Tribunal Fees are Ruled Unlawful

Late July brought a ruling in the Supreme Court ending Employment Tribunal fees.The charges were introduced in July 2013 and could reach as much as £1,200 for a single claim. The charges had been welcomed by some for deterring meritless claims but others saw them as a way of stopping the most vulnerable and poorest from raising legitimate claims and getting access to justice.

The charges were introduced in July 2013 and could reach as much as £1,200 for a single claim. The charges had been welcomed by some for deterring meritless claims but others saw them as a way of stopping the most vulnerable and poorest from raising legitimate claims and getting access to justice.

The introduction of fees did cause a dramatic fall in claims; some sources being quoted revealed that claims had dropped by as much as 70%. Official figures record 83,031 applications to tribunals in 2015-16, compared to more than 190,000 in 2012-13.

The four year case against the fees was brought by Unison and as it stands people will no longer have to pay to bring and pursue cases in employment tribunal and employment appeal tribunal. In addition those who have already paid from the time of the introduction of fees onwards could receive a refund from government.

So will the abolition of fees bring a new increase in claims, from those with legitimate grievances and cases but also from those with spurious and time wasting claims that have little or no substance? Industry and legal experts think it is highly possible. Factors that may reduce the impact of the rise are the introduction of the Acas early conciliation regime and the wider economic climate. The government may also bring in a new fee structure in response to the ruling so it is still an evolving picture.

However the change should be taken seriously by employers. It places more emphasis on the need to have an effective employee relations culture in place underpinned by good employment policies and procedures. Employers should ensure that staff are treated fairly and consistently in line with employment law. Line managers should be trained and have the ability to manage staff and difficult situations before they escalate to problems that can be taken further to tribunal.

For more information on employee relations and best practice employment policy and procedures contact Halcyon HR Consulting Ltd.