Increase in Employment Tribunal limits for 2013
The Employment Tribunal limits increase each year with effect from 1 February. The details of the limits that will apply in 2013 are as follows:
- There will be an increase in the maximum amount of a “week’s pay” from £430 to £450. This is used for the purposes of calculating a basic or additional award of compensation for unfair dismissal and also for statutory redundancy payments.
- The amount of the maximum compensatory award for unfair dismissal is to be increased from £72,300 to £74,200. The maximum basic award will also be increased from £12,900 to £13,500. This means the total maximum award that can be awarded by the Employment Tribunals for successful unfair dismissal claims is £87,700. We have previously covered the fact that the Government is considering reducing the maximum compensatory award. As yet there is no news on whether or when this will be implemented.
- The minimum basic award in cases where a dismissal is deemed unfair because it is connected with health and safety, employee representative, trade union, or occupational pension trustee reasons will increase from £5,300 to £5,500.
- Guarantee payments, which are paid during periods of lay-off or short-time working, will be increased from £23.50 a day to £24.20.
The new limits are applicable where the event that gives rise to the award or payment occurs on or after 1 February 2013.
If you would like to talk through a situation you are dealing with, or if you need advice on any aspect of employment law, please contact any member of the Pure Employment Law team (01243 836840 or firstname.lastname@example.org).