The average compensatory award is around £9,000, so it is questionable whether or not in practice the change will make much of a practical difference.
However where it may make a difference is in terms of managing expectations. Employees often seem to fixate on headline grabbing awards, which tend to be the exception rather than the rule.
The statutory cap will still not apply to dismissals for whistleblowing or discrimination claims. So the questions of the day are:
- Will the changes to the cap coupled with the introduction of fees, discourage claimants from bringing tribunal claims?; or
- Will the changes to the cap encourage spurious discrimination and whistleblowing claims in an attempt to position a potential claimant more favourably?
Tel: 0207 539 4147
This is intended for general information only and should not be considered as giving advice in relation to any individual case nor be taken as applying to any particular case. No liability is accepted for any such use of the information.