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UNFAIR DISMISSAL COMPENSATION
The Ministry of Justice has published the employment tribunal statistics for 2011/12, which show that the median compensation awarded for unfair dismissal now stands at £4,560.
There is therefore a considerable gap between most sums awarded and the current £72,300 limit on unfair dismissal compensatory awards. Does this relatively high cap result in unrealistic expectations about the likely financial rewards of claiming unfair dismissal? The Government thinks so, and has opened a consultation on reducing it to the lower of 12 months' pay or a fixed sum of as little as £26,000.
While it is true that most awards are already considerably less than the proposed limits, consultant editor Darren Newman argues in his "perspective" article that it is the cases settled without a tribunal claim being brought where the impact of such a change would be felt most.
Jo Stubbs
Employment law editor,
XpertHR |
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