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Work tribunal reforms proposed

28th January 2011

Proposed Government reforms to the employment tribunals process include raising the qualifying period for unfair dismissal claims from one to two years.

Fees could also be introduced in order for cases to be brought.

A series of “important reforms” have been laid out by ministers with the aim of enhancing the way the “costly and time consuming” employment tribunal system works. The proposals will go to a public consultation.

There was a record number of tribunals last year at 236,000, which was up 56% on the previous year. 

The Government said that companies had to spend an average of £4,000 to defend a claim against it.

“We’ve heard loud and clear the concerns from businesses up and down the country that the system has become too costly, takes too much time, and that it is too easy to make unmerited or vexatious claims,” said a government spokesman.

“We’re particularly concerned that it places unnecessary strains on small businesses.” 

Key changes being proposed include increasing the qualifying period before workers can bring a claim for unfair dismissal from one to two years after businesses said the existing legislation was too weighed against them when it comes to the decision to employ people.

The Government will also consult on introducing fees for bringing a tribunal claim, saying there are concerns that the current system leads to a large number of unmerited or vexatious claims.

Ministers also published an Employers Charter setting out what measures could already be used to manage staff “reasonably, fairly and lawfully”.

Our Employment team provides advice on the employment aspects of all major business decisions. For advice, contact a member of the team, call us on 08456 381 381 or email enquiries@ibblaw.co.uk.



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