Unfair dismissal payouts ‘could reach

  • Posted

Posted 16/12/2010

Changes to employment law due to come into force in February 2011 will see compensation limits for unfair dismissal rise from £65,300 to £68,400.

However, specialist lawyers have warned that these changes could see some cases reach £80,400 as the maximum amount of statutory redundancy pay will rise from £380 to £400 per week, with an overall limit of £12,000.

Employment expert Glenn Hayes told Workplace Law Network: “While the maximum award available in unfair dismissals usually increases annually, this latest planned rise will see the figure reach sums that could seriously impact on the future of some businesses.”

According to the Directgov website, there are several ways a person can be eligible for unfair dismissal compensation in the UK.

These include an employer not following the correct disciplinary process, there being no grounds for a person being fired or the reasons given for dismissal being automatically unfair – for example, wanting maternity leave.


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