2008 Legal Updates

Employment Legislation: Maximum Awards in Unfair Dismissal Cases (SI 2004/2989.)

On 1 February 2005, The Employment Rights (Increase of Limits) Order 2004 ("The Order") came into force. The Order increases the limits on the maximum amounts which employment tribunals can award
in unfair dismissal cases.
The increases are due to take effect where the "appropriate date" (typically the date of dismissal) is on or after 1st February 2005.

Therefore, the absolute maximum possible award on unfair dismissal cases will rise from £63,100 to £65,200. Discrimination cases are not affected as there is no statutory limit to the amount employment tribunals can award in such cases. Below is a table showing the new limits against the old limits of awards.

 

Relevant statutory provision Subject of provision Old Limits New Limits

Section 156(1) of the 1992 Act
Minimum amount of basic
award of compensation where
dismissal is unfair by virtue of
section 152(1) or 153 of the 1992 Act.
£3,600
£3,800

Section 176(6) of the 1992 Act
Minimum amount of compensation
awarded by the Employment Appeal
Tribunal where individual excluded
or expelled from union in contravention
of section 174 of the 1992 Act.
£5,900
£6,100

Section 31(1) of the 1996 Act
Limit on amount of guarantee
payment payable to an employee in
respect of any day.
£17.80
£18.40

Section 120(1) of the 1996 Act
Minimum amount of basic award
of compensation where dismissal
is unfair by virtue of section
100(1)(a) or (b), 101A(d), 102(1)
or 103 of the 1996 Act.
£3,600
£3,800

Section 124(1) of the 1996 Act
Limit on amount of compensatory
award for unfair dismissal.
£55,000
£56,800

Paragraphs (a) and (b) of section
186(1) of the 1996 Act
Limits on amount in respect
of any one week payable to an
employee in respect of debt to
which Part XII of the 1996 Act
applies and which is referable
to a period of time.
£270
£280

         

If you require further information on employee rights contact us.

Email: [email protected]


http://www.rtcoopers.com/practice_employment.php - employment law

http://www.employmentlawyersinlondon.com/news.html - employee rights in unfair dismissal cases


© RT COOPERS, 2005. This Briefing Note does not provide a comprehensive or complete statement of the law relating to the issues discussed nor does it constitute legal advice. It is intended only to highlight general issues. Specialist legal advice should always be sought in relation to particular circumstances.

 

 

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