Understanding Employment Tribunal Awards For Unfair Dismissal

Unfair dismissal is a common issue that many employees face in the workplace. When an employee believes they have been unfairly dismissed, they have the option to take their case to an employment tribunal. Employment tribunals are independent judicial bodies that adjudicate on disputes between employees and employers regarding employment rights. In cases of unfair dismissal, the employer may be ordered to pay compensation to the employee. In this article, we will explore the process of claiming for unfair dismissal and the likely awards that can be granted by an employment tribunal.

To establish a claim for unfair dismissal, an employee must first meet certain criteria. They must have been employed for a minimum period of continuous service, which is usually two years unless the dismissal was due to discrimination, whistleblowing, or other protected reasons. The employee must also lodge their claim with the employment tribunal within three months of their dismissal date.

Once the claim is lodged, the employment tribunal will process the case and make a ruling on whether the dismissal was unfair. If the tribunal finds in favor of the employee, they will then determine the compensation that is due. This compensation is known as an employment tribunal award.

There are two elements to an employment tribunal award for unfair dismissal – the basic award and the compensatory award. The basic award is calculated based on the employee’s age, length of service, and weekly pay. The maximum amount that can be awarded is capped at £16,140. The compensatory award, on the other hand, is designed to compensate the employee for any financial losses they have suffered as a result of their dismissal. This might include loss of earnings, benefits, and pension contributions.

The compensatory award has no upper limit, unlike the basic award. The amount awarded will depend on various factors such as the employee’s age, length of service, earnings, and the circumstances surrounding the dismissal. In cases where an employer’s conduct was particularly egregious, the compensatory award may be increased by up to 25%.

It is important to note that the employment tribunal will also take into account any steps the employee has taken to mitigate their loss. This could include finding alternative employment or retraining. Failure to do so might result in a reduction of the compensatory award.

In addition to the basic and compensatory awards, an employment tribunal may also award a sum for injury to feelings. This is common in cases where the employee has suffered discrimination, harassment, or victimization. The amount awarded for injury to feelings can vary widely, depending on the severity of the impact on the employee.

When assessing the likely awards in a case of unfair dismissal, it is important to consider the specific circumstances of the case. Factors such as the employee’s length of service, age, earnings, and the employer’s conduct will all play a role in determining the final award. While there are maximum caps on the basic award, the compensatory award can be significant, especially in cases where the employee has been out of work for an extended period.

In conclusion, employment tribunal awards for unfair dismissal can vary widely depending on the specific circumstances of the case. The basic award is capped at £16,140, while the compensatory award has no upper limit. Additional sums may also be awarded for injury to feelings. It is advisable for employees who believe they have been unfairly dismissed to seek legal advice and consider bringing a claim to the employment tribunal to ensure they receive the compensation they are entitled to.