Government plans for the summer will see an introduction of a £250 fee paid by the employee, in all tribunal claims for unfair dismissal and a further £950 fee if the case reaches court.
As the situation stands at the moment employees can bring an unfair dismissal claim at no cost, which leads to employees making claims against employers even if they have little chance of success and then the employer has to incur costs to defend them.
The aim of this change is to ease the overburdened tribunal system and make it easier for employers to discipline under performing staff and we anticipate that this will happen. However latest figures have revealed that in the short term, rather than reduce the number of tribunal claims the number has actually increased as employees rush to make a claim before the changes come into effect.
Watch this space to see if the introduction of the fee system will deter unfair dismissal claims in the future.
If you would like to hear more about more proposed changes to Employment legislation being introduced in the Summer or need any assistance on any other HR issues, please do not hesitate to contact ProAktive on 01302 341344.
By Louise Addison