Senior business leaders have called for a £50,000 cap on all Employment Tribunal compensation awards. Currently unfair dismissal compensation is capped at £68,400. Discrimination claims which can include injury to feelings and significant loss of pension rights are currently unlimited.
This cause is supported by Christopher Chope's Private Members’ Bill which is currently progressing through Parliament calling for a similar £50,000 cap. The consensus is that the Bill will not become law in its current form. Nonetheless, there is gathering momentum to cap compensation limits in the Tribunal and the Government has announced it will review calls to cap discrimination compensation.
This article was written by Clare Hedges, a solicitor in our employment team. This article features in the July edition of Employment Law Update - to read more articles from this legal update please click here. The content of this article is for general information only and is based on the law as at 5 July 2011. As always, specific professional advice should be taken on each individual matter.