The Supreme Court has today handed down a unanimous judgement declaring the Employment Tribunal fees regime introduced in July 2013 unlawful on the grounds that it restricts access to justice, contrary to both common law and European Union legal principles.
With effect from Monday 29th July a number of radical changes to the employment tribunal system used for litigating all statutory employment claims and smaller contract claims arising from employment or its termination will take effect.
Increases made in the annual review of employment tribunal compensation limits take effect today, 1 February 2012.
The Ministry of Justice has issued a consultation paper on possible charging regimes for making claims in the Employment Tribunals and Employment Appeal Tribunal. Currently claimants pay nothing to bring a claim in these forums, an anomaly in the civil justice system.
The Coalition Government has launched a consultation on ways to encourage early resolution of workplace disputes. Although there is a clear agenda to cut the cost of running the employment tribunal service, which has seen significant rises in claims during the recession, the Government believes that changes to increase labour market flexibility will encourage employers to take on more staff, thereby stimulating the economy.