Employment Tribunal Compensation Limits 02/06 - 02/07

The 2007 limits apply where the event giving rise to the entitlement to compensation or payment occurs on or after 1 February 2007 NOT the date the tribunal makes the award. For example, in unfair dismissal and most redundancy pay claims, the appropriate date is the effective date of termination.

	Type of Award	Statutory Provision	1 Feb 2006 limits	1 Feb 2007 limits
	Limit on a week's pay Maximum amount of 'a week's pay' for the purpose of calculating a redundancy payment or for various awards including the basic or additional award of compensation for unfair dismissal.	s227(1) ERA 1996	£290	£310

	Type of Award	Statutory Provision	1 Feb 2006 limits	1 Feb 2007 limits
	Maximum Basic Award	s119 ERA 1996	£8,700	£9,300
	Maximum Compensatory award*	s124(1) ERA 1996	£58,400	£60,600
	Maximum Basic award + Compensatory award**		£67,100	£69,900
	Additional award (where an employer does not comply with a reengagement/reinstatement order) Minimum - 26 weeks' pay Maximum - 52 weeks' pay	s117(3) ERA 1996	£7, 540 min £15,080 max	£8,060 min £16,120 max
	Minimum Basic award where the dismissal is in breach of statutory DDPs**	s120(1A) ERA 1996	Lower of 4 weeks' pay or £1,160	Lower of 4 weeks' pay or £1,240
	Minimum Basic award where principal reason for dismissal: - trade union membership/activities - health & safety rep activities - Pension Scheme Trustee activities - Employee Representative activities - Working Time grounds	s120 (1) ERA 1996	£4,000	£4,200

	Type of Award	Statutory Provision	1 Feb 2006 limits	1 Feb 2007 limits
	Maximum Breach of Contract cases heard in the Employment Tribunal (Note: no limit if claim brought in the County or High Court)	art 10, Employment Tribunals Extension of Jurisdiction (England and Wales) Order 1994	£25,000	£25,000

	Type of Award	Statutory Provision	1 Feb 2006 limits	1 Feb 2007 limits
	Maximum Statutory Redundancy Payment***	s162 ERA 1996	£8,700	£9,300
	Maximum Guarantee Pay limit on a day's pay during short-time or temporary lay-off	s31 ERA 1996	£18.90 a day £94.50 for five days in any three month period	£19.60 a day £98 for five days in any three month period

	Type of Award	Statutory Provision	1 Feb 2006 limits	1 Feb 2007 limits
	Maximum Wrongful refusal of Flexible Working request award	reg 7, Flexible Working (Eligibility, Complaints and Remedies) Regs 2002	8 weeks' pay up to £2,320	8 weeks' pay up to £2,480
	Maximum Breach of the Duty to consider Working Beyond Retirement award	sch 6(11) Employment Equality (Age) Regs 2006	8 weeks' pay up to £2,320	8 weeks' pay up to £2,480

	Type of Award	Statutory Provision	1 Feb 2006 limits	1 Feb 2007 limits
	Disciplinary or Grievance Hearing by colleague or external trade union rep	s11(3) Employment Relations Act 1999	2 weeks' pay up to £580	2 weeks' pay up to £620
	Flexible Working Request by colleague	reg 15 Flexible Working Regs 2002	2 weeks' pay up to £580	2 weeks' pay up to £620
	Duty to consider working beyond retirement request by colleague	sch 6 (12) Age Regs 2006	2 weeks' pay up to £580	2 weeks' pay up to £620

	Type of Award	Statutory Provision	1 Feb 2006 limits	1 Feb 2007 limits
	Award for failure to give s1 ERA Statement - must be attached to another claim such as unfair dismissal or discrimination Minimum - 2 weeks' pay Maximum - 4 weeks' pay	s38 Employment Act 2002	Minimum £580 Maximum up to £1,160	Minimum £620 Maximum up to £1,240

	Type of Award	Statutory Provision	1 Feb 2006 limits	1 Feb 2007 limits
	Maximum Arrears of Pay	ss 184 and 186 ERA 1996	8 weeks' pay up to £2,320	8 weeks' pay up to £2,480
	Maximum Statutory Notice Pay	ss 184 and 186 ERA 1996	12 weeks' pay up to £3,480	12 weeks' pay up to £3,720
	Maximum Holiday Pay	ss 184 and 186 ERA 1996	6 weeks' pay up to £1,740	6 weeks' pay up to £1,860
	Maximum Basic Award or Statutory Redundancy Pay	ss 184 and 186 ERA 1996	£8,700	£9,300

	Type of Award	Statutory Provision	1 Feb 2006 limits	1 Feb 2007 limits
	Collective Redundancies	s188 TULCRA 1992	Up to 90 days' actual pay	Up to 90 days' actual pay
	TUPE transfer	reg 16 TUPE 2006	Up to13 weeks' actual pay	Up to 13 weeks' actual pay
	Maximum failure to consult with union on training	s70C TULCRA 1992	2 weeks' pay up to £580	2 weeks' pay up to £620

	Type of Award	Statutory Provision	1 Feb 2006 limits	1 Feb 2007 limits
	Maximum award for employees excluded or expelled from a trade union	s176(6) TULCRA 1992	£67,100	£69,900
	Maximum award for unjustifiable discipline by a trade union	s67(8) TULCRA 1992	£67,100	£69,900
	Maximum unfair refusal of employment or services of employment agency on union membership grounds	s140(4) TULCRA 1992	£67,100	£69,900

* There is no upper limit on awards in relation to:

1. Unfair Dismissal Compensatory award where the employee is unfairly dismissed or selected for redundancy for reasons connected to Health & Safety matters, or Public Interest Disclosure (Whistleblowing)
2. Discrimination claims
3. Unauthorised deduction from wages claims

** Unfair dismissal awards and breach of the SDDPs:

1. Where the statutory dismissal and disciplinary procedures have not been followed:
   1. (a) Where it is the employee's failure, the tribunal must decrease the amount of any award by 10 per cent and may, if it is just and equitable, make a further reduction of up to a 50 per cent in total
   2. (b) Where it is the employer's failure, the tribunal must increase the amount of any award by 10 per cent and may, if it is just and equitable, make a further increase of up to 50 per cent in total
2. The minimum basic awards where there is a breach of the SDDPs is subject to tribunal's discretion to reduce where applying the minimum results in injustice.

*** Statutory Redundancy Payments:

1. The amount of a statutory redundancy payment depends on the employee's age, length of service, and the amount of a week's pay. The maximum payment is up to 30 weeks' pay subject to the statutory limit on a week's pay
   
   For redundancies made on or after 1 October 2006, the amount is calculated as:
   1. (a) Up to the age of 21, half a week's pay for each completed year of service;
   2. (b) 22 – 40 years of age, one week's pay for each completed year of service; and
   3. (c) 41+ years of age, one and a half weeks' pay for each completed year of service.