Law change allows claims of pounds 36,000 over sackings
Industrial tribunals have been granted a right to hear complaints about contracts as well as allegations of unlawful sacking. The decision means that compensation available at tribunals has risen more than threefold. Until now aggrieved ex-employees only had recourse to relatively expensive litigation through the courts.
Under a regulation passed by the House of Lords, tribunals can award a maximum of pounds 36,000 - pounds 11,000 for unfair dismissal and pounds 25,000 damages for breach of contract. The previous maximum was pounds 11,000. The rule came into effect on 12 July and allows claimants to bring cases within three months of their dismissal.
Writing in the magazine Personnel Management, the Labour lawyer Olga Aiken points out that previous legislation extending the powers of tribunals led to a considerable increase in their caseload.
Before the Wages Act 1986, claims for non-payment of wages or wrongful deductions had to be brought in the ordinary courts. After the Act, cases went to tribunals and last year they amounted to more than a quarter of all referrals to the industrial relations officer at the conciliation service Acas.
The law allows a litigant full remuneration for the length of time it would have taken to end his or her contract legitimately. If a 'poor performing manager' is entitled to three months' notice under a contract and a warning and dismissal process would have taken six months, then the employee is entitled to nine months' remuneration.
However, the new rules also allow employers to mount counter-claims for property lost because of the employee's negligence, for instance. Counter-claims could exceed the original claim.
Oscar Pistorius trial: Athlete vomits again after photographs of Reeva Steenkamp's body are shown in court
Arrest made after man is found by the side of the road with his penis cut off
Malaysia flight MH370: Pitbull song lyrics bear uncanny resemblance to missing plane mystery, according to YouTubers
Missing Malaysia Airlines Flight MH370: Focus shifts west as Indian Ocean becomes latest search area for the aircraft and its passengers
'A charlatan' who scores 'cheap political points': Jeremy Paxman reopens war of words with Michael Gove over the World War One centenary
Katie Hopkins continues campaign to become Britain's most hated talking head with poorly timed Bob Crow tweet
No EU referendum under Labour: Ed Miliband to reveal that vote on membership is ‘unlikely’ in next Parliament if party wins power
Grace Dent: Who cares if she spells it Barraco Barner? Gemma Worrall is more employable than some bookish arts graduate
Fracking is turning the US into a bigger oil producer than Saudi Arabia
Europeans have ‘got whiter’ due to natural selection in past 5,000 years, scientists say
How climate change helped Genghis Khan: Scientists believe a sudden period of warmer weather allowed the Mongols to invade with such success
- 1 Arrest made after man is found by the side of the road with his penis cut off
- 2 Carnage after car hits cyclists in Brazil
- 3 Tim Berners-Lee on creating the web: 'I never expected all these cats'
- 5 First Kiss viral video was just a clothing advert starring actors
Very Competitive: Austen Lloyd: Corporate / Commercial Solicitor - Buckinghams...
£20000 - £23000 per annum: Inspiring Interns: The world's leading mobile adver...
£40000 - £60000 per annum + Highly Competitive Salary: Austen Lloyd: Construct...
£35000 - £45000 per annum: Charter Selection: Charter Selection are currently ...