When an employee is dismissed from their job unfairly, they have the legal right to seek justice through an employment tribunal. The purpose of an employment tribunal is to assess whether the dismissal was fair or not, and to determine what compensation, if any, the employee should receive. In this article, we will delve into the details of employment tribunal awards for unfair dismissal.
Unfair dismissal occurs when an employee is dismissed from their job for a reason that is not justified or fair. This can include being dismissed for a discriminatory reason, such as race, gender, or disability, or being dismissed without following the correct procedures. In such cases, employees have the right to take their case to an employment tribunal to seek redress.
When an employment tribunal finds that a dismissal was unfair, there are several types of awards that may be granted to the employee. These awards are intended to compensate the employee for the loss of income and benefits resulting from the unfair dismissal, as well as for the emotional distress and inconvenience caused by the dismissal.
One type of award that may be granted in cases of unfair dismissal is a basic award. The basic award is calculated based on the employee’s age, length of service, and weekly pay. The award is capped at a certain amount, which is currently £16,320 as of April 2021. The formula for calculating the basic award is as follows: (a) half a week’s pay for each year of employment under the age of 22; (b) one week’s pay for each year of employment between the ages of 22 and 41; and (c) one and a half week’s pay for each year of employment over the age of 41. The maximum number of years that can be taken into account for the basic award is 20.
In addition to the basic award, an employee may also be awarded a compensatory award. The compensatory award is intended to compensate the employee for the financial losses suffered as a result of the unfair dismissal. This can include loss of earnings, loss of benefits, and any other financial losses that can be directly attributed to the dismissal. There is no cap on the amount of compensatory award that can be granted by an employment tribunal, but it is subject to a statutory maximum which is currently £89,493 or 52 weeks’ pay, whichever is lower.
It is important to note that the amount of compensation awarded in unfair dismissal cases can vary widely depending on the circumstances of the case. Factors such as the employee’s length of service, the reason for the dismissal, and the financial impact of the dismissal on the employee will all be taken into consideration by the employment tribunal when determining the appropriate amount of compensation to be awarded.
In some cases, an employment tribunal may also award additional compensation, known as a ‘Polkey’ award. This type of award is granted when the tribunal determines that the dismissal would have occurred even if the correct procedures had been followed. The purpose of the Polkey award is to compensate the employee for the loss of a chance to challenge the dismissal through proper procedures.
Overall, employment tribunal awards for unfair dismissal are designed to provide employees with a fair and just outcome when they have been unlawfully dismissed from their job. By understanding the types of awards available and how they are calculated, employees can be better equipped to seek redress through the legal system if they believe they have been unfairly dismissed.
In conclusion, employment tribunal awards for unfair dismissal play a crucial role in upholding employees’ rights and ensuring that justice is served in cases of wrongful dismissal. Employees who believe they have been unfairly dismissed should not hesitate to seek legal advice and consider taking their case to an employment tribunal to seek the compensation they deserve.