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How far can a tribunal actually go?
Page 26
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e Employment Tribunals are required to consider making a "declaration of rights''. This involves a conclusion (such as the employee was unfairly dismissed, suffered unlawful discrimination or is entitled to damages).
If the employee loses there will be no declaration and the claim will simply be dismissed. If the employee succeeds with his claim there will usually be an award of compensation.
In most cases the tribunal has broad discretion and the limits which previously applied have been raised or even removed. For example, in claims for unfair dismissal compensation is limited to £52,600, but for discrimination claims there is no legal limit on the compensation—a merchant bank was recently ordered to pay £1.5m for sex discrimination.
In certain cases the tribunal is not simply concerned with compensating the employee; the award might also be designed to deter employers from treating staff unlawfully. In cases involving both discrimination and dismissal tribunals can award up to 52 weeks pay.
In claims for unfair dismissal the tribunal can also make an order requiring the employer to allow the employee to return to work.
When the new Employment Bill comes into force costs are likely to be imposed on the losing party more frequently than at present.