Blog-12-01- New Compensation limits for Tribunal Claims

New Compensation limits for Tribunal Claims

January 2012

The government has published the new compensation limits that will come into force from 1st February 2012. These limits apply to certain employment tribunal awards and other amounts payable under employment legislation.

The notable changes are:

• Maximum compensatory award for unfair dismissal will increase from £68,400 to £72,300 (5.7%)
   
• Week's pay for the purposes of calculating Statutory Redundancy Payments and the Basic Award for Unfair Dismissal will increase from £400 to £430 (7.5%)
   
• Guaranteed Pay (during lay-off) will increase from £22.20 a day to £23.50 (5.9%)
   
• The minimum basic award in cases where dismissal was unfair by virtue of health and safety, being an employee representative and the other statutory situations will increase from £5,000 to £5,300 (6%).

The new rates will apply where the event giving rise to compensation or payment occurs on or after 1st February 2012.

Watch our website for further updates.