The Employment Rights (Increase of Limits) Order 2011 has been published setting out the increases on the limits on employment tribunal awards from 1 February 2012.
The key changes in the Order are: (i) the limit on the amount of a week’s pay for the purposes of calculating, among other things, statutory redundancy payments and the basic award for unfair dismissal will increase from £400 to £430; (ii) the maximum compensatory award for unfair dismissal increases from £68,400 to £72,300; and (iii) guarantee pay (where an employee is not provided with work) increases from £22.20 a day to £23.50 a day. The new rates apply where the event giving rise to compensation or payment occurs on or after 1 February 2012.
This provides summary information and comment on the subject areas covered. Where employment tribunal and appellate court cases are reported, the information does not set out all of the facts, the legal arguments presented and the judgments made in every aspect of the case. Employment law is subject to constant change either by statute or by interpretation by the courts. While every care has been taken in compiling this information, we cannot be held responsible for any errors or omissions. Specialist legal advice must be taken on any legal issues that may arise before embarking upon any formal course of action.