From 1st February 2013 the maximum award for unfair dismissal claims will increase from £72,300 to £74,200. Other related payments will also be affected including Redundancy payments.
The Government has announced increases to the limits for Employment Tribunal awards and related payments. These will come into effect from 1st February 2013.
When calculating statutory redundancy payments the limit on a week’s pay will rise from £430 to £450. This rise also applies to the calculation of the basic award in unfair dismissal cases.
Unfair dismissal payouts
The maximum compensatory award for unfair dismissal will increase from £72,300 to £74,200. The Government is currently reviewing the level of compensatory awards and this, in time, may see them decrease dramatically from this high.
The minimum basic award in cases where the dismissal was unfair by virtue of being an employee representative or trade union official, health and safely reasons or reasons connected to being an occupational pension trustee will increase from £5,300 to 5,500.