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Employers warned of rise in employment claims – April 2009

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Employers warned of rise in employment claims

Rise in tribunal cases a really worrying sign
I wanted to alert you to some worrying statistics published just a few weeks ago which suggest the risks of punitive employment tribunal claims are getting greater for employers.

Six months later than expected the latest statistics published by the Employment Tribunals Service* show a steep increase in the number of employment claims being upheld and a corresponding drop in the numbers being turned down.

In the latest figures (for 1 April 2007 to 31 March 2008) 189,303 claims were upheld, a 43% increase on the previous year and a staggering 65% increase on the 2005/6 figures.

Equal pay disputes top the table in terms of numbers with 62,706 claims accepted. This was followed by 55,712 working time claims and 40,941 unfair dismissal.

Fewer claims are now being rejected – 6,637 in 2007/8 compared to 12,258 just two years earlier.

The significant cost of tribunal cases
The overall average claim size depends on the jurisdiction but with averages for things like unfair dismissal at £8,058 and £14,566 for race discrimination you can see that the costs of going to tribunal rather than settling through some form of alternative dispute resolution are significant.

The detailed analysis also shows that more claimants are being represented by lawyers, 117,565 in 2007/8 compared to just 67,442 two years earlier, suggesting the whole tribunal process is becoming more complex and therefore more costly.

Keeping disputes away from tribunals
Looking at these figures it seems that if a claim is made it’s likely to be upheld. All the more reason for companies and organisations to try and keep disputes away from employment tribunals.

It is possible.

Human Law Mediation has published a downloadable PDF guide to keeping disputes out of court. The guide helps you to:

  • Understand fully the different options open for resolving disputes – and their costs
  • Follow a 6-point plan for effective despite resolution which could save thousands on every dispute you ever face
  • Understand how you can avoid Employment Tribunal and Civil Litigation cases and their associated resource implications

Download Keeping Away from Employment Tribunals and Court Room Battles now.

For detailed advice on using mediation to manage employment disputes contact Human Law Mediation on 0844 800 3249 or email us here. We offer a free half hour telephone assessment in which we will be able to advise whether your dispute is suitable for mediation.

Justin Patten
Human Law Mediation

911 Green Lanes,
London N21 2QP
Tel: 0844 800 3249
www.human-law.co.uk  

*Source: Employment Tribunals Service 19/3/2008
Read the full details of the latest Employment Tribunal statistics online
here.

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