Employment Law-Good news for employers?-Bad news for employees?

Big changes in the Tribunal system:-

1. From 6th April 2014, there is to be an ACAS operated system of pre-claim conciliation.  From 6th April 2014, an employee cannot bring an Employment Tribunal case unless they have received an Early Conciliation Form from ACAS.  The pre-claim conciliation is mandatory.
2. A draft Order has been produced which introduces an additional limit to the maximum compensation an employee can be awarded in unfair dismissal cases.  The current maximum is £74,200.  The draft Order will provide that there is a further cap, which would limit maximum compensation to either £74,200 or a year’s pay, whichever is the lower.  This is expected to come into force in July 2013.
3. Fees.  This is a completely new event in Tribunals.  For standard cases, there is to be an issue fee payable of £250 plus a hearing fee of £950.  Until now, Tribunals have always been free of any fees. Whether this and the other measurements will result in a significant drop in applications, remains to be seen.

Contact Chris Varley 01756 700200 cjv@walkerfoster.com