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GN Law Media: Financial limits on unfair dismissal claims

 

In addition to all the recent Tribunal rule changes and the introduction of fees in the Employment Tribunal, it is often forgotten that another huge change occurred in respect of the cap on unfair dismissal claims. 

There has been for as long as I can remember a cap on unfair dismissal claims.  This changes every year and the current limit is £74,200.  However for Claimant’s where the effective date of termination was 29th July 2013 or later there is an additional cap.  The limit is now the lowest of the cap at £74,200 or 52 week’s pay.  Those whose employment was terminated before this date with an effective date of termination prior to 29th July 2013 do not have the 52 week’s pay limit just the upper limit.  As with all the changes it will be sometime before we see the changes filter through.

Sarah King, Consultant Solicitor.

Posted on Wednesday, 4th September 2013