Compensation Award to Rise for Unfair Dismissal Cases

Author:
Balal Qaiser
Employment Law Solicitor
Date:
01/04/2022

From 6 April 2022, the Employment Rights (Increase of Limits) Order 2022, will come into effect. This means that the maximum amount of compensation that can be awarded by an Employment Tribunal following a successful claim for Unfair Dismissal has been raised. The increased limits will apply to dismissals and redundancies. 

Here is everything you need to know about the increase.

How Much Will it Increase?

 

Currently, the maximum weekly pay for a basic award of compensation following an unfair dismissal claim is £544; this will be increasing to £571. This new amount will also apply when calculating statutory redundancy pay. 

The maximum limit on the amount of compensatory award will also increase from £89,493 to £93,878. After 6 April 2022, if you make a successful claim for unfair dismissal, the Employment Tribunal can make a compensatory award of up-to 52 weeks’ pay or £93,878, whichever is lower.

 

What Else is Increasing?

 

As well as this, if you have been dismissed for one of the following reasons, the minimum amount of basic award for compensation following a successful claim will also increase from £6,634 to £6,959:

 

  • Carrying out activity to prevent or reduce risk to Health & Safety at work;
  • Performing activity as a designated Health & Safety Representative;
  • Trade Union membership or proposing to become a member of a trade union;
  • Involvement in trade union activities;
  • Being a trustee of an occupational pension scheme;
  • Being an employee representative.
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I Think I Have Been Unfairly Dismissed - What can I do?

 

If you think you’ve been unfairly dismissed, we can help you bring a claim against your employer at an Employment Tribunal. Or, if you feel you’re at risk of being unfairly dismissed, we can help you to try to resolve the issues with your employer.

Our experienced Employment Law Solicitors can review your situation and tell you if you’ve been unfairly dismissed. If we think you’ve got a case, we can help you make a claim at the Employment Tribunal or negotiate with your employer for a settlement.

You need to have worked for at least 2 years with your employer to make an unfair dismissal claim. But, if you’ve been dismissed for an automatically unfair reason, this does not apply.

Every situation is different, so we recommend getting legal advice from one of our Employment Law Solicitors as soon as you are able. You only have 3 months less than 1 day from your last day of employment to make an unfair dismissal claim, so get in touch with us today.

 

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