Inflation kicks unfair dismissal awards upwards
Inflation affects everything of course, so why shouldn’t awards for unfair dismissal go up also? And indeed they do, in April of each year the new maximum awards are set for basic awards, statutory redundancy payments, and compensatory awards.
So on 6th April 2017 the ‘free money’ element (basic award / redundancy) becomes £14,670.00 (for an employee with 20 years’ service) and the maximum compensation element goes up to £80,541.00.
So the worst case scenario for falling foul of the unfair dismissal legislation will be awards totalling just over £95,000.00 plus legal costs, management time and damage to reputation.
Which leads me nicely on to the next noteworthy development in this area: earlier this month the Ministry of Justice launched its website of employment tribunal decisions.
Already hundreds of judgments have been published. Keen to see what was going on in the world of tribunal misery I subscribed to the free update service and my email inbox has not been the same since!
This is all – quite obviously – bad for employers who get things wrong or pay little regard to employee rights. Good for Employment Law and HR consultants? Well perhaps so.