Unsurprisingly, the increase over the last few years in employees rights, have resulted in a responding increase in employment tribunal claims. Although the maximum awards for unfair dismissal compensation and the like are steadily rising, you do need to be aware that there is a significant investment required in actually defending such a claim – not only in the costs of your employment solicitor, but also in the time and stress imposed on your own business.
Before deciding whether to defend, have a good look at how strong the claim actually is. It is also worth bearing in mind that although the maximum payout for unfair dismissal claims increased in 2011 to a maximum of £80,040, the average unfair dismissal claim payout in 2009/10 was only £6275. What’s more, recent research has suggested that the cost to your own business, in staff time lost, averages £9,000 – and that’s before you even start to pay legal costs!
My advice – it’s always worth taking brief legal advice from specialist employment lawyers – that initial advice shouldn’t cost much and you may be surprised that a good commercially minded solicitor may well suggest that you give some serious thought to settling as the cheaper option.
One Comment
I have so far spent over £30000 figthing a fraudulent claimby a dishonest ex-employee in the Bristol Employment Tribunal and my experience has been that Employers have no rights in Employment Courts. The most shocking experience has been the way the judges have abused their power and perverted the evidence. You can read my blog on http://www.timeforjustice.co.uk