Employment Tribunal Guidance for Employers

The Employment Tribunals (ET) are an independent judicial body established to resolve disputes over employment rights between employers and employees. Claims likely to be heard in the ET will involve matters on unfair dismissal, discrimination, wages and redundancy payments.

In July 2017, the Supreme Court unanimously held that ET fees were unlawful and must be quashed. In September 2018, the Ministry of Justice (MOJ) published tribunal statistics for April-June 2018 and across the boards the numbers are up!
Key figures include:

• Number of single claims lodged increased by 165% compared with the same quarter last year.
• The number of single claims outstanding rose by 130% compared with the same quarter last year.
• There have been 12,400 fee refund payments made since the fee refund scheme was introduced, totalling just over £10m.
• Disability discrimination cases had the largest average award (£30,700). Religious discrimination claims had the lowest average award (£5,100). The average award for unfair dismissal awards was £15,007.

If you are an employer and you have received an ET claim, it is crucial you act quickly and carefully to place yourself in the best position to defend the claim, or to reach a fair settlement agreement with the employee. At Employment Law Services (ELS), we have set out 5 top tips that should be applied when responding to a claim.

(1) Address the claim immediately

A tribunal claim is not something that should be set aside to deal with at a later date. Employers should have procedures in place to make sure that, when an ET1 is received, it is immediately brought to the attention of the appropriate people.
An employer should then make the decision on who is going to have the responsibility for dealing with the claim and begin working on the response.

An employer’s response should arrive at the ET office, on the appropriate form (an ET3), within 28 days of the date on which the claim was sent out.

(2) Evaluate the merits of the claim

Employees cannot submit an ET claim unless they have contacted the ACAS early conciliation service in the first instance. If both parties have gone through this process, the employer will probably already have knowledge of the employee’s complaint and had the opportunity to process its merits.

In this event, the employer should carefully carry out an assessment of the employee’s complaint and what defence they may have and then decide whether to fight the case or not.

Sometimes, employers discover that a settlement agreement is the less expensive option when weighing the costs of defending an ET claim. Settlement agreements are legally binding contracts which can be used to end an employment relationship on agreed terms. Once this document has been signed, the employee won’t be able to make an ET claim about any type of claim which is listed on the agreement.

(3) Focus on the issues relevant to the case

When responding to an ET complaint, it is crucial that employers focus on the employees specified allegations and any legal issues that may surround this. An employer’s response should be carefully drafted in as much detail as possible as they may not get the opportunity to introduce more information at a later date.

(4) Pay attention to detail

Whoever is in charge of drafting the ET3 must ensure that there are no inconsistencies and that all statements are factual and supported by the correct evidence.

(5) Submit the ET3 on time

An employer’s response form (ET3) should be submitted within 28 days of receiving the claim. This form can be submitted by using the online submission tool or returning the paper form.

The main thing to remember here is to ensure the tribunal office receive the form before the deadline, the form should not be sent on the 28th day. Employers may have the opportunity to apply for an extension, but this will be permitted at the judge’s discretion.

Fixed Fee ET work

Defending Employment Tribunal claims, or threats of a claim can be costly, but it doesn’t need to be. with Employment Law Services (ELS)’ Fixed Fee Employment Tribunal Representation offering, employers can save time and money. We understand how expensive, stressful, time consuming and distracting defending an Employment Tribunal Claim can be, even before the case ever reaches the hearing stage.

Negotiating the employment tribunal rules & procedures can be confusing & difficult but it doesn’t need to be. With our Fixed Fee Employment Tribunal Representation offering, employers can save time and money.

We believe this approach helps you control costs, minimise stress and wasted time and management resources, allowing you to continue to focus on your core business.

If you are faced with an Employment Tribunal claim, or threat of an Employment Tribunal Claim, Employment Law Services (ELS) can help. If you are an employer who requires assistance with any of the issues raised in this blog contact us today for your free consultation 0370 218 5662.

Latest Employment Tribunal Statistics | April to June 2018

The MOJ has published the tribunal statistics for April to June 2018 and across the board the numbers are up!

Here are the key figures:

• number of single claims lodged increased by 165% compared with the same quarter last year.

• the number of single claims outstanding rose by 130% compared with the same quarter last year.

• there have been 12,400 fee refund payments made since the fee refund scheme was introduced, totalling just over £10m.

• disability discrimination cases had the largest average award (£30,700). Religious discrimination claims had the lowest average award (£5,100). The average award for unfair dismissal awards was £15,007.

This upward trend in Employment Tribunal claims is unsurprising following the abolishment of Tribunal fees in July 2017, and the figures above are reliable as April to June 2017 was the last full quarter when fees were in force.

Employers should take note of the significant increase in Employment Tribunal claims and ensure they have in place an effective risk management strategy to ensure compliance and adherence with employment legislation to prevent problems and protect their business from costly Employment Tribunal claims.

Our Fixed Fee Annual Retainer Service helps Employers to manage staff issues across all aspects of their employment, ensuring compliance and reducing risks. Find out more here: https://employmentlawservices.com/employment-law-advice/annual-retainer-service/

And if you have been unfortunate enough to have been one of the 10,966 Employers who had a claim against them in the current quarter, you may find our Fixed Fee Employment Tribunal Representation Service helpful. Find out more here: https://employmentlawservices.com/employment-law-advice/fixed-fee-tribunal-representation/

Employment Tribunal Statistics remain stable…but for how long?

Recent statistics produced by the Ministry of Justice showed that the number of claims to the Employment Tribunal between the period April to June 2017 has increased.

From April to June there were 4,241 single claims logged, this shows a 2% increase on the same period of 2016.

88,476 cases were accepted by the tribunal service over the year to June 2017. 17,005 of these counted for single cases and 71,471 counted as multiple claims. This shows an increase in the total claim numbers by 6% in comparison to 2015/16.

Although the number of claims logged has been suggested as being stable, this is likely to change after the Supreme Court found that tribunal fees were unlawful. This is because employees will now feel more inclined to bring a claim forward with the removal of the barrier of costly fees.

Between April and June, there was 9,518 multiple claims received. This shows a decrease of 19% during the same period in 2016.

The research published by the Ministry of Justice identified that the maximum compensation award during 2016/17 was in an unfair dismissal claim which saw £1.7m paid out.

Throughout the year to June 2017, over 30,000 cases were brought under the Working Time Directive, 12,038 for unfair dismissal and 10,467 for equal pay.

In the same time frame 86% of claimants had legal representation and 9% represented themselves.

Cases heard in the Employment Appeal Tribunal in 2016/17 fell by 8% in comparison to the year 2015/16. The number of claims thrown out by the EAT decreased by 14% over the same time period.

Following the ruling made by the Supreme Court, the Government announced it would take steps to put an end to fees and organise refunds to all who have previously paid fees – this pay-out has been estimated to cost the Government £32m.

Xpert HR’s employment law editor, Stephen Simpson states: “It is anticipated that the abolition of employment tribunal fees in July of this year will lead to a sharp rise in claims. What we don’t know is whether the removal of the fees barrier will mean an immediate return to pre-July 2013 claim levels. Or will the increase be more modest or gradual?

“The latest statistics only cover the period up to June 2017, so don’t shed any light on this. However, employers and employment lawyers will be eagerly awaiting the next round of quarterly tribunal figures, covering July to September 2017. They are scheduled for publication on 14 December and should provide an indication of the initial impact of the removal of fees on claim levels.”

How can we help?

If you’re facing an Employment Tribunal Claim and want to find out more about how Employment Law Services (ELS) can help support your company, contact us today on 0800 612 4772 or request a Free Quote now.