New financial penalties for employers who lose employment tribunal claims coming into force on 6 April 2014
The Enterprise and Regulatory Reform Act 2013 (ERRA), which received Royal Assent on 25 April 2013, includes a provision giving employment tribunals discretionary powers to levy financial penalties against employers who lose claims. This provision is not yet in force. However, the government has recently confirmed that it will come into force on 6 April 2014.
Aside from the various remedies that can be awarded, employment tribunals currently have no powers to penalise employers for breaches of employment law. From 6 April 2014, however, employment tribunals will be able to order employers to pay a financial penalty of between £100 to £5,000, where it loses a claim and where ‘aggravating features’ are present.
Employment tribunals will be able to impose the penalty irrespective of the nature of the remedy awarded, although where a financial award is made the penalty must be 50 per cent of that award (subject to the overall cap of £5,000). The employer’s ability to pay the penalty must also be taken into account…
If you are registered and logged in to the site, click on the link below to read the rest of the Addleshaw Goddard briefing. If not, please register or sign in with your details below.
Sign in or Register to continue reading this article
It's quick, easy and free!
It takes just 5 minutes to register. Answer a few simple questions and once completed you’ll have instant access.Register now
Why register to The Lawyer
In-depth, expert analysis into the stories behind the headlines from our leading team of journalists.
Identify the major players and business opportunities within a particular region through our series of free, special reports.
Receive your pick of The Lawyer's daily and weekly email newsletters, tailored by practice area, region and job function.
More relevant to you
To continue providing the best analysis, insight and news across the legal market we are collecting some information about who you are, what you do and where you work to improve The Lawyer and make it more relevant to you.
News from Addleshaw Goddard
News from The Lawyer
Briefings from Addleshaw Goddard
Data Issues Roundup, 27 March: unlimited fines; cross-device tracking; a provocateurs database; and more
Also; South Korea passes world’s first Cloud law; Russia says companies can store personal data abroad; and more.
Employers should be satisfied the commission in question can be described as ’normal remuneration’, and other tips.
Analysis from The Lawyer
Which firms are cutting it in this era of slimline rosters, and who are the GC new brooms making clean sweeps? The Lawyer can reveal all
Could Slater & Gordon achieve its stated aim of becoming a top consumer brand by acquiring Pannone?