If an employer is unsuccessful at an employment tribunal, the amount they must payout can be very large and have a significant impact on the business. The compensation paid to the claimant can run into millions of pounds and for a lot of cases there is no limit.
An example of a case with a large payout was Ms N Williams v Ministry of Defence, a former RAF nurse at Birmingham’s Queen Elizabeth Hospital bought a claim for sex discrimination against the ministry of defence over her non-promotion and she was awarded £557,039. The employment tribunal concluded that the ministry of defences tactic to promotion was more in favour of male officers over female officers.
A recent cap was introduced for unfair dismissal so if you were dismissed on or after 6th April 2019 the maximum that can be awarded is £86,444.
Employment tribunal awards
Costs for different claims can vary but generally payouts are all extremely high. The table below shows employment tribunal awards for unfair dismissal, disability discrimination, race discrimination, sex discrimination, sexual orientation discrimination, age discrimination and religion or belief discrimination.
| Average Award for 2017/2018 | Medium Award for 2017/2018 | Highest Award for 2017/2018 | Current Potential Maximum Award | |
| Unfair Dismissal | £15,007 | £8,015 | £415,227 | £86,444 |
| Disability Discrimination | £30,698 | £16,523 | £242,130 | Unlimited |
| Race Discrimination | £24,322 |
£11,299 |
£124,979 | Unlimited |
| Sex Discrimination | £13,212 | £10,638 | £36,616 | Unlimited |
| Sexual Orientation Discrimination | £12,550 | £12,550 | £24,100 | Unlimited |
| Age Discrimination | £6,796 | £6,184 | £10,432 | Unlimited |
| Religion or Belief Discrimination | £5,074 | £5,696 | £6,846 | Unlimited |
Source: gov.uk
The UK Supreme Court abolished tribunal fees in July 2017 employment tribunal (ET) claims have continued to increase quarter on quarter.
Given the rapid increase in the amount of complaints to Employment Tribunals employers need to ensure now more than ever that their policies and procedures are legally compliant and making sure that the correct procedures are followed through with having regards to current legislation.
Employers need to consider not only the legal fees and the risk of being unsuccessful in litigation but also the management and HR time spent in defending claims which can also be very costly!
Are you facing an employment tribunal?
We understand that dealing with employment disputes can be difficult, so our experts can help you each step of the way! Call our expert team today on 0333 240 7208. Alternatively, if you would like advice on how to deal with an employee dispute and prevent an employment tribunal call us or contact us here.
