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Employment Rights - Statutory Limits

March 2008

The limits on payments and awards made to workers in certain employment rights cases rose from 1 February 2008. The increased limits affect:

  • statutory redundancy payments;
  • the basic and compensatory awards for unfair dismissal;
  • the limit on guarantee payment made when employees are not provided with work; and,
  • the minimum basic award for unfair dismissal in health and safety and certain other cases.

The main increases include:

  • compensation for unfair dismissal - £4,400 (£ 4,200);
  • limit on amount of the compensatory award for unfair dismissal £63,000 (£60,600).
  • Maximum amount of a week's pay for the purpose of calculating the basic or additional award of compensation for unfair dismissal or redundancy payment - £330 (£310).

Internet Link: Statutory Instrument