Employment tribunals are independent bodies that make decisions on employment disputes. One of the most common types of cases heard by these tribunals is unfair dismissal claims. When an employee believes that they have been unfairly dismissed from their job, they can take their case to an employment tribunal to seek compensation or reinstatement.
In cases of unfair dismissal, employment tribunals have the power to award compensation to the employee if it is found that the employer did not have a fair reason for dismissing them or did not follow the correct procedure. The amount of compensation awarded by the tribunal will depend on a variety of factors, including the length of the employee’s service, the financial loss suffered as a result of the dismissal, and any other losses such as loss of future earnings or damage to reputation.
There are two main types of compensation that can be awarded in unfair dismissal cases: compensatory awards and basic awards. Compensatory awards are designed to compensate the employee for the financial losses they have suffered as a result of the dismissal. This can include things like lost wages, bonuses, and benefits, as well as any expenses incurred as a result of the dismissal, such as job search costs. The amount of compensatory award will vary depending on the individual circumstances of the case, but it is capped at a maximum limit set by the government.
Basic awards, on the other hand, are a set amount of compensation that is awarded based on the employee’s age, length of service, and weekly pay. This amount is calculated using a specific formula set out in employment law, and is subject to a maximum limit as well. Basic awards are intended to provide a minimum level of compensation to employees who have been unfairly dismissed, regardless of their individual circumstances.
In addition to compensatory and basic awards, employment tribunals also have the power to make other types of awards in unfair dismissal cases. For example, they can make awards for injury to feelings if the employee has suffered emotional distress as a result of the dismissal. They can also make awards for loss of statutory rights, such as unfair dismissal compensation or notice pay, if the employer has failed to follow the correct procedures.
It is important to note that employment tribunal awards for unfair dismissal are not intended to punish the employer, but rather to compensate the employee for the losses they have suffered. The aim of these awards is to put the employee back in the position they would have been in if they had not been unfairly dismissed, both financially and in terms of their employment prospects.
Employment tribunals take a number of factors into account when determining the amount of compensation to award in unfair dismissal cases. These can include the circumstances of the dismissal, the conduct of the parties involved, the financial losses suffered by the employee, and any mitigating factors that may reduce the amount of compensation awarded.
In some cases, employment tribunals may also consider making additional awards to employees who have been unfairly dismissed, such as awards for aggravated damages if the employer’s conduct was particularly malicious or awards for future loss of earnings if the employee is unable to find alternative employment. These additional awards are designed to provide further compensation to employees who have suffered as a result of unfair dismissal.
Overall, employment tribunal awards for unfair dismissal are an important tool in providing justice for employees who have been unfairly treated by their employer. These awards are intended to compensate employees for the financial losses they have suffered as a result of unfair dismissal, and to ensure that employers are held accountable for their actions. If you believe you have been unfairly dismissed from your job, seeking advice from an employment law specialist and potentially making a claim to an employment tribunal could help you secure the compensation you deserve.