8. Unfair Dismissal
• 6 month qualification period (1970s)
• 2 year qualification period (1980s)
• 1 year qualification period (2000s)
• No evidence of impact on recruitment
9. Unfair Dismissal
• Increase in discrimination claims
• R (Seymour-Smith) v S of S for
Employment (2000) HL
• Age discrimination
11. Introduction of fines (1)
• „Financial penalties‟ for employers
• 50% of award made
• minimum £100
• maximum £5,000
• Payable to the Exchequer
• Early payment discount
• In addition to uplift under ACAS Code
12. Introduction of fines (2)
• Consultation responses - concerns about
“unintended or accidental shortcomings”
• Judges will have discretion to impose the
financial penalty
13. Deposit orders and costs
• “Address business concerns about weak
claims”
• Deposit orders – cap increasing from £500
to £1,000
• Cap on costs to increase from £10,000 to
£20,000
14. Introduction of fees
• Employment Tribunals are currently 100%
funded by taxpayers - annual cost £84
million, average £1,800 per case
• Transfer the burden on to those who use
the system or who cause the system to be
used
• Currently consulting about reform – closes
6 March 2012, changes coming in 2013/4?
16. Proposal Two
• Single charging point
• Fee = £200 - £600
• For claims of £30,000 or more = £1,750
• How should claims be valued?
17. Fees
• Paid by the other party if you win (unless
Tribunal orders otherwise) – but what is a
win?
• Separate fees for multiple claims
• No infrastructure in the Employment
Tribunals
18. The remission system
• Tim – claims unfairly made redundant, has
since secured another job at a lower salary.
His wife works part time earning £6,000
and they have 3 children
• Entitled to full remission if the couple‟s
income is £26,790 or less
• Get the claim in before you get a new job!
20. Protected Conversations
• David Cameron - “so a boss and an
employee feel able to sit down together
and have a frank conversation – at either‟s
request”.
• Will not be admissible in proceedings.
21. Protected Conversations
• Nick Clegg - “confidence to be open about
performance, about retirement with their
employees”.
• At consultation stage.
22. Protected Conversations
• Issues:
• Elements that are not protected
(discrimination).
• Refusal to engage in protected
conversations.
• Systems already in place.
23. Protected Conversations
• Advantages
– Address issues more directly
– No fear of reprisal
• Disadvantages
– False sense of security
– Will not cover all scenarios
– More complex legislation or guidance for
employers to grapple with
28. Other Reforms
• Increase in statutory caps
• Basic award - £400 to £430
• Compensatory award - £68,400 to £72,300
29. Other Reforms
• TUPE Service Provision Changes
• Collective Redundancy Consultation
30. Other Reforms
• Compromise Agreements
• Equality Act s 147
• independent adviser may not be a party
to the contract or a person acting for a
party to the contract
• anomaly being addressed
31. And Finally
• Compromise Agreements (ERA 1996)
• Qualifying Compromise Contracts (Equality
Act 2010)
• Settlement Agreements
