Page 30 - BOSS Today Issue 18

HR

EmploymEnt tribunal FEEs:

spEnd monEy to

Claim monEy

New rules on employment tribunals offer positive benefits to employers

fter much consultation, employee rights and access to Remissions
rumour and conjecture, justice as extremely prohibitive However, there will be
Athe divisive issue of for the average worker. An exemptions from fees for those
Employment Tribunal (ET) fees example of why this may be a on low incomes and benefits, in
has now been finalised. valid point is that some unpaid line with the current system in
Claims made to the ET will wage claims are relatively low, the County Courts. The income
be split into levels one and two perhaps only a few hundred thresholds to obtain remission
respectively, with different fees pounds. Previously it was free to for these fees are currently set at
being applicable at each level attempt recovery of these wages £13,000 gross income for a single
depending on the type of claim from delinquent employers; person and £18,000 for a couple.
submitted by the Claimant. now, however, it is thought that
the fees will put many off and Conclusion
Level 1 provide protection for employers While the reforms sought for
These claims will comprise the that fail to pay wages. the above fees will see some
more straightforward and lower obvious savings for the taxpayer
value cases, generally for cash Level 2 overall through discouraging
sums due on termination of This comprises all other claims, spurious claims, a relatively low
employment, which are less including unfair dismissal, paid employee who believes
costly for the ET to administer. discrimination, equal pay and he or she has been dismissed
Examples of such claims would whistleblowing claims. For these unfairly, for example, will still be
be unpaid wages, statutory cases, the applicable fees will be able to lodge a claim, with the
redundancy payments and £250 on issuing a claim and £950 fees being waived by the ET.
payment in lieu of notice. The for the hearing. This is the most Although a precise date has
actual cost of bringing a level welcome change for employers, not yet been given, the ‘end of
one claim, not including union or who previously had to fork out July’ has been cited as the likely
legal costs (which an individual thousands of pounds to defend implementation date.
will still have to meet personally), a baseless claim of discrimination
will be £160 for issuing and then or unfair dismissal, where it had n FOR MORE ADVICE
a further £230 for the hearing. cost the aggrieved employee CONTACT YOUR BOSS
However, the new fees have potentially nothing to bring the HR ADVISER ON
been attacked by advocates of claim. 0845 450 1565

30 BOSS TODAY | July/August 2013

DTB HR.indd 2 25/07/2013 15:40