Understanding Employment Tribunal Awards For Unfair Dismissal

Employment tribunals serve as a crucial avenue for employees to seek justice and compensation for unfair treatment in the workplace. One of the most common reasons for an employee taking their employer to an employment tribunal is unfair dismissal. When an employee feels that they have been wrongfully dismissed from their job, they can bring a claim to the tribunal seeking compensation for their losses. In this article, we will explore the process of claiming unfair dismissal and the potential awards that can be granted by the tribunal.

The process of making a claim for unfair dismissal begins with the employee submitting a claim to the employment tribunal within three months of their dismissal. The tribunal will then review the claim and assess whether the dismissal was indeed unfair. If the tribunal agrees that the dismissal was unfair, they will proceed to determine the amount of compensation that the employee is entitled to.

There are two main types of compensation that can be awarded in cases of unfair dismissal: basic awards and compensatory awards. The basic award is calculated based on the employee’s length of service, their age, and their weekly pay, subject to a maximum limit set by law. The compensatory award, on the other hand, is intended to compensate the employee for the financial losses they have suffered as a result of their unfair dismissal, such as loss of income, benefits, and opportunities for career advancement.

In addition to these two main awards, employment tribunals may also grant additional awards in certain circumstances. For example, if the employer acted in a particularly malicious or discriminatory manner when dismissing the employee, the tribunal may award an additional amount as a form of punitive damages. Similarly, if the employer failed to follow proper procedures when dismissing the employee, the tribunal may award an additional amount as a result of the employer’s procedural unfairness.

The amount of compensation that an employee is entitled to receive in a case of unfair dismissal can vary significantly depending on the circumstances of the case. For example, the length of the employee’s service, their age, and their salary at the time of dismissal can all have a significant impact on the final award. Additionally, the tribunal will take into account any efforts that the employee has made to mitigate their losses, such as finding a new job or enrolling in training programs.

It is important to note that employment tribunal awards for unfair dismissal are subject to certain limits and caps set by law. For example, the maximum basic award that can be granted is currently £16,140, while the maximum compensatory award is capped at £88,519. These limits are periodically reviewed and adjusted to reflect changes in the cost of living and economic conditions.

In some cases, the tribunal may also order the employer to reinstate or re-engage the employee instead of awarding financial compensation. Reinstatement involves the employee returning to their previous position as if they had never been dismissed, while re-engagement involves the employee returning to a similar position within the company. While reinstatement and re-engagement are rare remedies, they can be granted if the tribunal believes that it is in the best interests of both the employee and the employer.

Overall, employment tribunal awards for unfair dismissal are designed to compensate employees for the losses they have suffered as a result of their wrongful dismissal and to hold employers accountable for their actions. By understanding the process of claiming unfair dismissal and the potential awards that can be granted by the tribunal, employees can navigate the legal system with confidence and seek justice for the harm they have experienced in the workplace.