Employment Rights – Increases in Limits – March 2016

Published:

The following changes to the limits to payments made under employment rights legislation come into effect on 6 April 2016:

Rights protected under the Employment Rights Act 1996:

  • The limit on the weekly amount payable under the insolvency provisions of the Act is
    increased to £479.
  • The minimum basic award for unfair dismissal is increased to £5,853.
  • The maximum compensatory award for unfair dismissal is increased to £78,962.
  • The maximum amount of a week’s pay for calculating the basic or additional award
    for unfair dismissal or for redundancy payment is increased to £479.
  • The limit on the statutory guarantee payment payable to employees laid off work
    remains unchanged at £26.00 a day.

Rights protected under the Trade Union and Labour Relations (Consolidation) Act 1992:

  • The award in relation to unlawful inducement relating to trade union activities or
    collective bargaining is increased to £3,830.
  • The minimum basic award for unfair dismissal is increased to £5,853.
  • The minimum compensation in relation to exclusion from a union in contravention to
    section 174 is increased to £8,939.

For details see the Employment Rights (Increase of Limits) Order 2016 (SI 2016/288), which is available here.