The maximum compensatory award for unfair dismissal increases with effect from today from £72,300 to £74,200. This new maximum applies where the effective date of termination is on or after 1 February 2013. This increase is part of the government’s annual review of compensation payable under employment statutes. Other changes in compensation rates that apply with effect from 1 February 2013 include an increase in the maximum amount of gross weekly pay from £430 to £450.
Gross weekly pay is used for calculating a number of statutory remedies and also applies to statutory redundancy pay entitlements. The maximum amount of statutory redundancy pay available now stands at £13,500.