Employment Tribunal reform is positive news for employers

“It is a common misconception that Employment Tribunals are weighted in favour of employees. For most business owners and employers, Tribunals are a frightening prospect and can cause stress and worry with a common criticism being that claims with little merit are often brought” said Nigel Harrison, Partner, and employment specialist at Hatchers Solicitors in Shrewsbury.

The Coalition’s recent announcement to reform unfair dismissal law with effect from 6 April 2012, so that an employee will need to work for two years (as opposed to the current one year) in order to be protected by law from being sacked unfairly, should however allow employers more control and flexibility in the workplace, particularly as regards poor performance issues. The Government believes that this reform will result in fewer Employment Tribunal claims and save employers up to £10m a year.

In addition, the Ministry of Justice is presently consulting on a requirement that employees pay a fee if they want to make a claim to the Employment Tribunal. This idea is yet to be finalised with different levels of fees applying to different types of employment claims. For example, it is suggested that £200 will have to be paid by an employee in order to lodge a claim for unfair dismissal, and a further £1,000 for such a claim to go on to be listed for a full Tribunal hearing.

Nigel said:

“Whilst the new regime may help to make the process between employers and employees simpler and fairer the myth that Employment Tribunals are “anti-employers” is simply not true. The outcome of each hearing, rogue decisions aside, depends on the merits of each case and the quality of the representation on the day by the solicitor or barrister. For the period 1 April 2010 to 31 March 2011 for example, more than 60% of the total annual costs awards were actually made against claimants.

Having a thorough understanding of Tribunal procedures and current employment law, in order to be able to present the employer’s case in a logical and punchy manner, is vital to the success of the case. It is important therefore that employer’s are represented by an experienced employment lawyer.”

Hatchers Solicitors employment team, who have been recently recommended in the national publication, “The Legal 500” successfully defended Bridgnorth Town Council in an unfair dismissal claim in December 2011, where the Town Council was exonerated and substantial costs awarded against the Claimant.

Anne Wilson Bridgnorth Town Council’s Town Clerk said:

“Hatchers shared their expertise with us in relation to a difficult case. Nigel Harrison’s professional approach and determination to understand the dynamics of the Town Council resulted in a clear, methodical direction understood by all. Nigel’s conduct and advocacy throughout this case meant that the Council was not only vindicated, but also now have the opportunity of recovering a substantial proportion of its legal costs against the Claimant.”