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Employment Law - Introduction of Employment Tribunal Fees

Author: Joan Finch Published: 7th August 2013 16:54
Pile of British 20 and 10 pound notes  
How will these new fees affect my business? Is the table turning?

Because Employment Law is constantly changing it is essential to review your company policies on a regular basis in order to keep up to date with current legislation. This article covers the Introduction of Employment Tribunal Fees, which are incorporated within a number of Employment Tribunal Reforms which came into force on 29th July 2013. 

We are currently heading into potentially one of the biggest shake ups of the Employment Tribunal System.  Please find below is a summary of the new fees.

So what does this mean?

Any Employment Tribunal Claim lodged on or after the 29th July a fee will have to be paid on submission, in additional a further fee will have to be paid prior to the hearing taking place. 

The fees are broken down into two different types, with the main ones being as follows:

  • Type A - unlawful deduction of wages, unpaid redundancy payments, annual leave and failure to inform and consult under TUPE.
  • Type B - Unfair dismissal, discrimination.

The fees are as follows for a single claim:

  • Type A - Issue fee £160, hearing fee £250.
  • Type B - Issue fee £230, hearing fee £950.

For multiple claims additional charges are incurred.  In addition charges are also incurred for example reviewing default judgements, application to dismiss following settlement, Judicial mediation, Counter claim (for example Employer Contract Claim) Application for review of final decision.  The charges are to be paid by the party seeking the order.

So what does this really mean for Claimants?

From the 29th July 2013, Claimants will have to pay a fee to lodge their claim with the Employment Tribunal, where previously it would be free of charge.  If you do not have the funds to pay the fees you can apply to the Central Unit to be excused from payment under the Remission Scheme.

So what does this mean to the Respondent (Employers)?

Potentially the introduction of fees may reduce the number of Employment Tribunal Claims lodged.  Both parties incur costs from the start.

If you are in the process of dealing with Employee Relations issues or are concerned as your business does not have all the necessary contracts and policies in place to reduce the risk of an Employment Tribunal Claim for Unfair Dismissal; or wish to ensure that your company is fully compliant and up to date when dealing with Employee Relations issues and all areas of employment law, then please see our website for the services available to support your business. 

In our next article we will cover other changes coming into effect in the coming months including the National Minimum wage increases.

You can also download a free short employment law compliance health check questionnaire and upon completion receive feedback and recommendations to ensure your business is up to date on employment legislation and reduce any potential legal risks to the business.

Article by Joan Finch of J Finch & Associates Ltd

Thanks to Joan our new AboutMyArea/EN9 editorial contributor for her second informative article, we look forward to regular articles throughout the year on Employment Law and HR issues.

Joan is an award winning, highly experienced, commercial, self-motivated HR professional who has operated within the sectors of Retail, Hospitality and Catering, specialising in Employees Relations. Joan is now the proud owner and creator of J Finch & Associates Ltd.  Joan's career spans over 10 years, and has broad experience within Human Resources, with initially being a HR generalist covering all aspect of HR from Recruitment, learning and development, training, Employee Relations, redundancy, restructures and TUPE. Since 2008 she has specialised in Employee Relations applying a commercial and practical approach to all ER related issues.

For more information on Human Resources, Employee Relationship and Employment Law issues you may like to take a look at J Finch & Associates website: http://www.jfinch.co.uk/

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