(b) In relation to a successful claim for unfair dismissal, an Employment Tribunal may award any one of the following remedies:
(i) reinstatement,
(ii) re-engagement or
(iii) compensation.
Reinstatement is where the dismissed employee is treated as not having been dismissed in the first place.
Re-engagement means that the dismissed employee is re-employed under a new contract of employment.
The calculation of a basic award of compensation is calculated in the same way as for redundancy payments and is subject to the same maximum level of payment. The actual figures are calculated on the basis of the person’s age, length of continuous service and weekly rate of pay subject to statutory maxima. Thus employees between the ages of 18 and 21 are entitled to ½ week’s pay for each year of service, those between 22 and 40 are entitled to 1 week’s pay for every year of service, and those between 41 and 65 are entitled to 1½ weeks’ pay for every year of service. The maximum number of years service that can be claimed is 20 and as the maximum level of pay that can be claimed is £350, the maximum total that can be claimed is £10,500, (i.e. 1·5 x 20 x 350).
In addition, however, a compensatory award of up to £66,200 may be made at the discretion of the tribunal and an additional award of up to £18,200 may be made where the employer ignores an order for re-employment or re-engagement, or the reason for dismissal was unlawful discrimination. |
