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Reminder: Annual Tribunal limit increase

The regular annual increase in Employment Tribunal limits has now been released.

To keep you updated, the key increases are as follows:

  • Compensatory Award – £105,707 (previously £93,878)
  • A ‘week’s pay’ (for basic award and redundancy payments) – £643 (previously £571)

The changes take effect from 6 April 2023, generally, for dismissals taking place on or after this date.

The compensatory award is the compensation the employee may be awarded for the loss of their earnings and benefits etc. from the date of dismissal until the date that they find suitable alternative employment. A higher earner arrives at this cap much earlier than lower paid earners. The employee will have to show what steps they have taken to find suitable alternative employment.

How our employment solicitors can support you

Should you have any Tribunal proceedings issued or believe they are in the pipeline, do get in touch to receive specialist advice and guidance.

Our solicitors regularly advise employers on defending claims at employment tribunals or in the High Court. We understand that the process can be stressful for all concerned and that the commercial impact can be significant. Our experienced team will guide you through the process as cost-effectively as possible, giving you all the information you need to make informed decisions.

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