This site is intended for health professionals only

Bid to cap tribunal payouts fails

Bid to cap tribunal payouts fails

22 June 2011

Share this story:


An attempt by a Tory MP to change the law so that employment tribunal payouts are capped at £50,000 has failed.

The current system, which allows unlimited amounts to be awarded in discrimination cases, has led to “farcical” amounts of compensation, Christopher Chope said.

But there is not much chance of the Christchurch MP’s Tribunal (Maximum Compensation Awards) Bill making any more progress after time ran out for a debate at its second reading.

An attempt by a Tory MP to change the law so that employment tribunal payouts are capped at £50,000 has failed.

The current system, which allows unlimited amounts to be awarded in discrimination cases, has led to “farcical” amounts of compensation, Christopher Chope said.

But there is not much chance of the Christchurch MP’s Tribunal (Maximum Compensation Awards) Bill making any more progress after time ran out for a debate at its second reading.

Mr Chope said: “There are strict limits upon the amount of awards the tribunal can give in respect of claims for unfair dismissal arising from the ordinary employment law.

“But where the claim for unfair dismissal is based on discrimination then an unlimited amount of damages can be awarded.

“That is now leading to all sorts of farcical situations.”

As part of its review on employment law, the government is considering reducing compensation awards in discrimination cases, Home Office minister Damian Green said.

He added that in unfair dismissal cases, there is already a cap of £68,400.

Copyright © Press Association 2011

Want news like this straight to your inbox?

Related news

ICBs Should Work With Primary Care Providers On Patient Safety Framework
Cervical screenings up by 15% on last year
The number of 25 to 64-year-olds to present for a cervical screening increased by 15.5%...
GettyImages-1216977631
ICBs must evidence engagement with primary care, GPs say
NHS England must instruct ICSs to publish quarterly evidence of their engagement with primary care,...