Changes to employment tribunal rules would make the system
fairer - but Shropshire employers will need to be prepared to take
a risk.
That's the message from Tina Chander, employment solicitor at
Martin-Kaye LLP Solicitors, in Telford, who warned that the
suggested new guidelines were a mixture of good and bad news.
"The current rules are weighted firmly in favour of the employee
and claims that have no merit are often allowed to go forward as
tribunals are reluctant to strike them out early in the
process.
"And as the cost of defending a claim can rarely be recovered,
it's often cheaper for an employer to pay out rather than go
ahead.
"But the proposed changes will essentially make the employment
tribunal system fairer, and the aim is to reduce the number of
claims and unfair charges for employers.
"It's vital though that employers go into the system with their
eyes open, as they will face the risk of an extra fine if they lose
their tribunal case.
"The penalty could range between £100 and £5000, and
would be on top of the compensation they will have to pay to the
employee.
"So although the new rules would restore some balance to the
system, employers will have to assess whether the risk of an
additional fine is worth taking."
Tina said last year there were over 235,000 employment tribunal
cases across the UK, and the proposed new rules were designed to
reduce this figure.
Consultation on the proposals will end later this month, and
under the new guidelines, workers would need to be employed for two
years before they could launch an unfair dismissal claim, and they
would have to pay a fee to lodge their complaint.
All claims will have to go through mediation via ACAS, and
hearings will be dealt with by an employment judge sitting alone,
rather than with two other people.