this fuss over her.

"I am happy with the decision but I'm worried they will appeal again."

Baby Mia, one, was born in July last year. Mrs Quinn told her employers she was pregnant in November 2003, two months after she had been promoted from a PA support role to duty manager with an increased salary.

On December 23, she was told she must return to her previous job and pay level. New Southern had carried out a risk assessment and decided she could not stay as a duty manager while she was pregnant.

Mrs Quinn said: "They made my life so difficult I had no choice but to resign in June 2004. I was worried about the health of my baby."

When Hannah's case went to a tribunal in Brighton in February, it was found the company could have made adjustments and kept her on as duty manager.

The tribunal ruled she had been unfairly and constructively dismissed, finding New Southern had discriminated against her on the grounds of her sex, "subjected her to a detriment" because she was pregnant and breached a term of the Employment Rights Act relating to her salary.

The company decided to appeal the decision at the Employment Appeal Tribunal in London on the grounds that Hannah had waived her right to a constructive dismissal ruling by leaving it too long before resigning but lost its case on August 2.

Jayne Phillips, from Mrs Quinn's lawyers Morrish & Co, said: "It won't make up for the amount of totally unnecessary upheaval and distress she's had to suffer but I'm delighted we've had a positive result."

Compensation for the dismissal is yet to be decided by the tribunal.