When an employee believes they have been unfairly dismissed from their job, they may choose to take their case to an employment tribunal. Unfair dismissal is a serious issue that can have significant financial and emotional consequences for the individual involved. In these cases, the employment tribunal has the authority to award compensation to the employee if they find that the dismissal was unfair.
There are several factors that can contribute to an unfair dismissal claim, including discrimination, whistleblowing, or dismissal for asserting employment rights. If an employee believes they have been unfairly dismissed for any of these reasons, they can seek redress through the employment tribunal.
The amount of compensation awarded in unfair dismissal cases can vary depending on a number of factors. The tribunal will take into account the employee’s length of service, salary, and the circumstances surrounding the dismissal when determining the appropriate level of compensation.
In some cases, the employment tribunal may award financial compensation to the employee to cover their loss of earnings and any other financial losses incurred as a result of the dismissal. This can include payments for notice period, holiday pay, and any bonuses or benefits that the employee would have received if they had not been unfairly dismissed.
In addition to financial compensation, the employment tribunal may also award compensation for injury to feelings. This type of compensation is intended to acknowledge the emotional impact of the unfair dismissal on the employee and can range from a few hundred pounds to several thousand pounds, depending on the severity of the emotional distress caused.
It is important to note that there are limits on the amount of compensation that can be awarded in unfair dismissal cases. The maximum compensatory award for unfair dismissal is currently capped at £88,519 (as of April 2021). This means that even if the employee can demonstrate that they have suffered significant financial losses as a result of the unfair dismissal, they may not be awarded more than this amount.
In addition to financial compensation, the employment tribunal may also order the employer to reinstate the employee in their former position or to re-engage them in a similar role. This remedy is not commonly awarded, as it requires both parties to be willing to work together again after the dismissal.
It is also worth noting that the employment tribunal has the power to increase or decrease the amount of compensation awarded in unfair dismissal cases. If the tribunal feels that either party has acted unreasonably during the proceedings, they may adjust the compensation accordingly. This is known as a “Polkey deduction” and can result in a reduction of the compensatory award if the tribunal believes that the employee would have been dismissed fairly regardless.
In conclusion, employment tribunal awards for unfair dismissal are intended to provide redress for employees who have been unfairly treated by their employer. The amount of compensation awarded will vary depending on the individual circumstances of the case, but it is important for employees to understand their rights and seek legal advice if they believe they have been unfairly dismissed. By taking action through the employment tribunal, employees can seek justice and hold their employer accountable for their actions.